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Alfred P. SloanFrom Wikipedia, the free encyclopedia

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Alfred P. Sloan

Cover ofTime Magazine (December 27, 1926)

BornMay 23, 1875

New Haven, Connecticut

Died February 17, 1966 (aged 90)

Education Massachusetts Institute of Technology

Known for President & CEO ofGeneral Motors

Alfred Pritchard Sloan, Jr. (May 23, 1875 February 17, 1966) was a long-timepresident andchairman ofGeneral Motors.[1]

Contents[hide]

1 Biography

o 1.1 Criticism

1.1.1 Sloan Scrutinized for Alleged Nazi Collaboration

2 Philanthropy

3 Quotes

4 See also

5 References
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6 Further reading

7 External links

Biography

Sloan was born inNew Haven, Connecticut. He studied electrical engineering andgraduated from the Massachusetts Institute of Technologyin 1895. While attending MIThe joined the Delta Upsilon fraternity.

He became president and owner of Hyatt Roller Bearing, a company that made roller andball bearings, in 1899. For a brief period of time at the beginning of the 20th century,Ford Motor Company sourced bearings from Hyatt. In 1916 his company merged withUnited Motors Company which eventually became part ofGeneral Motors Corporation.He became Vice-President, then President (1923), and finally Chairman of the Board(1937) of GM. In 1934, he established the philanthropic, nonprofit Alfred P. SloanFoundation. GM under Sloan became famous for managing diverse operations withfinancial statistics such as return on investment; these measures were introduced to GMby Donaldson Brown, a protege of GM vice-president John J. Raskob who was in turnthe protege ofPierre du Pontthe DuPont corporation owned 43% of GM.

Sloan is credited with establishing annual styling changes, from which came the conceptofplanned obsolescence. He also established a pricing structure in which (from lowest tohighest priced) Chevrolet, Pontiac, Oldsmobile, Buickand Cadillacreferred to as theladder of successdid not compete with each other, and buyers could be kept in the GM"family" as their buying power and preferences changed as they aged. These concepts,along with Ford's resistance to the change in the 1920s, propelled GM to industry salesleadership by the early 1930s, a position it retained for over 70 years. Under Sloan's

direction, GM became the largest and most successful and profitable industrial enterprisethe world had ever known.[peacock term]

In the 1930s GM, long hostile to unionization, confronted its workforce, newly organizedand ready for labor rights, in an extended contest for control. Sloan was averse toviolence of the sort associated with Henry Ford. He preferred the subtle use of spying andhad built up the best undercover apparatus the business community had ever seen up tothat time.[peacock term][citation needed] When the workers organized a massive sitdown strike in1936, Sloan found that espionage had little value in the face of such open tactics.

The world's first university-based executive education programthe Sloan Fellowswas created in 1931 at MIT under the sponsorship of Sloan. A Sloan Foundation grantestablished the MIT School of Industrial Management in 1952 with the charge ofeducating the "ideal manager", and the school was renamed in Sloan's honor as the AlfredP. Sloan School of Management, one of the world's premier business schools. Additionalgrants established a Sloan Institute of Hospital Administration Sloan Program in HealthAdministration in 1955 at Cornell University Cornell University-the first two yeargraduate program of its type in the US, aSloan Fellows Program at Stanford GraduateSchool of Business in 1957, and at London Business School in 1965.[2] They became
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degree programmes in 1976, awarding the degree of Master of Science in Management.Sloan's name is also remembered in theSloan-Kettering Institute and Cancer CenterinNew York. In 1951, Sloan received The Hundred Year Association of New York's GoldMedal Award "in recognition of outstanding contributions to the City of New York."

The Alfred P. Sloan Museum, showcasing the evolution of the automobile industry andtraveling galleries, is located in Flint, MI.[3]

Sloan maintained an office in 30 Rockefeller Plaza inRockefeller Center, now known asthe GE Building.[5] He retired as GM chairman on April 2, 1956 and died in 1966.[1]

Mr. Sloan was inducted into the Junior Achievement U.S. Business Hall of Fame in 1975.

