John Deere Fall - 2001

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VOLUME 30, NUMBER 3 FALL 2001

JOHN DEERE
IN INDIA

WELCOME TIMBERJACK
AG ROLLS OUT NEW PRODUCTS
O N B O T H S I D E S O F T H E AT L A N T I C
© 2001 DEERE & COMPANY

COVER: A John Deere 5310 tractor Published for John Deere Employees, Retirees,
manufactured in India pauses on the northern Dealers, and Friends Worldwide
bank of the
Yamuna River
across from Address Correspondence to: Editor, JD Journal,
the Taj Mahal Corporate Communications Department,
near Agra, Deere & Company, One John Deere Place,
India. This Moline, IL 61265-8098
striking scene Phone: (309) 765-4170; E-mail: [email protected]
was filmed for View JD Journal on the Web at: www.johndeere.com
FALL 2001

a 60-second
television commercial that features John
Deere equipment in use around the Editor — Andy Markwart
world. In a touch of movie magic, the Art Direction and Design — Wayne Burkart
animals, huts, melons, and local
JD JOURNAL

villagers transformed the previously barren


riverbank into a colorful, bustling scene.
One of the commercial’s purposes is to
communicate John Deere’s growing pres-
ence on farmsites, worksites, and homesites
around the world. In India, that growth
centers on a new 5000-series tractor factory
near Pune. Our coverage of the impact
3 FEEDBACK
that factory is having on this part of the
world begins on page 14. 4 TIMBERJACK MAKES DEERE A FORESTRY LEADER
Deere’s role as a global supplier of agri-
cultural equipment is getting an enthusiastic
boost from this fall’s introduction of 63
6 AG ROLLS OUT NEW LINES
new models of farm machinery in Europe.
Starting on page 8, see how dealers
10 ETCETERA
from 54 countries, speaking 49 different
languages, learned about taking command 11 GOING WITH THE FLOW
of their markets during four days in
Seville, Spain.
Cover photo by Dale Paschke, manager,
12 BUSINESS BUZZ
advertising and marketing communications, 14 JOHN DEERE IN INDIA
VOLUME 30, NUMBER 3

Worldwide Commercial & Consumer


Equipment Division.
18 WHAT’S SO DARN FUNNY?

SPECIAL FUND FOR AMERICA Thanks to the quick action of employees, Foundation will lead the donations to this fund
dealers, and suppliers, John Deere was able to with a $250,000 contribution.
provide Gator ® utility vehicles and skid-steer Employees, dealers, retirees, and friends
loaders to help in the rescue and recovery can contribute to this fund by sending their
efforts following the World Trade Center attack donation directly to the John Deere Special
on September 11. Fund For America c/o the John Deere
Employees throughout the company wanted Foundation at One John Deere Place, Moline, IL
to do more, so the “John Deere Special Fund 61265. Employees can also contribute through
for America” has been created to support their unit HR department. The Foundation’s
recovery and relief efforts. The John Deere board of directors will administer the fund.

