The Success Story of Lee Iacocca

A straight – shooting businessman

By

Shailaja Darur

Sage Speak---by Dad

• America – Land of Freedom

• Best business – Food

• Things look bad right now, but remember this too shall pass on

• Why walk when you can run?

At Ford

• Joined as student engineer

• First teachers– Murray Kester and Charlie Beacham

• McNamara---President, Maker of Falcon

• “Management is motivating People”

Father Of Mustang

• Cardinal and Edsel

• Fairlane Committee– ‘417 by 4/17’– Net profit:$1.1 billion in 2 yrs

• “Our hotcakes are selling like mustang”

As President of Ford

• Mercury Marquis and Cougar

• Mark III and IV outsold Cadillac

• Two ways of making money– Sell More OR – Cut Costs

• “Four Fifties”

Iacocca Vs Henry

• I love my job, even though many people viewed it as a kind of position that grinds you up and kills you off. But I never saw it that way. To me it was sheer excitement.

• If a guy works for you, don’t let him feel too comfortable, cozy and set in his ways.Always do the opposite of what he expects.Keep your people anxious and off balanced.

Joining “Chrysler- sinking ship”

• As a process of “re-engineering” , Iacocca was made to leave the Ford

• John Riccardo resigns,Iacocca new President of Chrysler

• Chrysler wasn't just bleeding, it was hemorrhaging.

Building the Team

• Business can be reduced to three words– People– Product and – Profit

• Work is what keeps individuals alive

Ad Campaign

• Straightforward and Frank advertising– If you find a better car – buy it.– Would America be better off without Chrysler?

• Real impact on the public

• RESULT: $1.2 billion loan amount was sanctioned

Lessons Learnt

• Get all the education you can, but then, by god, DO SOMETHING!!

• Don’t just stand there, make something happen.

• It isn’t easy, but if you keep your nose to the grindstone and work at it, it amazing how in a free society you can become as “great as you want to be”