[edit] Criticism

In 2005, Sloan's work at GM had come under criticism for creating a complicatedaccounting system that prevents the implementation oflean manufacturing methods.Essentially, the criticism is that by using Sloan's methods a company will value inventoryjust the same as cash, and thus there is no penalty for building up inventory. This systemseems to have been widely adopted because of its significant advancement over previousmethods.[4] However, carrying excessive inventory is detrimental to a company'soperation and induces significant hidden costs. Sloan's system was implemented by othermajor companies, especially in the United States, and eventually undermined their abilityto compete with companies that did not use it. (Waddell & Bodek 2005)

During Alfred P. Sloan's leadership of GM, many public transport systems oftrams in theUS were replaced bybuses. Some critics, such as Edwin Black, claim that Sloan was alsoinstrumental in the demise of public city transport throughout the United States [5] GMwas found guilty of violating anti-trust laws, but the penalties imposed were nugatory,

even for the time: a $5,000 fine for the company and $1 fines for each convictedexecutive.

Sloan Scrutinized for Alleged Nazi Collaboration

Nazi armaments chiefAlbert Speertold a congressional investigator that Germany couldnot have attempted its September 1939 Blitzkrieg of Poland without the performance-boosting additive technology provided by Alfred P. Sloan andGeneral Motors.[6][7]

Edwin Blackwrites in his article, "Hitler's Carmaker: The Inside Story of HowGeneralMotors Helped Mobilize the Third Reich"[8], about Sloan's support for Nazi Germany:

"For Sloan, motorizing the fascist regime that was expected to wage a bloody war inEurope was the next big thing and a spigot of limitless profits for GM. But unlike manycommercial collaborators with the Nazis who were driven strictly by the icy quest forprofits, Sloan also harbored a political motivation. Sloan despised the emergingAmerican way of life being crafted by President Franklin Delano Roosevelt. Sloan hatedRoosevelts New Deal, and admired the strength, irrepressible determination and sheermagnitude of Hitlers vision."
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"A car for every purse and purpose". (Sloan 1963, p. 438)

"I am sure we all realize that this struggle that is going on through the World isreally nothing more or less than a conflict between two opposing technocraciesmanifesting itself to the capitalization of economic resources and products and allthat sort of thing."May 1941

"It seems clear that the Allies are outclassed on mechanical equipment, and it isfoolish to talk about modernizing their Armies in times like these, they ought tohave thought of that five years ago. There is no excuse for them not thinking ofthat except for the unintelligent, in fact, stupid, narrow-minded and selfishleadership which the democracies of the world are cursed with But when someother system develops stronger leadership, works hard and long, and intelligentlyand aggressivelywhich are good traitsand, superimposed upon that, developsthe instinct of a racketeer, there is nothing for the democracies to do but fold up.And that is about what it looks as if they are going to do."June 1940

"Technological progress-and it is a pity more do not appreciate it-is the one soundapproach to increased employment and higher wages. There is no other way."(Sloan 1941, p. 10)

"General Motors was becoming large through a process of evolution, but onlybecause it was rendering a service to community. As its volume of businessexpanded it became able to do more for workers, stockholders and customers."(Sloan 1941, p 144)

Scientific management means a constant search for the facts, the true actualities,and their intelligent, unprejudiced analysis. Thus, and in no other way, policiesand 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 thefacts. Only by increased knowledge can we progress, perhaps I had better saysurvive. (Sloan 1941)

See also

The Alfred P. Sloan Prize. Given to films dealing with science and technology bythe Alfred P. Sloan Foundation each year at theSundance Film Festival.

Sloan was a member ofThe Crusaders, an organization that promoted the repealof National Prohibitionof alcohol in the US.

List of people on the cover of Time Magazine: 1920s - 27 Dec. 1926

References

1. ^ ab "Alfred P. Sloan Jr. Dead at 90; G.M. Leader and Philanthropist; Alfred P. Sloan Jr.,Leader of General Motors, Is Dead at 90".New York Times. February 18, 1966. "AlfredP. Sloan Jr., who shaped the General Motors Corporation into one of the world's largestmanufacturing enterprises, died of a heart attack yesterday afternoon at Memorial Sloan-
http://en.wikipedia.org/wiki/Alfred_P._Sloan_Prizehttp://en.wikipedia.org/wiki/Alfred_P._Sloan_Foundationhttp://en.wikipedia.org/wiki/Sundance_Film_Festivalhttp://en.wikipedia.org/wiki/Sundance_Film_Festivalhttp://en.wikipedia.org/wiki/The_Crusaders_(repeal_of_alcohol_prohibition)http://en.wikipedia.org/wiki/The_Crusaders_(repeal_of_alcohol_prohibition)http://en.wikipedia.org/wiki/Prohibitionhttp://en.wikipedia.org/wiki/Prohibitionhttp://en.wikipedia.org/wiki/List_of_people_on_the_cover_of_Time_Magazine:_1920shttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-NYT1_0-0%23cite_ref-NYT1_0-0http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-NYT1_0-1%23cite_ref-NYT1_0-1http://en.wikipedia.org/wiki/New_York_Timeshttp://en.wikipedia.org/wiki/New_York_Timeshttp://en.wikipedia.org/wiki/Alfred_P._Sloan_Prizehttp://en.wikipedia.org/wiki/Alfred_P._Sloan_Foundationhttp://en.wikipedia.org/wiki/Sundance_Film_Festivalhttp://en.wikipedia.org/wiki/The_Crusaders_(repeal_of_alcohol_prohibition)http://en.wikipedia.org/wiki/Prohibitionhttp://en.wikipedia.org/wiki/List_of_people_on_the_cover_of_Time_Magazine:_1920shttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-NYT1_0-0%23cite_ref-NYT1_0-0http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-NYT1_0-1%23cite_ref-NYT1_0-1http://en.wikipedia.org/wiki/New_York_Times


