The Story of Henry Ford

Introduction

• In 1879, 16-year-old Henry Ford left his father's farm for Detroit
• At the time, transportation was limited to trains and horse carriages, with automobiles seen as luxury racing machines.
• By 1914, half of all cars in the world carried his name, and he became one of the wealthiest men in American history.

Early Life

• Birth: July 30, 1863, in Dearborn, Michigan.
• Family Background: Oldest of six children on a labor-intensive farm.
• Education: Dropped out after eighth grade; preferred self-directed learning.

Interest in Mechanics

• Developed a fascination with machinery from a young age.
• Age 12: Gifted a pocket watch; learned to repair it.
• Age 13: Saw a steam engine, igniting his passion for mechanics.
• Age 15: Built his first steam engine.

Shift to Detroit

• Following his mother's death, Ford sought to escape farm life.
• Move to Detroit: Took various jobs, including an apprentice at a machine shop.
• Night Job: Worked as a jeweler to support himself.
• 1891: Returned to Michigan but continued to focus on machinery.

Professional Development

• Joined Westinghouse Engine Company; traveled to service steam engines.
• 1893: Joined Edison Illuminating Company to learn about electricity.

Early Family Life

• Marriage: Engaged Clara Jane Bryant in 1885; welcomed their only child, Edsel, in 1893.

The Quest for Innovation

• Gas Engine Discovery: Learned about gas engines that were more efficient than steam engines.
• First Experimental Car: Completed his first car, the Quadricycle, in 1896.

Business Ventures

• Established the Detroit Automobile Company in 1899, which failed due to production and stakeholder issues.
• Shifted focus to racing cars to gain visibility and attract investors.

Ford Motor Company

• Formation: Following racing successes, the Ford Motor Company was established in 1903.
• Vision: Aimed to create an affordable car for the masses.

Innovations in Production

• Developed the assembly line concept after witnessing its application in a slaughterhouse.
• Model T: Launched in 1908, quickly becoming a best-seller.

Business Strategies

• Improved worker conditions by doubling wages and introducing a new work shift.
• Expanded production capabilities, leading to the production of over 300,000 vehicles per year by 1914.

Challenges and Changes

• Henry Ford resisted market changes, leading to declines in Model T sales.
• Released the Model A in 1927 but struggled with competition from General Motors and Chrysler.

Later Years

• Leadership Transition: Son Edsel took over but died in 1943.
• Retirement: Ford handed over control to grandson Henry II before his death in 1947.

Legacy of Ford Motor Company

• Today, Ford has a market cap of around $70 billion, continuing to be a major player in the automotive industry.