Alfred P. Sloan: Industry

Alfred P. Sloan was American businessman. Explore interesting quotes on industry.
Alfred P. Sloan: 94   quotes 0   likes

“Industry's responsibilities broaden. Its leaders must develop an enlightened and militant statesmanship, for progress in the solution of these problems is vital. If this responsibility is not assumed and discharged from within industry, it is bound to be superimposed from without.”

Alfred P. Sloan

Source: "The Broadened Responsibilities of Industry's Executive," 1936, p. 362

Problem

“First let us ask whether our wealth-creating agencies, particular that of industry, are to be based upon private enterprise of policy management. I can not see how any intelligent observer can have any possible faith in the capacity of political management to provide either stability or progress if it should set out to operate the agencies of wealth creation, particularly industry. It is my firm conviction that any form of 'Government Regulation of Business' is bound to result in an ever-increasing interference with the broad exercise of initiative - the very foundation of the American system. That is the natural evolution of bureaucracy. If that be so, might not the ultimate logical result be the necessity for the socialization of industry through the break down of the profit system induced by the accumulative effect of the ever-increasing political management. We do not need to go far afield to see definite evidences of that possibility”

Alfred P. Sloan

as cited in: Thurman Arnold (2000, 72-73).
New York Times interview, 1935

Faith , Exercises , Intelligence , Business

“A recovery after a depression is as inevitable as that day follows night. It can not be permanently suppressed. Its vitality is so powerful that it will break down the barriers set up by the most arbitrary dictator. Hence there is developing a new confidence and a new faith in those principles which have formed the the foundation of economic evolution and industrial progress during the last several decades — principles which we have been proud to call "American principles," and for which we have been reared with a wholesome respect. There are still lacking the assurances of a broad and definitely defined opportunity and the elimination of certain unsound economic policies, thus limiting the application of these vital principles we have always known and retarding their ability to accelerate our economic recovery.”

Alfred P. Sloan

Source: "The Broadened Responsibilities of Industry's Executive," 1936, p. 351; Lead paragraph.

Faith , Confidence , Night

“But as president of General Motors, I realized our thinking affected the lives of hundreds of thousands directly and influenced the economic welfare of many important communities, in some of which we were almost the sole provider. In some way, visible or invisible, as we expanded, the economic welfare of millions was becoming linked with the welfare of General Motors. Previously, when industry was smaller, the absorbing problems of industrial management were largely limited to the fields of engineering, production and distribution. Out of its endeavors in these fields had come a continuous stream of new products, providing new comforts and making possible better ways of living. General Motors was becoming large through a, but only because it was rendering a service to community. As its volume of business expanded it became able to do more for workers, stockholders and customers.”

Alfred P. Sloan

Source: Adventures of a White-Collar Man. 1941, p. 144

Way , Communication , Business , Problem

“You of course appreciate that this industry of ours the automotive industry is today the greatest in the world. Three or four years ago it passed, in volume, steel and steel products, the next largest industry. This means, expressed otherwise, that upon its prosperity depends the prosperity of many millions of our citizens and the degree to which it has become stabilized in turn has a tremendous influence on the stabilization of industry as a whole, and therefore on the prosperity and happiness of still many more of our citizens. Directly and indirectly, this industry distributes hundreds of millions of dollars annually to those who are connected with it, in one way or another, as workers. It also distributes hundreds of millions of dollars in the aggregate to those who have invested in its securities. The purchasing power of this total aggregation, as you must appreciate, is tremendous.
I believe that if you questioned many of your readers as to the present position of the automotive industry, they would tell you that it is growing by leaps and bounds. I believe further you would sense uncertainty as to what is going to happen in the industry when the so-called state of saturation is reached. I do not know whether you appreciate it or not, but the industry has not grown very much during the past three or four years. It is practically stabilized at the present time.”