2 JD Journal
FEEDBACK
in the corporate setting. along with all his other John symbols. The cupcakes each
VOLUME 30, NUMBER 2 SUMMER 2001
I have chosen my words Deere paraphernalia. When his had the John Deere logo embed-
MERCHANDISING
more carefully since then! cousins visit, he makes sure ded in the frosting. Each kid
JOHN DEERE’S
GOOD NAME
/Judi Berkley, financial analyst, he lays out the ground rules for decorated a tractor-shaped cookie
LEARNING
Deere & Company playing with his tractors. with John Deere colors.
HOW WE RATE WITH
CUSTOMERS A perfect example of his The farmer down the road
IN DEFENSE OF
GROWING OLDER
WHAT THE LATEST
My family would like to thank the obsession is when we went away was generous enough to drop off
SURVEY SHOWS
staff of Goodridge Farm Supply for vacation recently. Before his 4450 tractor with a huge plow
in Oakfield, New York, for their we could leave, my son made his right in the middle of the front
dedication and commitment to grandfather promise that he yard. You should have seen the
customer satisfaction and service. would check on his John Deere kids' faces as their eyes grew
They went the extra mile in help- tractors daily. When we returned, wider with each closing step!
ing us get our 420 lawn tractor the first thing my son wanted to It was a great day, and we
back up and running. Words know when his grandfather all had a wonderful time.
can't express the happiness I felt greeted him was the status of his Thank you for making such
I was looking through the JD today when I finished my five equipment! quality products./Allan C.
Journal, and I really like the acres of lawn with it after getting We celebrated his fifth birth- Jourdin, Coxsackie, New York.
battery-powered kids’ version of it back from the shop./Ron Smith, day with a party recently, and I'm
the Gator utility vehicle. I was Shelby, New York sure you could guess the theme.
trying to find this product on We hung John Deere streamers,
the Internet but could not My five-year-old son, Brad, is the green and yellow balloons, and We invite your feedback
find one. Can you please tell biggest John Deere fan I know. For used custom plates given to us and welcome news tips
me how I can purchase one every special occasion—birth- by the local John Deere dealer- and story ideas as well.
of these Gators?/Robin Culp, days, nursery-school graduation, ship, H.C. Osterhout & Son in Write Feedback, JD Journal,
Bloomfield, Iowa Christmas—he receives a John Ravena, New York. My wife and One John Deere Place,
(The battery-operated Gator Deere toy tractor. He has a spe- I made bookmarks and cus- Moline, IL 61265-8098,
can be purchased at participating cial place for all his equipment tomized cups as favors for the call (309) 765-4170, or
John Deere dealerships. To locate in his bedroom next to his bed, party, both with John Deere e-mail [email protected].
the dealer closest to you, visit
www.johndeere.com on the Internet
and click on the "Dealer Locater"
at the top of the page.)

I have enjoyed the articles in JD


Journal recently about various
equipment companies that
Deere has purchased, such as
Cameco in the Summer 2001
issue.
As an accountant, I don't
work with equipment directly,
but understanding what we
make, the markets, and how the
businesses are integrated with
our traditional products helps
me get a handle on the business
as a whole.
I also really enjoy the articles
by Gene Ritzinger, especially
the one on how language is used