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Kettering Center here. He was 90 years old."

2. ^ [1]

3. ^ [2]

4. ^ Sloan, Alfred P., (1965). My Years With General Motors

5. ^ http://www.internalcombustionbook.comsee also General Motors streetcar conspiracyandNazi Nexusfor details.

6. ^ . http://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htm.

7. ^http://www.internalcombustionbook.com/archive/offsite/jweekly/JWeeklyGMandtheNazis.html

8. ^ Hitler's Carmaker: The Inside Story of HowGeneral MotorsHelped Mobilize the ThirdReich

9. ^ [3]

10. ^ [4]

11. ^ [Nazi Nexus, America's Corporate Connections to Hitler's Holocaust]

Further reading

McDonald, John; Alfred D. Chandler(2003).A Ghosts Memoir: The Making ofAlfred P. Sloans 'My Years with General Motors'. MIT Press. ISBN0262632853.http://eh.net/bookreviews/library/0524.shtml.

McKenna, Christopher D. (2006). "Writing the ghost-writer back in: AlfredSloan, Alfred Chandler, John McDonald and the intellectual origins of corporatestrategy". Management and Organizational History1 (2): 107126.doi:10.1177/1744935906064087.

Pelfrey, William (2006).Billy, Alfred and General Motors. Amacom Publishing.

Waddell, William H.; Bodek, Norman (2005).Rebirth of American Industry - AStudy of Lean Management. Vancouver, WA: PCS Press. ISBN0-9712436-3-8.

Dobbs, Michael (1998-11-30). "Ford and GM Scrutinized for Alleged Nazi

Collaboration". Washington Post.http://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htm.

Black, Edwin (2006-12-06). "Hitler's carmaker".Jerusalem Post.http://www.jpost.com/servlet/Satellite?cid=1164881835577&pagename=JPost%2FJPArticle%2FPrinter.

