Smartest Business Moves In History.....

[ANBESHIVAM]

[quote name='krish' timestamp='1368828852' post='1303767612']
[size=5][color=#FF0000]Story 1:[/color][/size]

[color=#333333]In January 1914, Henry Ford announced a radical decision. He increased the worker wages from $2.34/day to $5/day and reduced the working time from 9 hours to 8 hours per day. Other businessmen derided Ford as a socialist, while common public heralded him as a hero. People even prodded him to run for a President. Even today, Ford's 5 dollar workday is widely remembered in the US.[/color]

[color=#333333]Newspapers had a field day. Ford's PR also worked the press to make this move as an egalitarian one (to make the workers rich enough to buy Ford's cars).[/color]



[b] Business move, not just an egalitarian one[/b]

[color=#333333]While this was probably the most generous pay hike in corporate history, Henry Ford was no fool. By the end of 1914, Ford's 13000 workers made 260,000 cars annually while the entire rest of the industry with 66000 workers produced only 280,000 cars. Ford's workers were [/color][b]5 times more productive[/b][color=#333333]! (Although a part of it is owed to the assembly line innovation introduced a few years before this).[/color]

[color=#333333]Within 2 years of this radical pay rise, Ford's profit jumped 200% to $60 million/year. In another 5 years, Ford was rolling out Model - T's every 24 seconds (in the initial years it took 12 hours)!! [/color][color=#333333][url="http://corporate.ford.com/news-center/press-releases-detail/677-5-dollar-a-day"]Henry Ford's $5-a-Day Revolution[/url][/color][color=#333333] and[/color][color=#333333][url="http://www.econedlink.org/lessons/index.php?lid=676&type=student"]Henry Ford and the Model T: A Case Study in Productivity (Part 2)[/url][/color]


[b] How?[/b]


[color=#333333]Until that time, factory workers were meant to be squeezed and thrown out. Labor was not seen as an asset back then. In a single move, he created a new corporate workforce and heralded the creation of the American middle class. Concepts such as 8-hour days and HR departments owe their existence partly to the ideas generated from this. [/color][list]
[*][b]Employee turnover: [/b]Until 1914 Ford hired 300 men a year for every 100 jobs. There were a massive worker turnover as the tired and bored workers kept shifting jobs. Now, Ford provided an offer that was too good for the workers. The best of the workers were both motivated to stay and work.
[*][b]Absenteeism dropped. [/b]Until then, factory workers randomly dropped out of work in the middle. They had little to lose, since they were so poorly paid. This absenteeism severely affected the assembly lines. No amount of force/threats worked. But, now they had golden handcuffs.
[*][b]Massive movement of smart labor to Detroit. [/b]Soon word got around and there was a gold rush in Detroit. Within 24 hours, 10000 men queued up outside Ford's factories. Ford could now be very picky and hire from the best who would dramatically improve efficiencies in the automobile industry.
[*][b]Skyrocketing productivity: [/b]The workers got into a rhythm as they were not shifting jobs any more and that meant they were moving up the learning curve. Ford could now introduce advanced processes without worrying too much about training expenses.
[/list]
[color=#333333]The industry was changed and a new era of workers with a low turnover appeared in US corporations. There is so much present corporations can learn (especially in countries like India, where we are still in the pre-Ford era when it comes to our manufacturing mindset).[/color]
[/quote]

yeah movie lo chusina nenu

[dotnetrockz]

Lambhorgini ferrari story


Netflix blockbuster story

[Krish]

[quote name='roome6' timestamp='1369018636' post='1303773476']

ante enti baa???
[/quote]

Ante he was so smart and successful....he made western union desperate to keep its monopoly....so in that process they didn't realise that they were paying higher prices and didn't realise it was his trick to make them higher price until they lose all they got...Clever guy...

ikkada highlight entante...multiple times business ni success cheyyatam from teh scratch not easy...but he did it...

[Krish]

[quote name='Nissan' timestamp='1369026677' post='1303773818']
Lambhorgini ferrari story


Netflix blockbuster story
[/quote]

ikkada eyyi bro unte..even video aina parledu..interest unnollu chostaru...