3 JD Journal
TOP LEFT: This prototype Walking Machine harvester is
designed to step over obstacles while treading lightly on the for-
BIOMASS HARVESTING:
est floor, minimizing soil erosion and damage to tree roots.
TURNING WASTE INTO WATTS
Timberjack has been a pioneer in developing equipment for harvesting and collecting
CENTER LEFT: This Deere 753GL harvester will also be biomass—wood that is normally wasted in the logging process. Forest biomass is
marketed as the Timberjack 608L through Timberjack dealerships. burned to produce electricity and heat at power plants in countries such as Finland. Timberjack
makes a complete line of machines for collecting branches, treetops, and small trees for energy
TOP RIGHT: Deere added forwarders to its product line through the Timberjack production. The equipment includes:
acquisition. Forwarders, such as the 1158 model pictured, collect cut-to-length logs from the forest — Harvesters that cut and gather small trees.
interior and transport them to roadside-collection areas. — Bundlers that collect and pack logging residue into bundles 2-1/2 feet in diameter by
9 feet in length. The bundles are crushed before being burned at a biomass energy plant. Each bundle contains
CENTER RIGHT: This Timberjack-designed 535 knuckleboom loader uses multiple the same energy as about 24 gallons of oil.
hydraulic cylinders to mimic the movement of a human arm. — Forwarders that gather and transport bundles from the forest interior to the roadside.
In Finland alone, it’s estimated that 10 to 15 million metric tons of logging waste go unused each year. The
Finnish Ministry of Trade and Industry is calling for 27 percent of the country’s total energy consumption to come
from renewable energy sources, such as forest residue, by 2010 and 35 percent by 2025.
4 JD Journal
It was a union of strength with strength. When JOHN DEERE’S customer base. “Specifically, we acquired a world-class line
Deere & Company acquired the Timberjack Forestry NEW BUSINESSES
of harvesters and forwarders used for the emerging cut-to-
Group from the Metso Corporation of Finland in length harvesting method, a broader line of tracked feller-
early 2000 for $600 million, two world leaders in This is the second in a series of articles spotlighting bunchers, and a line of knuckleboom loaders used primarily in
forestry equipment joined forces. business operations recently acquired by Deere & logging in the southeastern U.S.,” he explains. (Knuckleboom
For years, John Deere has been a leading supplier Company. In the series, you’ll learn how these new loaders are hydraulically operated loading booms whose
businesses are helping the enterprise achieve its goal
of forestry equipment in North America and had mechanical action imitates the human arm.)
of doubling value twice in this decade.
marketed products in a few European countries Deere also acquired a line of highly sophisticated harvest-
including Spain and France. Deere has offered a full line of log skidders and a ing heads, which are marketed as attachments for Deere and Timberjack
line of wheeled and tracked feller-bunchers. (A feller-buncher collects small feller-bunchers and harvesters and also sold under the Waratah trade
groups of trees as it quickly cuts each one at the stump.) Some Deere construc- name to other original-equipment manufacturers (OEMs), dealers, and cus-
tion equipment, such as excavators, crawler dozers, and wheel loaders, also tomers. “And perhaps more importantly,”Anderson adds, “there is no other
have been used in various forestry applications. group of people in the world who know the global forestry business better, who
“In order to expand our forestry business, it was clear to John Deere for understand the needs of forestry customers worldwide better, than the
some time that we needed to do two things,” says Doug Anderson, managing Timberjack employees who are now part of the Deere family.”
director, international operations for the newly named Worldwide Construction Timberjack will benefit from the purchase by using Deere’s advanced
& Forestry Division (C&F). “One, we had to either develop or acquire a broader business processes. Both companies will benefit from more-efficient supply
line of forestry equipment, including the cut-to-length harvesters and forwarders management, manufacturing, and distribution. Deere’s distribution channel and
that are mostly used in Europe but are growing in popularity in North America. customers will benefit from the expanded world-class product line, while the
(A cut-to-length harvester can remove a tree’s limbs and cut the log to a Timberjack distribution channel and customers will gain from Deere’s advanced
specific length in the parts-distribution infrastructure and customer-
forest. A forwarder is a support programs.
combination tractor/
boom loader/wagon that
TIMBERJACK Anderson says the Timberjack brand will
continue and grow under Deere ownership. The
collects and moves logs
from the forest interior
MAKES DEERE division is dual-branding most forestry products
for distribution by both Timberjack and Deere
to a roadside.) Secondly,
we had to expand our
A GLOBAL dealers in North America. With dual-branding,
the designated products are sold under both
presence into Europe,
Latin America, Southeast
FORESTRY Deere and Timberjack brand names.
“Since we inherited dual distribution in North
Asia, and other regions
where timber is harvested. LEADER America, we have decided to dual-brand our
products in order to provide the level playing field
“Beginning in 1993, necessary for both dealer organizations to fairly
we had serious discussions with a number of the lead- compete at the retail level on their own merits,”Anderson says. “Outside of
ing producers of cut-to-length harvesting systems North America, we will distribute nearly every product exclusively under
about the potential for some sort of strategic alliance,” the Timberjack brand. The exceptions are skidders in a few countries.”
Anderson adds. “Given that Deere and Timberjack had Consolidation of log skidder production has begun at Deere’s factory in
been such fierce competitors in the North American Davenport, Iowa, using the Deere machine platforms. Skidders are now dual
forestry markets, we had no idea that we would have branded for distribution by both dealer networks in North America. Further
an opportunity to develop an alliance with, or acquire, consolidations in skidders and tracked feller-bunchers will accompany future
Timberjack. When we learned that Timberjack was for product updates.
sale, we immediately suspended all other discussions Plans are under way to dual-brand harvesters and forwarders for North
and focused on acquiring the world’s leading supplier American markets. “With the introduction of dual-branded harvesters
of mechanized timber-harvesting equipment. and forwarders this summer, we met our goal to have all major products
“When making our bid for Timberjack, Deere made it clear to the owners that dual-branded within 12 to 18 months of closing the deal,”Anderson says.
we were not interested in acquiring Timberjack if we could not retain its C&F now builds forestry equipment at Davenport, Iowa; Paragould,
key management,”Anderson says. Those retained include Mikko Rysä, the Arkansas; Woodstock, Ontario; Penticton, British Columbia; Filipstad,
company’s long-time president. Rysä now serves as vice president, international Sweden; Joensuu, Finland; and Tokoroa, New Zealand.
and new business, for C&F. C&F’s global-distribution network is a combination of Timberjack retail
The fit is excellent for both companies. “Deere and Timberjack have very companies in 13 countries, independent Timberjack dealers with more than 300
little overlap in forestry-related operations, and our product lines and geographic outlets in 40 other countries, as well as C&F’s independent network of Deere
coverage of the marketplace are mostly complementary,” Rysä says. Product dealers. “C&F is now the preeminent global supplier of mechanized timber-
overlap was primarily limited to log skidders, and to a lesser extent, tracked harvesting equipment with the acquisition of Timberjack,”Anderson says.
feller-bunchers. Deere inherited some distribution overlap in the U.S. and According to Rysä, the union of Timberjack and Deere will most likely
Canada, and to a much lesser degree, overseas. touch off other restructuring moves within the industry. “It is, however, very
Anderson says Deere acquired Timberjack for its advanced technology and hard to foresee any mergers or acquisitions that would result in a combination as
products, worldwide distribution, forestry-focused employees, and worldwide strong as Deere-Timberjack,” Rysä says./Dan Brown