Alfred P. Sloan

Source: Alfred P. Sloan in The Turning Wheel, 1934, p. 331-2: Speech by President Alfred P. Sloan, Jr., delivered to representatives of the automotive press at the Proving Ground on September 28, 1927.

World , Way , Question , Sense

“Many associate the word scientific with physics. But it means much more than that. Scientific management means a constant search for the facts, the true actualities, and their intelligent, unprejudiced analysis. Thus, and in no other way, policies and their administration are determined. I keep saying to the General Motors organization that we are prepared to spend any proper amount of money to get the facts. Only by increased knowledge can we progress, perhaps I had better say survive. That is really research, but few realize research can and should be just as effectively used in all functional branches of industry as in physics”

Alfred P. Sloan

Source: Adventures of a White-Collar Man. 1941, p. 140

Money , Way , Search , Intelligence

“Technological progress — and it is a pity more do not appreciate it — is the one sound approach to increased employment and higher wages. There is no other way. Irrespective of what is being said to the contrary, new industries can be created, present industries can be expanded, unemployment can be eliminated in a practical way”

Alfred P. Sloan

Source: Adventures of a White-Collar Man. 1941, p. 10; Published earlier in: Drugs, Oils & Paints, (1939). Vol. 54-55, p. 335

Way

“The industry has not grown much during the past three or four years. It is practically stabilized at the present [1927]. What has taken place is a shift from one manufacturer to another.”

Alfred P. Sloan

Source: Alfred P. Sloan in The Turning Wheel, 1934, p. 210. Sloan in his Proving Ground address in 1927 to automobile editors, in discussing the so-called saturation point.

Past

“In the 1920… the closed body rose to dominance, the Model T came to an end, and the upgrading of cars began. The events of the past few years of car market, I believe, have validated the General Motors product policy that we formulated in 1921. John Gordon, president of General Motors, recently observed that our slogan of “a car for every purse and purpose” is as appropriate as ever; indeed, we have never offered our customers greater variety and choice than we do today. In the 1963 model year the industry offers 429 models of domestically produced cars, compared with 272 in 1955; General Motor alone had 138 models in 1963, compared with 85 in 1955.”

Alfred P. Sloan

Source: My Years with General Motors, 1963, p. 512 (2015 edition)

Cars , Past

“Having been connected with industry during my entire life, it seems eminently proper that I should turn back, in part, the proceeds of that activity with the hope of promoting a broader as well as a better understanding of the economic principles and national policies which have characterized American enterprise down through the years.”

Alfred P. Sloan

Alfred P. Sloan (1936); Cited in: " OBITUARY : Alfred P. Sloan Jr. Dead at 90; G.M. Leader and Philanthropist http://www.nytimes.com/learning/general/onthisday/bday/0523.html," the New York Times, February 18, 1966. This article comments:
Toward the end of the year [1936] Mr. Sloan made a substantial foray into philanthropy by endowing the Alfred P. Sloan Foundation with $10-million.

Life , Hope , Understanding , Parting

“Some see danger in bigness. They fear the concentration of economic power that it brings with it. That is in a degree true. It simply means, however, that industrial management must expand its horizons of responsibility. It must recognize that it can no longer confine its activities to the mere production of goods and services. It must consider the impact of its operation on the economy as a whole in relation to the social and economic welfare of the entire community. For years I have preached this philosophy. Those charged with great industrial responsibility must become industrial statesmen.”