[Krish]

[size=5][color=#FF0000]Story 8:[/color][/size]

[b]Colgate Palmolive:[/b][color=#333333] Earlier, toothpaste tubes had a small opening of about two millimeters for squeezing out the paste. The company was hard pressed to increase its sales and revenue. It initiated an open competition to suggest anything that could facilitate or increase their sales. One person came up with a suggestion to just increase the size of the tube’s opening. It was considered to be a dumb and irrational idea. However, it was implemented on a trial basis. And as they say, rest is history. The whole rationale behind increasing the diameter was to increase volume consumption. The inherent characteristics of a smaller diameter opening restricted the volumetric consumption of the toothpaste. With the increase in size, consumption increased, increasing replacement cycle, and thereby increasing sales.[/color]

[ManOnFire]

inka raani.. GP

[Tharun]

Story 8 jagan

[roome6]

Ohh okay got it. mama., Thanks

[quote name='krish' timestamp='1369053729' post='1303774335']

Ante he was so smart and successful....he made western union desperate to keep its monopoly....so in that process they didn't realise that they were paying higher prices and didn't realise it was his trick to make them higher price until they lose all they got...Clever guy...

ikkada highlight entante...multiple times business ni success cheyyatam from teh scratch not easy...but he did it...
[/quote]

[roome6]

Ee story telusu baa finally i know one..,

[quote name='krish' timestamp='1369054223' post='1303774343']
[size=5][color=#FF0000]Story 8:[/color][/size]

[b]Colgate Palmolive:[/b][color=#333333] Earlier, toothpaste tubes had a small opening of about two millimeters for squeezing out the paste. The company was hard pressed to increase its sales and revenue. It initiated an open competition to suggest anything that could facilitate or increase their sales. One person came up with a suggestion to just increase the size of the tube’s opening. It was considered to be a dumb and irrational idea. However, it was implemented on a trial basis. And as they say, rest is history. The whole rationale behind increasing the diameter was to increase volume consumption. The inherent characteristics of a smaller diameter opening restricted the volumetric consumption of the toothpaste. With the increase in size, consumption increased, increasing replacement cycle, and thereby increasing sales.[/color]
[/quote]

[cherlapalli_jailer]

GP

[dotnetrockz]

[img]http://foreverdriven.files.wordpress.com/2009/07/lambo-ferarri-21.jpg?w=510&h=425[/img]
Ferruccio Lamborghini/Enzo Ferrari
Alright kids gather round its story time! Today I’ll be telling you a little tale about Ferrari and Lamborghini. This is an origin story when it comes to Lambo. So here it goes; Back in the 1960′s, Ferruccio Lamborghini’s tractor business was booming. Like most wealthy people he decided that the best way to celebrate was to buy himself a Ferarri! After he bought one to his dismay he was quite disappointed with it. He thought that it could be better and more than that, he thought he knew how to make it better. So like a loyal Ferrari customer he went to the owner himself; Enzo. He told him that he liked the Ferrari he had purchased but he had some suggestions on how to make it even better. Enzo looked at him and told him he didn’t need a tractor owner’s advice. Instead of brushing that remark off or backhanding Enzo across the face, Ferruccio decided on a different approach. He was going to build his own top notch performance car company and show Enzo Ferrari just what he was missing out on. The next forty six years is history.
There you have it. The high end Italian automaker known as Lamborghini was built out of spite! It’s okay Lambo we still love you!

[roome6]

Item lekka vunnadu ga enzo gadu.,

[quote name='Nissan' timestamp='1369066203' post='1303775172']
[img]http://foreverdriven.files.wordpress.com/2009/07/lambo-ferarri-21.jpg?w=510&h=425[/img]
Ferruccio Lamborghini/Enzo Ferrari
Alright kids gather round its story time! Today I’ll be telling you a little tale about Ferrari and Lamborghini. This is an origin story when it comes to Lambo. So here it goes; Back in the 1960′s, Ferruccio Lamborghini’s tractor business was booming. Like most wealthy people he decided that the best way to celebrate was to buy himself a Ferarri! After he bought one to his dismay he was quite disappointed with it. He thought that it could be better and more than that, he thought he knew how to make it better. So like a loyal Ferrari customer he went to the owner himself; Enzo. He told him that he liked the Ferrari he had purchased but he had some suggestions on how to make it even better. Enzo looked at him and told him he didn’t need a tractor owner’s advice. Instead of brushing that remark off or backhanding Enzo across the face, Ferruccio decided on a different approach. He was going to build his own top notch performance car company and show Enzo Ferrari just what he was missing out on. The next forty six years is history.
There you have it. The high end Italian automaker known as Lamborghini was built out of spite! It’s okay Lambo we still love you!
[/quote]