5 JD Journal
PHOTOS BY STEVE DOLAN EVENTS IN ALBUQUERQUE, NEW MEXICO, AND SEVILLE, SPAIN, SHOWCASE

AG ROLLS
STORY BY LARRY RINEY

ABOVE: Dealers from across North America watch a wheeled


8520 tractor and its tracked brother, the 8520T, light up the
stage on opening night. RIGHT: Dealers were asked to “Take
Command” of their marketplace with the wide range of new
equipment. FAR RIGHT: Dealers inspect the 1760 NT planter
which folds for easy transport over rural roads and through
narrow field gates. The planter can also change seeding rates
on-the-go using John Deere’s new Map-Based Seeding.

J
a theatrical punch as the new machines roared type forage harvesters. The first three sessions
ohn Deere introduced an unprece- across the stage. Thundering Japanese drums also included a 9986 cotton picker walk-
dented 54 machines and a host and rock music built anticipation. around, concentrating on new electronic
of tractor attachments at its new- The extensive lineup of new equipment header-height-sensing controls.
product introductions held July and August impressed Regina Herzlinger, a Harvard About 15 miles west of Albuquerque, dealers
in Albuquerque, New Mexico. In September, Business School professor and member of the got hands-on experience at two demonstration
63 products were unveiled in Seville, Spain. John Deere board of directors. “The machines sites. At one end of the first site, a concrete
Six waves of North American dealer per- are awesome and beautiful,” she said as track and a tractor-pull weight sled were used
sonnel, 5,000 in all, attended four-day “Take she stood between massive 8520T and 8520 to test “power hop,” or loss of traction, in
Command” sessions in Albuquerque. Each tractors on the crowded convention center the 8020-series tractor.
session began at the city’s convention center floor following the opening-night perfor- There was a buzz over the new Independent
with a welcome celebrating sales successes mance. “I’m an economist, and all I can think Link Suspension™ and ActiveSeat™ options
and engineering achievements of the past year. about is the great productivity, time savings, that improve power transfer and operator
Doug DeVries, senior vice president, and the great buy for the dollar these comfort. “This new suspension and the
worldwide marketing, began the session by machines represent and bring to agriculture.” ActiveSeat will help us go after new business,”
challenging dealers to take command of their “Wow!” said salesman Randy Harlin, said Paul Neuhaus, vice president, Barbee-
marketplace. Later, Gary Frazier, vice president, Heath’s Inc., Monticello, Illinois. “I had no Neuhaus, Inc., Weslaco, Texas, as he stepped
North American sales, urged them to take idea the company would be able to come out from the clean air of an 8520 cab onto the
advantage of volatile change by running harder, with this much at one time. The next three dusty ride-and-drive course.
smarter, and leaner than their competitors. In days should be very busy.” Next door, dealers put the new 5220 trac-
between, the machines did the talking. Divide and conquer. The next day, indoor tor’s fender-mounted controls to the test.
Video clips, white floor-to-ceiling drapes, and classes covered business strategies, John Demonstrations of new backhoe and scraper
300 computer-controlled robotic lights delivered Deere Credit, sickle windrowers, and pull- attachments showed the versatility of the

