Blessings in Disguise

Alexander Winton in 1897 turned his company from production bicycle into Automobile company and named it Winton Motor Carriage Company . He was indeed an automobile pioneer in North America Continent, a year later he sold about 22 motor vehicles including to an unhappy consumer– James Ward Packard. On August 13, 1898, James Packard purchased the 13th Winton car and unfortunately for him The Car broke many times which angered Packard furiously, after Packard complained to Alexander Winton personally and offered suggestions for improvement instead Winton challenged him “if you are that smart go build your own car”. This comment which proved to be the turning point for Packard, Packard built his first car in less than 15 months on November 6, 1899 to prove Winton that he is indeed a better Automaker. In 1900, the company incorporated as the Ohio Automobile Company. By enlisting of group of investments like Henry Bourne Joy, (a Detroit’s elite family) , Truman Handy Newberry (Joy’s brother in law and future Secretary of Navy& Senator) and Russell A. Alger (former Governor & Secretary of War and a Lumber Baron) On October 2, 1902, into the Ohio Automobile Company, the company renamed as the Packard Motor Car Company and it got relocated to Detroit in 1903. Following the company relocation to Detroit, the Packard brothers focused on making automotive electrical systems through the Packard Electric Company and stayed in Warren ( Ohio) and later General Motors acquired that company in 1932, renaming it Delphi Packard Electric Systems in 1995. The company was spun off as an independent company in 1999. James Ward Packard sold all shares in Packard Automobile division in late 1920’s to fund “Lehigh University the Mechanical & Electrical Engineering departments”, he also donated one third of his wealth to the same university after his death in 1928. Later the Packard Motor Car Company through a combination of acquisitions & mergers in 1950’s became part of American Motors Corporation (AMC) which later owned by Chrysler in 1987. Winton’s lack costumer relation led the falling sales in the early 1920s; finally Winton Motor Carriage Company ceased all automobile productions on February 11, 1924 and focused only on producing diesel engines as “Winton Engine Company” till On June 20, 1930, it was sold off to General Motors and GM changed the name to the “Cleveland Diesel Engine Division” of General Motors Corporation in 1938 , and then again to Electro-Motive Division (EMD) in 1962. Finally In 2005, GM sold EMD to “Greenbrier Equity Group and Berkshire Partners” , and five years later the company was acquired by Progress Rail Locomotive (subsidiary of Caterpillar).

Both Winton Motor Carriage Co. and Packard Motor Car Co. were influential in Automotive/ Railway/Aerospace/Naval industries especially in the US; inevitably General Electric, GM, Chrysler and Caterpillar carry their legacies indirectly. But what we could learn from this short story that listening to our costumers complaints/ feedbacks are blessings in disguise. With the right approach, you could apply them to your advantages. The most important element of every business is its clients (the source of income). The more clients you have, the more income your business will be blessed having. You have a chance everyday convert your dissatisfied customers to your best advocators. Mr. Alexander Winton instead of listening to Mr. Packard’s proposal, he rejects him right there; however one his partners –George Lewis Weiss— who sold that particular number 13th to Mr. Packard himself sees an opportunity in Packard’s ideas later they became friends/partners, they named their partnership “Packard & Weiss,” and used a portion of their New York and Ohio factories for their workshops which later rename their company to “the New York and Ohio Co.” and shortly after to Ohio Automobile Company and the rest is history.

Alexander Winton in 1897 turned his company from production bicycle into Automobile company and named it Winton Motor Carriage Company . He was indeed an automobile pioneer in North America Continent, a year later he sold about 22 motor vehicles including to an unhappy consumer– James Ward Packard. On August 13, 1898, James Packard purchased the 13th Winton car and unfortunately for him The Car broke many times which angered Packard furiously, after Packard complained to Alexander Winton personally and offered suggestions for improvement instead Winton challenged him “if you are that smart go build your own car”. This comment which proved to be the turning point for Packard, Packard built his first car in less than 15 months on November 6, 1899 to prove Winton that he is indeed a better Automaker. In 1900, the company incorporated as the Ohio Automobile Company. By enlisting of group of investments like Henry Bourne Joy, (a Detroit’s elite family) , Truman Handy Newberry (Joy’s brother in law and future Secretary of Navy& Senator) and Russell A. Alger (former Governor & Secretary of War and a Lumber Baron) On October 2, 1902, into the Ohio Automobile Company, the company renamed as the Packard Motor Car Company and it got relocated to Detroit in 1903. Following the company relocation to Detroit, the Packard brothers focused on making automotive electrical systems through the Packard Electric Company and stayed in Warren ( Ohio) and later General Motors acquired that company in 1932, renaming it Delphi Packard Electric Systems in 1995. The company was spun off as an independent company in 1999. James Ward Packard sold all shares in Packard Automobile division in late 1920’s to fund “Lehigh University the Mechanical & Electrical Engineering departments”, he also donated one third of his wealth to the same university after his death in 1928. Later the Packard Motor Car Company through a combination of acquisitions & mergers in 1950’s became part of American Motors Corporation (AMC) which later owned by Chrysler in 1987. Winton’s lack costumer relation led the falling sales in the early 1920s; finally Winton Motor Carriage Company ceased all automobile productions on February 11, 1924 and focused only on producing diesel engines as “Winton Engine Company” till On June 20, 1930, it was sold off to General Motors and GM changed the name to the “Cleveland Diesel Engine Division” of General Motors Corporation in 1938 , and then again to Electro-Motive Division (EMD) in 1962. Finally In 2005, GM sold EMD to “Greenbrier Equity Group and Berkshire Partners” , and five years later the company was acquired by Progress Rail Locomotive (subsidiary of Caterpillar).

Author By: Reza Djalili
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