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Words: | Submitted: Mon Jun 19 2006
... had its problems, one being the extremely high turn over of workers, due to the boring and repetitive nature of the work. To overcome this the '5 - dollar day' was introduced which effectively doubled wages. An inevitable feature of Fordism was the number of defective cars produced but instead of increasing skills they added an inspection and 'rework' department at the end of the line, but defective cars still got though. Fordism is characterised by early radical product innovation, resulting in many competing designs, then a series of process innovations and scaling up lead to a dominant design. Next mergers and bankruptcies led to a few market leaders in the industry. After which incremental innovation prevails. During this dynamic process many things adjusted, initially processes were flexible and inefficient, they become more rigid until towards the end the process has become fixed and very efficient. The equipment used starts off ...
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