6 JD Journal
THE MOST AGRICULTURAL MACHINES JOHN DEERE HAS EVER INTRODUCED ON EITHER SIDE OF THE ATLANTIC

OUT NEW LINES ABOVE: Site demonstrations and informational “walk-arounds” of


equipment, such as this 49 backhoe, provide dealers a quick and
easy way to learn about all of the new products. FAR LEFT: Using
different attachments, Deere’s new telehandlers can transport a
wide range of materials including pallets, silage, and hay bales,
shown here. LEFT: The ride-and-drive courses just outside
Albuquerque gave dealers an opportunity to personally test the
extensive line of new tractors and other ag equipment.

entire line of 40- to 79-horsepower 5000 tractor was well suited for the large farms 3400 telehandlers with a host of hooks,
TWENTY-series tractors. in her area. “The advanced transmission and clamps, and forks for just about any job from
One-source shopping. Grayson English, more horsepower means we can pull 70- to haying to material-handling, new Frontier™
manager of Rappahannock Tractor Co., 80-foot tillage equipment. And the new scrap- attachments for the smaller tractors, and new
Tappahannock, Virginia, was impressed with ers let us go after mine reclamation work.” fixed-blade ejector scrapers rounded out the
the new CX-20 and HX-20 rotary cutters. The new 6403, 6603, and high-end 6020- information-packed classes.
“We’ve sold a lot of the competition’s prod- series tractors were kicking up a lot of excite- “A lot of big dairies are going up west of
ucts simply because the company didn’t have ment. Added to the affordable Advantage- us,” explained Kerry Hurst, a salesman at
anything in that size. Warranties, ordering, series models, the new machines cover the Hurst Farm Supply, Lubbock, Texas. “With all
freight, and parts availability are a lot easier utility-tractor market from top to bottom in of the feedlots, cotton gins, and commercial
and less expensive when we can deal with both cost and features. “Rental customers, building, the telehandlers should get us into a
one supplier, John Deere.” weekend farmers, and government agencies great market.”

A
After his walk-around of the 1760 NT especially will like the low-end 6003s,” said fter finishing his jam-packed,
planter, Edward Coufal saw a clear fit for his Ken Wagner, owner of Heritage Tractor, four-day session, Donnie
area. “We’ve been into satellite mapping for Baldwin City, Kansas, after his test drive. Meadows, Goldman
five years,” said the owner of Coufal The 4010-series tractors offer an extensive Equipment’s manager in
Equipment Co., Temple, Texas. “That planter list of improvements. “The under-40-horse- Tallulah, Louisiana, was surprised by the
will work right into the precision farming in power market is heating up,” said salesman number of new products. “I’m proud to be
our area with its variable rates as well as give Derek Hill, Northeast Equipment, Wayne, part of John Deere, and I’m impressed by this
us true no-till and minimum-till capabilities.” Nebraska. “We’re seeing a lot of weekend show,” he concluded. “I was worried we’d see a
After pulling a scraper with a 9020-series farmers with less than 50 acres. The 4010s lot of decal changes. We saw legitimate,
tractor, Gayle Gustafson, owner of Prosper and the Frontier attachments will fit right in.” important changes that will make selling
Tractor, Ltd., Estevan, Saskatchewan, said the The all-new, telescopic-loading 3200 and easier. I’d hate to be the competition.”

7 JD Journal
LEFT: Spanish dealers see and hear the new fea-
tures of this 9780 CTS combine described in their
native language during the sound and light show.
RIGHT: The driving course was designed to mimic
the narrow passages and small turning areas found
on many European farms. FAR RIGHT: Dealers
enjoy traditional Spanish flamenco dancing at the
Congress Palace Convention Center. BELOW RIGHT:
Attendees were treated to Seville’s magnificent
architecture, including the Plaza de Espana. BELOW
CENTER: Joaquin Hervas Bonafe of Alcudia Carlet,
Spain, and 3,200 others tested the new equipment
near Carmona. BELOW FAR RIGHT: Luis Fernando
Zara, Patricia Mozo, and Miguel Angel Duque
Garcia will share their hands-on experience with
others at their dealership in Valladolid, Spain.
Photo by Mark Moore.