[dotnetrockz]

[b] Netflix founder and CEO Reed Hastings tells Fortune how he got the idea for the DVD-by-mail service that now has more than eight million customers.[/b]

January 28, 2009: 6:28 AM ET



[img]http://i.l.cnn.net/money/2009/01/27/news/newsmakers/hastings_netflix.fortune/reed_hastings.03.jpg[/img] [b]Netflix's Hastings revolutionized the movie business.[/b]


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(Fortune Magazine) -- The genesis of Netflix came in 1997 when I got this late fee, about $40, for Apollo 13. I remember the fee because I was embarrassed about it. That was back in the VHS days, and it got me thinking that there's a big market out there.
So I started to investigate the idea of how to create a movie-rental business by mail. I didn't know about DVDs, and then a friend of mine told me they were coming. I ran out to Tower Records in Santa Cruz, Calif., and mailed CDs to myself, just a disc in an envelope. It was a long 24 hours until the mail arrived back at my house, and I ripped them open and they were all in great shape. That was the big excitement point.
Don't be afraid to change the model
Early on, the first concept we launched was rental by mail, but it wasn't subscription based, so it worked more like Blockbuster. Some people liked it, but it wasn't very popular. I remember thinking, God, this whole thing could go down, and we said, Let's try the more radical subscription idea. We knew it wouldn't be terrible, but we didn't know if it would be great. We launched the service on Sept. 23, 1999, and we could tell within a month that we had a renewal rate. It was a free trial, but only 20% didn't go from the free trial to the paid. We're up to 90% renewal now.
You know it's working when...
I was down in Arizona in 2003 visiting one of our distribution centers on the outskirts of Phoenix. It was raining, and my umbrella wasn't working, so I walked the half mile from the distribution center to the hotel. I got the message on my BlackBerry that we hit a million [subscribers] that day while I was walking in the rain. It was this beautiful moment where I was just so elated that we were going to make it, and that was also the first quarter that we turned profitable. It was a magic walk.
In my queue
I've seen well over 1,000 movies. The one I remember most was Sophie's Choice, because I was taking European history in college at the time, and I was totally bored with the topic. And then I saw the movie, and I started to care. It changed my perspective. I could relate to the trauma after seeing the movie in a way that I couldn't by studying it.
Secrets of my success[list]
[*][b]Target a specific niche:[/b] When there's an ache, you want to be like aspirin, not vitamins. Aspirin solves a very particular problem someone has, whereas vitamins are a general "nice to have" market. [The Netflix idea] was certainly aspirin.
[*][b]Stay flexible:[/b] We named the company Netflix ([url="http://money.cnn.com/quote/quote.html?symb=NFLX&source=story_quote_link"]NFLX[/url]), not DVDs by Mail because we knew that eventually we would deliver movies directly over the Internet. DVDs will be around a long time, but we're building for the day when they're not.
[*][b]Never underestimate the competition:[/b] We erroneously concluded that Blockbuster ([url="http://money.cnn.com/quote/quote.html?symb=BBI&source=story_quote_link"]BBI[/url], [url="http://money.cnn.com/magazines/fortune/fortune500/2008/snapshots/10036.html?source=story_f500_link"]Fortune 500[/url]) probably wasn't going to launch a competitive effort when they hadn't by 2003. Then, in 2004, they did. We thought, Well, they won't put much money behind it. Over the past four years they've invested more than $500 million against us.
[*][b]There are no shortcuts:[/b] Occasionally great wealth is created in a short amount of time, but it's through a lot of luck in those situations. You just have to think of building an organization as a lot of work. It may or may not turn into great wealth.
[/list]

[dotnetrockz]

even henry ford gadu kuda item gade...pysco type..chala mandhi high level maangement vallani chinna chinna reasons ki fire chesevadu......oka stage lo toyota,honda sales chusi...vaadiki ford higher level management suggestion isthundhi ila toyota valla model ni manam use cheddam ani nate...henry gadu.."i dont nmeed a F**** asian design on my american car" ani titti denguthadu.....

his only success was mustang...

[iTeachSAP]

smartest business move.. AFDB_SAI gave acces to users to change their display names