Overview Of Fordism

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“They can have it any colour, as long as it’s black” was famously said by Henry Ford, in reference to his car factory, without realising he was about to create an era that is often referred to as the machine that came in and changed the world. Throughout the essay we will be looking at several aspects of Fordism- its features and its influence on revolutionising the organisational world. Fordism is a hard area to describe, but in brief it refers to the system of mass production and consumption that produced sustained economic growth and widespread material advancement (Jayne, 2006). Before Henry Ford came into the equation and introduced his new working methods, there were several problems already occurring in the working world that Fordism helped to address. For example, there was divided authority between workers and managers, as well as inefficiencies, contradictions of interest and market competition. Whilst Fordism helped improve certain areas of management and society, there were also a few problems that arose from it.

Fordism was truly revolutionary touching all areas of the industrial sector, creating a new scientific management. It brushed away the old fashioned features related to the early 20th century capitalist society whilst at the same time sustaining economic development. Merkle, 1980 states Fordism wasn’t completely compatible with capitalism, however Henry Ford succeeded in slowly eliminating the ‘bubble and glut economy’ (Lind,M., 2013). Ford really pushed the idea of a ‘high-wage, high-demand economy’ (Lind,M., 2013) by paying his workers enough money to afford the cars they produced. This was only at a national level; internationally the export and import of goods and services from industrial nations all...

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.... Fast food chains, ie. McDonalds require low skilled staff to produce a standardized product and service; just like the production line workers at Ford.
Furthermore, expanding on the idea of mass production, it meant that more products were available for a cheaper price and for a wider range of people, which had a big influence in society. Jessop (in Amin, 1994, p. 9) agrees with this as it expresses the idea that Fordism is an industrial paradigm that involves mass production which is its main source of dynamism. Mass production meant that finally there were products available to everyone and not just the higher classes. Ford was all about the welfare of the customers and wanted his products to be available to everyone. This was evident as he said, “It is not the employer who pays the wages. Employers only handle the money. It is the customer who pays the wages.”

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