SHOW TIME
DEALERS FROM 54 COUNTRIES POUR
INTO SPAIN TO WITNESS DEERE’S
MASSIVE AG EQUIPMENT ROLLOUT

Magnifico! Gigantisch! Incroyable! Fantastic! South America, and Global Harvesting market leadership in Europe,” said Claus
Praise was lavished in 49 languages on the Equipment Sourcing, described the introduc- Wiedenroth, a dealer from Moelln, Germany.
“Take Command” product introduction at the tion as “the most significant launch in Full Agenda. Long days saw dealers on the
Congress Palace Convention Center in Seville, any John Deere region ever.” move from early morning until evening.
Spain. Beginning on September 2, almost Paul Enz, vice president, marketing, Attendees visited educational stations at the
3,200 dealers and dealership staff from 54 Agricultural Division - Europe, Africa, South convention center and on a 2,500-acre farm
countries attended six consecutive four-day America, said the products were being near Carmona, 20 miles away. There were sta-
sessions packed with presentations and field launched into a marketplace that holds great tions for each new line of equipment and for
demonstrations. Each session was conducted potential for John Deere. “In the United John Deere Credit, Agricultural Management
primarily in Spanish, German, French, States, John Deere dealers receive nearly Solutions, and sales.
English, or Italian, and additional languages half of the total spend on farm machinery, Occasional touches of humor lightened
were available through translation. while in Europe we get just over 15 percent the presentations. Dealers at the 8020-series
The most stunning statistic was the 63 (the percentage for tractors and combines tractor station were invited to hold glasses of
new equipment models presented during a is higher). This is important because the water while sitting on the new ActiveSeat™
spectacular light and sound show. European European market is larger than all of North suspension during a simulated bumpy ride.
dealers welcomed 6020-, 8020-, and 9020-series America, including Mexico.” Colleagues tried to steady their glasses while
tractors, as well as new combines, balers, Such major dealer gatherings are rare in seated in a conventional seat. “That really got
mower conditioners, telehandlers, crop Europe, and dealers were delighted with the the message across,” said Jose Maria Reseco
sprayers, and more. Dave Everitt, president, event. “What has impressed me is John Casado of Spain.
Agricultural Division - Europe, Africa, Deere’s unequivocal determination to gain After hearing about the features of each

8 JD Journal
IN SEVILLE
PHOTOS BY ULRICH BÜKER

S T O RY B Y M A R K M O O R E

new model, dealers could envision how the Company, a major German dealership. culture of Seville, from where Columbus set
products would fit into their local markets. “Farms in eastern Germany are very large sail to find the Americas. They enjoyed a visit
“The 6920S (tractor) with Autopowr (stepless and need greater productivity.” on the program’s final evening to a farm famous
transmission) is going to be a real hot item Many dealers echoed Heller’s point about for breeding beef animals destined for the
for us,” said Patrick van Mellick, a Dutchman customers’ hunger for greater productivity. bullring and high-quality thoroughbred horses.
who has built a dealership in Stara Dabrowa They were pleasantly surprised to learn how Dealers said that the event generated
in northern Poland. “It will precisely fill a John Deere engineers have delivered products excitement they’ll carry home. “We expected
gap we had just below the 7810 tractor. I can to boost operator output. “I have a customer the event to be inspiring and that has proved
see it adding 10 to 12 additional tractor who is desperate to get his hands on a combine an underestimation,” said Heller. “We see the
sales at our dealership each year.” with higher capacity to handle the four- expense involved in bringing 19 of our staff
“Autopowr has generated a lot of excite- tonne-per-acre wheat crops we get in Kent here as a good investment, because the
ment,” said Paul Smith, manager for (United Kingdom),” said Nick Booth, sales- enthusiasm ignited in our people will spread to
a 6020/7010-series tractor station. “We’ve man for Palmers Agricultural Ltd. “There is a potential customers and generate new business.”
noticed that as soon as the presentation is clear trend to fewer, larger farms and contrac- “The significance of Seville was twofold,”
over, dealers are immediately on their mobile tors. Both groups are desperate for more says Everitt. “Not only did we introduce 63
phones to tell the world about it.” capacity. The 465-hp STS combine, with its fabulous new models equipped with market-
“I’m delighted to see the introduction of a rotary threshing system and 11,000-liter tank beating technology, but we have also given
new 8020-series tractor with over 300 horse- (only available in Europe), is a world leader dealers new business tools with which to reach
power,” said Claus Heller, branch manager of and is exactly what these farms need.” our ambitious business goal of doubling mar-
the Scharpitz, Germany, outlet for the Drees Delegates experienced some of the rich ket share by 2005.”

