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Iacocca –An

of Lee Iacocca with William
Iacocca: An Autobiography
Iacocca: An Autobiography is
Lee Iacocca's best selling
autobiography, co-authored with
William Novak and originally
published in 1984. Most of the
book is taken up with
reminiscences of Iacocca's
career in the car industry, first
with the Ford Motor Company,
then the Chrysler Corporation.
The hugely successful
autobiography was the best-
Lee Iacocca
Lido Anthony "Lee" Iacocca is
an American businessman most
commonly known for his revival of the
Chrysler Corporation in the
1980s,serving as President and CEO
from 1978 and additionally as
chairman from 1979, until his
retirement at the end of 1992. he was
a passionate advocate of U.S.
business exports during the 1980s. He
is the author or co-author of several
books, including Iacocca: An
Autobiography, and Where have all
the Leaders Gone?
Early Years
• Lido Anthony Iacocca was born on
October 15, 1924 to Nicola and Antonietta,
Italian immigrants.
• Displayed his passion for hard work
and managerial skills at a young age.
• Graduated from Lehigh University
• Won the Wallace Memorial Fellowship
and went to Princeton University
Ford Story
• Joined Ford Motor Company in 1946
• After a brief stint on engineering,
moved to sales and marketing where
his career flourished
• His maverick, street-smart, "thinking on
your feet" approach induced
breakthrough programs like "56 for 56”
which won national acclaim

• ----ASHISH-----

• Became the General Manager in 1960.
• Exemplary Passion for work
• Fate of ‘The Cardinal’.
• Wanted to showcase his new car in the ‘World
Fair’ by 1964
• Task Oriented Leadership
• Another legendary project was 1964 Mustang
having the highest auto sales in the history

• His use of market research, his willingness to
listen and his readiness to take risks
introducing new products made him a strong
business force
In the Upper Echelons
• Promoted to head the company's Ford division
in 1965.
• was responsible for the Lincoln Continental
Mark III, the Ford Fiesta and the revival of the
Mercury brand.
Road to the ‘TOP’

• 1968- termed to be the front runner For the
• Disappointed on Semon Knudson’s
• was made President of Ford on December 10,
• Speed of the Boss = speed of the team
• Grew more and more popular

• By the end of 1975 Lee and Henry Ford II began to have a personality

• He was fired from Ford in July of 1978, despite Ford posting a $2
billion profit for the year.
After being fired at Ford, Lee was
aggressively courted by the Chrysler
Corporation, which was on the verge
of going out of business
In 1979 he joined forces with
Chrysler and advanced to the
position of CEO.
The Second Innings- Chrysler
• Nov 2,1978
– Chrysler losses worst ever
– Lee Iacocca joins Chrysler
• Total chaos
– No coordination
– Liquidity crunch
– Low morale
– Industrial spying
– Losing consumer loyalty
– Poor quality
– Sales Bank
The Second Innings- Chrysler
Corporation (Contd.)
• Building the team
– Gerald Greenwald (Finance)
– Steve Miller (Brought by Gerald)
– Hal Sperlich (VP Production planning)

• Overthrow of Shah of Iran
– Soaring oil prices
– Japanese Come in
– Down-sizing
– Selling operations

– ------SUNNY-------
Second Innings- Chrysler
Corporation (Contd.)
• Decides to approach Govt.
– Failed talks on Loan procurement
– Failed talks on Sell out to Volkswagen
– Asked Govt. for tax credit
– Govt. Loan Guarantee
• Should Chrysler be saved!
– Mass outrage
– Counter arguments
Second Innings- Chrysler
Corporation (Contd.)
• Chrysler goes to trial
– Majority was opposing
– Small support from McKinney
– Support started growing
– Maintaining consumer confidence
Second Innings- Chrysler
Corporation (Contd.)
• 1979
– Chrysler at the verge of bankruptcy
– Concession of $655m
– $1.5bn loan from Loan Guarantee Board
• 1980
– K-cars launched
– A poor start
Second Innings- Chrysler
Corporation (Contd.)
• 1981
– Loss of $478.5 million
– Proposed merger between Chrysler and
– Nov 1,down to last 1 million dollar
– Bankruptcy situation again
– Additional $600mn concession
Second Innings- Chrysler
Corporation (Contd.)
• 1982
– Launched LeBaron convertible
• 1983
– May 15-lost his wife
– July 13-paid back the loan
– Appearance in TV commercials
– Signed 3yr contract with Chrysler
• 1984
– Launched T115 Minivan
– ------DJ--------
Straight Talk
Promotion of unpopular causes:
Saving lives on roads

- Mandatory seat belts

- Interlocking System

- The Air bags
High cost of labor

Three key areas where management
gave in to union demand and now
getting killed

- Unlimited cost of living allowance

- “Thirty and out”

- Medical Benefits
Making America Great again
Iacocca’s six point program

1.Energy independence by taxing foreign energy
2.Specific limits to Japan’s Market share in critical
3.Cut in costs and funding mechanism for federal
entitlement programs
4.Need for more American Engineers, Scientists and
5.Incentive to increase R&D
6.Long term program to re-build America’s arteries of

Iacocca as a leader
• Iacocca – The Leader
• According to analysts, Iacocca was popular for his bold
decisions and risk-taking abilities. He felt that every
business and every product had its own inherent risks
that had to be overcome to achieve success. Iacocca
was proclaimed as a visionary who could see far beyond
the day-to-day activities of business. He used to think
differently from others and always came up with
innovative ideas. He was not afraid of taking unpopular
decisions to solve major problems. Analysts felt that
Iacocca's success could be attributed to his ability to
adjust to any kind of situation very quickly...