Alfred P. Sloan

Source: "The Broadened Responsibilities of Industry's Executive," 1936, p. 358; Also in Sloan & Sparkes (1941, 145); Partly cited in: Roland Marchand (1997, p. 83)

Fear , Communication

“My father was in the wholesale tea, coffee, and cigar business, with a firm called Bennett-Sloan and Company. In 1885 he moved the business to New York City, on West Broadway, and from the age of ten I grew up in Brooklyn. I am told I still have the accent. My father's father was a schoolteacher. My mother's father was a Methodist minister. My parents had five children, of whom I am the oldest. There is my sister, Mrs. Katharine Sloan Pratt, now a widow. There are my three brothers — Clifford, who was in the advertising business; Harold, a college professor; and Raymond, the youngest, who is a professor, writer, and expert on hospital administration. I think we have all had in common a capability for being dedicated to our respective interests.
I came of age at almost exactly the time when the automobile business in the United States came into being. In 1895 the Duryeas, who had been experimenting with motor cars, started what I believe was the first gasoline-automobile manufacturing company in the United States. In the same year I left the Massachusetts Institute of Technology with a a BS. in electrical engineering, and went to work for the Hyatt Roller Bearing Company of Newark, later of Harrison, New Jersey. The Hyatt antifriction bearing was later to become a component of the automobile, and it was through this component that I came into the automotive industry. Except for one early and brief departure from it, I have spent my life in the industry.”

Alfred P. Sloan

Source: My Years with General Motors, 1963, p. 37

Life , Children , Age , Cars

“What has taken place is a shift of business from one manufacturer to another, and the announcements in the press as well as the general publicity of those manufacturers who have succeeded in increasing their business give, I think, the impression that this is true of the whole industry. If we could assume, for the sake of argument, that we will reach the point at which twenty-five million cars and trucks will be registered in the United States an assumption that from what we have accomplished so far is certainly perfectly reasonable then I think we could safely say that the replacement demand, plus the export demand which will increase for many years yet, plus the normal growth, would amount to something like four to four and one half million vehicles a year and would require the manufacture of a number of cars equal to or greater than has yet been produced in any year in the history of the industry…
I am sure that I do not need to elaborate what the automotive industry consists of, its influence on the prosperity of the United States, the influence that it has had in many other industries which contribute to its production necessities. General Motors is an important part of this great industry of ours and as my contribution to your visit with us I would like to tell you in a brief way something about General Motors; how we are thinking, what we are doing, and our ambitions for the future.”

Alfred P. Sloan

Source: Alfred P. Sloan in The Turning Wheel, 1934, p. 332-3: Speech by President Alfred P. Sloan, Jr., 1927 (II)

Cars , Way , History , Business

“Industry must further expand its horizon of thinking and action Industry must further expand its horizon of thinking and action. It must assume the role of an enlightened industrial statesmanship. To the extent that it accepts such broadened responsibilities, to that degree does it assure the maintenance of private enterprise, and with it the exercise of free initiative as the most efficient creator of wealth.
During the past few years it has become the vogue to discredit every instrumentality of accomplishment, be it the individual or the machine. It has been said that American industry is selfish. It would be far more just to say that it has been preoccupied — preoccupied in exploring the secrets of nature and creating a continuous flow of new products.
But, as we look forward, and as we analyze the evolution that has occurred, I am convinced that industry's responsibilities can no longer be adequately discharged, however efficient and effective it may be, with the mere physical production of goods and services.”

Alfred P. Sloan

as cited in: Thurman Arnold. The Folklore of Capitalism. (2000), p. 72
New York Times interview, 1935

Secret , Exercises , Nature , Thinking

“I had trouble at first, in the early 1900s, in selling Mr. Leland our roller bearings. He then taught me the need for greater accuracy in our products to meet the exacting standards of interchangeable parts. Mr. Leland came to the industry with a mature experience in general engineering and in gasoline engines, which he had long made for boats. One of his specialties was precision metalwork, which went back to his experience in toolmaking for a federal arsenal during the Civil War, and which he afterward developed in the Brown and Sharpe Company, machine-tool makers of Providence, Rhode Island. It has been called to my attention It has been called to my attention that Eli Whitney, long before, had started the development of interchangeable parts, a fact which suggests a line of descent from Whitney to Leland to the automobile industry.”

Alfred P. Sloan

Source: My Years with General Motors, 1963, p. 20 (in 1964 edition)

War , Parting