9 JD Journal
THEY JUST KEEP GOING
That’s not a custom cut-
ting crew from the 1970s—

ETC
it’s the Norris family of
Wellington, Kansas, who
have been harvesting their
farm’s wheat with John
Deere 95 combines for three
generations.
Larry Norris says the
whole family gets involved
when it’s time to roll out
their fleet of six model 95

PHOTO: STAN GRAVES


combines to harvest 700
acres of hard red winter
wheat. Larry, his sons,
brothers, nephews, brothers-
in-law, and family friends can’t wait to operate the combines built between 1959 and 1969. A band of nephews
shovel grain and help with morning maintenance. Larry’s wife, Debbie, transports loads of wheat from the field to on-farm storage or the local grain
elevator in a vintage grain truck. Other family members keep everyone fed. Larry says these reliable, familiar combines
have found a special place in his family’s farming operation since his father bought the first 95 in the mid-
1970s. “I grew up with these combines—I know them,” he explains. “They do a really good
job threshing, they’re easy to work on, and I can still get parts from my local dealer.”
THE HORSE LISTENER Suekay Bedis uses listening and coaching techniques she
learned at John Deere to train barrel-racing horses. As a Voice-of-the-Customer
manager at Horicon Works, she observes customers in focus groups and at their
homes to understand what they want in lawn-care products. Drawing on the
Foundations diversity training she received at Deere, Bedis tries to be laser-
focused on one conversation at a time rather than accommodating distracting
interruptions. She calls it “being in the moment.”
That disciplined listening also works in horse training. “When I start
training horses, I just watch them, notice their actions, and try to see
things from their perspective,” she says. Then, rather than using force to
get results as some trainers do, she works slowly and gently to win the
horse’s confidence. She reads the horse’s body language and listens for tell-
PHOTO: MARY-CAREL VERDEN

tale sounds that confirm the horse has overcome its natural fear and is
comfortable enough with Bedis to allow her to lead. She says horses have
some of the same communication needs as people. “I’ve learned to be very
specific with horses,” she explains. “They don’t want you to be wishy-washy.
I stay in the conversation until we’re both clear about what is expected.”
Bedis also uses the listening and coaching concepts with young horse riders.
WORK INSPIRES ART Les Reu’s boyhood memories, career, and
artistic talent converged recently in his drawing Going Green. Reu
is a credit administrator at the Ag Marketing Center in Lenexa,
Kansas. His colored-pencil drawing of a dealer shaking hands with
a farmer after delivering a new Deere combine was a scene Reu
recalled from dozens of childhood trips with his father, Dave, a John
Deere dealer in Donnellson, Iowa. “The scene is a composite of those
memories,” Reu says. “I just updated the combines.” He adds that
it’s a common scene today. “I've traveled to 28 states for this compa-
ny, and I've seen this picture in about every area of the country.”
The drawing took Reu about 75 hours to complete. It is one of his
first works after making a “new millennium resolution” on Jan. 1,
PHOTO: TOM SIZEMORE

2000, to start drawing again. He had drawn and painted throughout


high school and began college as an art major. After his first
semester, Reu switched to business school and packed away his art
supplies for 14 years. Then his work inspired his art.

10 JD Journal
FLOW MANUFACTURING IS MAKING IT EASIER FOR JOHN DEERE TO PRODUCE THE HIGHEST-QUALITY PRODUCTS IN LESS TIME AND AT LOWER COST