Sloan, Alfred P (1964). My Years at General Motors. New York: Doubleday.
http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-1%23cite_ref-1http://www.center-osvita.dp.ua/programs/97u.phphttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-2%23cite_ref-2http://sloanmuseum.com/http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-3%23cite_ref-3http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-4%23cite_ref-4http://www.internalcombustionbook.com/http://en.wikipedia.org/wiki/General_Motors_streetcar_conspiracyhttp://en.wikipedia.org/w/index.php?title=Nazi_Nexus&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Nazi_Nexus&action=edit&redlink=1http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-5%23cite_ref-5http://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-6%23cite_ref-6http://www.internalcombustionbook.com/archive/offsite/jweekly/JWeeklyGMandtheNazis.htmlhttp://www.internalcombustionbook.com/archive/offsite/jweekly/JWeeklyGMandtheNazis.htmlhttp://www.internalcombustionbook.com/archive/offsite/jweekly/JWeeklyGMandtheNazis.htmlhttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-7%23cite_ref-7http://globalresearch.ca/index.php?context=viewArticle&code=20070505&articleId=5571http://globalresearch.ca/index.php?context=viewArticle&code=20070505&articleId=5571http://en.wikipedia.org/wiki/General_Motorshttp://en.wikipedia.org/wiki/General_Motorshttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-8%23cite_ref-8http://libcom.org/library/allied-multinationals-supply-nazi-germany-world-war-2http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-9%23cite_ref-9http://aconstantineblacklist.blogspot.com/2009/02/nazi-collaborator-alfred-p-sloan.htmlhttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-10%23cite_ref-10http://en.wikipedia.org/wiki/Alfred_D._Chandlerhttp://en.wikipedia.org/wiki/Alfred_D._Chandlerhttp://eh.net/bookreviews/library/0524.shtmlhttp://eh.net/bookreviews/library/0524.shtmlhttp://en.wikipedia.org/wiki/International_Standard_Book_Numberhttp://en.wikipedia.org/wiki/Special:BookSources/0262632853http://en.wikipedia.org/wiki/Special:BookSources/0262632853http://eh.net/bookreviews/library/0524.shtmlhttp://en.wikipedia.org/wiki/Digital_object_identifierhttp://dx.doi.org/10.1177%2F1744935906064087http://en.wikipedia.org/wiki/International_Standard_Book_Numberhttp://en.wikipedia.org/wiki/Special:BookSources/0-9712436-3-8http://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.jpost.com/servlet/Satellite?cid=1164881835577&pagename=JPost%2FJPArticle%2FPrinterhttp://www.jpost.com/servlet/Satellite?cid=1164881835577&pagename=JPost%2FJPArticle%2FPrinterhttp://www.jpost.com/servlet/Satellite?cid=1164881835577&pagename=JPost%2FJPArticle%2FPrinterhttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-1%23cite_ref-1http://www.center-osvita.dp.ua/programs/97u.phphttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-2%23cite_ref-2http://sloanmuseum.com/http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-3%23cite_ref-3http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-4%23cite_ref-4http://www.internalcombustionbook.com/http://en.wikipedia.org/wiki/General_Motors_streetcar_conspiracyhttp://en.wikipedia.org/w/index.php?title=Nazi_Nexus&action=edit&redlink=1http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-5%23cite_ref-5http://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-6%23cite_ref-6http://www.internalcombustionbook.com/archive/offsite/jweekly/JWeeklyGMandtheNazis.htmlhttp://www.internalcombustionbook.com/archive/offsite/jweekly/JWeeklyGMandtheNazis.htmlhttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-7%23cite_ref-7http://globalresearch.ca/index.php?context=viewArticle&code=20070505&articleId=5571http://en.wikipedia.org/wiki/General_Motorshttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-8%23cite_ref-8http://libcom.org/library/allied-multinationals-supply-nazi-germany-world-war-2http://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-9%23cite_ref-9http://aconstantineblacklist.blogspot.com/2009/02/nazi-collaborator-alfred-p-sloan.htmlhttp://en.wikipedia.org/wiki/Alfred_P._Sloan#cite_ref-10%23cite_ref-10http://en.wikipedia.org/wiki/Alfred_D._Chandlerhttp://eh.net/bookreviews/library/0524.shtmlhttp://eh.net/bookreviews/library/0524.shtmlhttp://en.wikipedia.org/wiki/International_Standard_Book_Numberhttp://en.wikipedia.org/wiki/Special:BookSources/0262632853http://eh.net/bookreviews/library/0524.shtmlhttp://en.wikipedia.org/wiki/Digital_object_identifierhttp://dx.doi.org/10.1177%2F1744935906064087http://en.wikipedia.org/wiki/International_Standard_Book_Numberhttp://en.wikipedia.org/wiki/Special:BookSources/0-9712436-3-8http://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.washingtonpost.com/wp-srv/national/daily/nov98/nazicars30.htmhttp://www.jpost.com/servlet/Satellite?cid=1164881835577&pagename=JPost%2FJPArticle%2FPrinterhttp://www.jpost.com/servlet/Satellite?cid=1164881835577&pagename=JPost%2FJPArticle%2FPrinterhttp://www.jpost.com/servlet/Satellite?cid=1164881835577&pagename=JPost%2FJPArticle%2FPrinter


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Sloan, Alfred P (1941).Adventures of a White Collar Man. New York:Doubleday, Doran. ISBN978-0836954852.

External links

Alfred P. Sloan Foundation, whose total assets had a market value of over $1.5billion in 2005

Official Generations of GM Wiki site: Sloan, Alfred Pritchard, Jr.

Review of Klein and Olson's film Taken for a Ride

Contribution of Alfred P. Sloan to changes in rapid transit systems

Extract from Bradford C. Snell, American Ground Transport: A Proposal forRestructuring the Automobile, Truck, Bus and Rail Industries. Report presentedto the Committee of the Judiciary, Subcommittee on Antitrust and Monopoly,United States Senate, February 26, 1974, United States Government PrintingOffice, Washington, 1974, pp. 16-24.

Hitler's Carmaker: The inside story of how General Motors helped mobilize theThird Reich

Find Law

Taken for a Ride
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