INSEAD Library

Includes bibliographical references and index

Digitized

Billy, Alfred, and General Motors The Story to Two Unique Men, a Legendary Company, and a Remarkable Time in American History Contents Acknowledgments xi A Note on Sources and Permissions xiii Introduction: What They Wrought xv 1 1920: The Fateful Year 1 America and the General on a Roll n Losing a Man Named Chrysler n The Eve of Showdown 2 A Precocious Dropout Forges His First Empire 17 A Hands-On Education n Sins of the Fathers n Just a Short Ride Across Town n Selling Billy Durant, Then Selling the Product n A Bitter Lesson in Production Control n From Start-Up to Industry Leader 3 A Quiet Student Becomes a First-Class Supplier 37 Staying on Message n A Most Serious Young Man n Early Risk and Turnaround n Seeing a New Market 4 A New Machine Creates a New Order 51 An Ancient Idea Slowly Takes Hold n Enter Ransom Olds n Leland, Master of Precision n Henry Ford and His Demons n Leland Is in, Cadillac Is Born n Alfred Meets Henry . . . and Henry Rises Again 5 Restless in Flint, Antsy in New York 77 The Good Life in Flint n Spared the Strife . . . for the lime Being n A Different Routine for Billy's Executive Team n A Hardy Man Takes the Plunge Without Billy n Billy Takes a Sabbatical n David Buick Takes His Shot n Enter the Briscoe Boys and Whiting of Flint 6 The Dropout's Next Big Thing 93 Making It a Go n Another Industry Precedent, and an Early Jab from Alfred n Billy Finds a New Flame n Buick Triumphant n No Legacy for David n A Shakeout on the Horizon 7 Birth of a General 109 A Hyatt Customer Prepares to Shift into High Gear n Henry Ford's Different Product Strategy n Billy Takes Another Call n Billy Brings the Big Four viii Contents Together . . . n Henry Ford Kills Morgan's Big Deal n Billy Cuts His Own Deal n No Headlines for Billy's Newborn 8 Shooting for the Stars 129 Putting the House of Olds in Order by Cutting the Baby in Quarters n Cadillac Makes Itself the World Standard . . . Despite Slumping Sales n Wooing the Lelands n One More Run at Henry Ford n The Great Race... and More Great Opportunities n A Whirling Dervish Unconstrained 9 Down but Hardly Out 147 Billy Says Goodbye . . . for Now n A Case of Conspiracy or Prudence? n Henry Pulls Away . . . and Brings America with Him n Heady but Precarious Days for Sloan the Supplier n The Bankers Turn to James Storrow, Brahmin n Billy Champions a Former Protégé n Every Executive Recruiter's Dream Candidate: Walter Chrysler n The Bankers' Bottom Line n Enter Kettering with His SelfStarter n The Bankers' Philosophy vs. Henry Ford's 10 Beating the Odds with Chevrolet 169 Taking on the Model T . . . Slowly n A Different Way to Build Brand Awareness and Community Relations n Finally, the Long-Awaited Hit n Henry Again Changes the Game n The Guardian from Delaware and His Right Hand 11 A Boardroom Coup Like None Before or Since 187 The Mother of All Proxy Battles n Another Clash of Philosophies: Pierre vs. Billy on Corporate Governance n Cementing the Base: Step One, Locking in Chrysler n Step Two, Luring Alfred into the Fold n Alfred Moves Up with Billy 12 The Founder's Grip Slips Again 205 Henry Ford's Plunge into Pacifism, Politics, and Prejudice n Billy Durant vs. the Lelands n Good Times on the New Jersey Shore, but Not on Wall Street n The Wizard Gambles Again . . . and Dilutes His Power 13 A Last Good-Bye to the Baby 221 Prelude to the Crisis n General Motors' Response vs. Ford Motor's n The Founder Has His Own Doubts as His Leadership Team Remains Mute n Done in by the Street . . . Again n Billy Does Right by His Baby n The End of an Era Contents ix 14 Alfred Pulls the Ranks Together 237 Pierre Comes Out from Behind the Curtain n Kettering's Copper-Cooled Engine n From Standoff to Near Meltdown n Defying the Consultants to Save Chevrolet n Decentralized Operations with Coordinated Control n Henry Ford Misses a Sea Change in the Market n A Car for Every Purse and Purpose 15 From Transformation to Domination 253 A New Paradigm for Product Design n The Annual Model Change n Beyond the United States n Nonautomotive Forays and Legacies n Financial (and Other) Controls n Attracting, Developing, and Holding the Best Talent at All Levels n Unrest in the Ranks n Politicians and Executives Don't Mix n The Finest Hour: General Motors Goes to War for America n The Sloan Philosophy and Legacy of Winning Epilogue: What's Good for General Motors . . . 273 Chronology of Key Events 281 Notes 285 Selected Bibliography 297 Index 303 About the Author 315