R.G. LeTourneau (part 3)

Chapter 14 Concept: Organizational Culture
Like most organizations born from the minds of incredibly charismatic leaders, LeTourneau Technologies retains much of it's founders personality in the form of organizational culture. Robbins discusses the beginning of a culture and the influence of the founder rather bluntly (pg 233):
“Because the founders have the original idea, they also typically have biases on how to get the idea fulfilled. The organization's culture results from the interaction between the founders' biases and assumptions and what the original members learn subsequently from their own experiences.”
The culture that is born is then passed on through generations of employees based on a reward system; people who fit the “mold” are promoted those who don't, leave. LeTourneau Technologies to this day values the things that were important to it's founder even though the company has changed hands multiple times.
Chapter 13 Concept: Innovation Strategy
True to the characteristics of its founder, LeTourneau Technologies' strategy in every area was and continues to be innovation. The company has always been a front-runner in bringing new products to market. Many of it's products were decades ahead of their time, including the electric drive wheel (Casteel, 1998). This concept was developed in the 1950's and is still considered the best, most efficient and effective method of moving large equipment (letourneau-inc.com, bio).
Although an innovation strategy produces new and exciting products, it has a considerable amount of risk associated with it. Robbins states that innovators require flexibility (pg 225) which is what LeTourneau Technologies continually strove for. Innovation is such an indispensable part of their business that their website lists it twice in its description of the company:
“The LeTourneau Technologies, Inc.™ (LTI) companies include some of the world’s leading innovators in manufacturing, design, and implementation of systems and equipment for mining, oil and gas drilling, offshore, power control and distribution, and forestry. … What in the world does LTI stand for? Innovation; advancements in technology that improve and optimize how you do business today and tomorrow.” (letourneau-inc.com, about)
One example that clearly illustrates how LeTourneau and his organization in turn, revolutionized manufacturing as a whole was the advent of welding as a means of original assembly. Welding began as more of a repair process for machines which were damaged, but LeTourneau saw this as an opportunity to improve strength in his machines and reduces cost of drilling holes and adding fasteners (LeTourneau, pg72). A quick survey of manufacturing today would yield very few manufacturers who do not implement welding in some fashion or another.
Chapter 16 Concept: Process Re-engineering

LeTourneau personally questioned all assumptions. What is the best way to manufacture a particular machine? How can I better stimulate thinking about God's plan for salvation? Is tithing 10% always biblical? Why can't I use rubber tires on earthmoving equipment?

These (and many other) questions were asked by LeTourneau which resulted in different answers than others in the similar environments. As mentioned above, LeTourneau Technologies decided that welding was the best method to manufacture many machines. To stimulate thinking about our eternal destiny, LeTourneau hired Chaplins for his manufacturing plant and gave biblical training during working hours away from the production line (LeTourneau, pg242). Near the end of LeTourneau's life he was “tithing” 90% of his income to ministry of spreading the Gospel. And the rubber tires, that is what made LeTourneau the largest earthmoving equipment supplier in World War II, supplying more than 70% of equipment to the allies (letourneau-inc.com, bio).


Sources Sited:



Casteel, Kyran. "Longview legend." World Mining Equipment 22.n8 (Oct 1998): 24(2). General OneFile. Gale. CORBAN COLLEGE. 21 Oct. 2009

LeTourneau, R.G.(1967) Mover of Men and Mountains, Autobiography. Prentice-Hall.

(bio) http://www.letourneau-inc.com/about/RG_bio.htm

(about) http://www.letourneautechnologies.com/about/index.htm

National Defense 85.568 (March 2001): 7. General OneFile. Gale. CORBAN COLLEGE. 21 Oct. 2009

Robbins, S.P. (2005). Essentials of Organizational Behavior - 8th Edition. Pearson - Prentice Hall.