GOING WITH THE FLOW


ike most companies, John Deere is better for the customer, and it’s better for to build any given product,” says Dumolien.
traditionally has made products by “pushing” the dealer.” “Assembly lines are getting shorter and fatter,
them through the production process. Building-to-order, however, requires rather than thin and long.”
Manufacturing has been done in batches, on adjustments in the whole supply chain, from John Deere’s Augusta, Georgia, plant, which
a schedule, based on sales forecasts, and production-line design to raw-materials man- produces 5000-series tractors, used flow-manu-
designed to maximize stability and predictability agement and supplier relationships to workers’ facturing principles in designing expanded
of work and product flow. responsibilities—and more. facilities over the past few years, says Don
Now the company is striving to “The shift of thinking from building-to- Corbitt, plant manager. Automated, guided
change all that and become more vehicles move product through the
responsive to customer needs by line from station to station, where
implementing flow-manufacturing special “smart tools” help workers
principles. do their jobs as efficiently and
Under flow manufacturing, facili- accurately as possible. The line is
ties are designed to be flexible and designed so that if work needs to
responsive to customer demand. stop at one station, the whole
Manufacturing processes are honed line doesn’t shut down; instead,
to achieve the highest-quality prod- work can continue in other areas.
uct in the shortest amount of time Also, feeder lines are better
and at the lowest-possible cost. As a integrated into the main line.
result, products flow through the A critical component of flow
production process more efficiently. manufacturing is quality control,
Firm orders for equipment “pull” particularly in “getting it right the
products through the process so cus- first time,” says Ron Scheitzach,
tomers receive what they want when production supervisor, backhoe
they want it. Flow manufacturing assembly, John Deere Dubuque
also reduces excess inventory (of both Works. A product is continuously
raw materials and finished goods), evaluated for quality as it proceeds
cycle times, and capital investment. through production, so it does
PHOTO: GREG BAKER

Ideally, work on a product won’t not leave a particular zone


Quality facilitator Bob Saylor helped design a first-in, first-out inventory system for the backhoe assembly area
commence—including the ordering or or station until the work meets
in Dubuque. The system limits inventory and uses components in the order they were delivered.
stocking of raw materials or parts— appropriate standards and specifi-
until an order exists. cations. This eliminates rework
In contrast, when forecasts exceed customer schedule to building-to-demand is a pretty and delays at the end of the line.
orders, the traditional forecasts-based strategy significant change,” Russman says. “This isn’t Meeting high quality standards and quick
often results in the buildup of inventories. at all easy. You have to think differently about production schedules requires higher levels of
While this approach makes planning and pro- your business and the best way to respond to training for workers so they feel empowered
duction more predictable, it leads to longer customer orders.” That shift also applies to to make decisions on the spot. In Dubuque,
cycle times and excess inventory throughout suppliers, who must provide parts and raw workers in each production zone can trigger
the process. The rigid process also doesn’t materials on more of a just-in-time basis. material replenishment from storage or directly
allow for quick, unexpected changes in cus- Different John Deere divisions and plants from suppliers. Some workers also discuss
tomer purchase patterns. are at varying stages in moving toward the quality-evaluation reports directly with dealers.
“Flow manufacturing gives us the capability order-based model, says Bill Dumolien, process The move to flow manufacturing is part of a
to build to demand, to build to retail order,” owner, flow manufacturing for Deere & bigger thrust to make all of Deere’s businesses
says Gerald Russman, manager of process Company. Some plants are using a combination leaner and more effective. The challenge is to
engineering for John Deere. of the traditional and new approach. But all are bring together individual unit and division
“Before, we were either sending dealers looking at ways to streamline the process of philosophies and merge them into common
what they didn’t need, or not at the time they building high-quality products while reducing processes, language, education, and training.
needed them,” says Doug Cheever, order ful- cycle time and excess inventories. Says Russman: “The ultimate hope is that
fillment process pro, Worldwide Construction “In the assembly process, we’re looking to do this will enable Deere to make manufacturing
& Forestry Division. “So the new process work more in parallel to reduce the time it takes a competitive weapon.” /Lori Hill
11 JD Journal
BUZZ
BUSINESS

PRO-AMS BUILD BUSINESS


Company executives used three days
of pro-am and charity events prior to
the John Deere Classic to build business
relationships with key customers.
One of Deere’s reasons for sponsoring
a PGA event is to promote its line
of professional turf-care equipment.
Monday’s pro-am tournament provided
golf course superintendents and other
turf-care professionals the opportunity to
play the immaculately groomed TPC
at Deere Run course, which is maintained
exclusively with Deere equipment.

PHOTO: MIKE KLINE


Superintendents are the main decision
makers for golf course maintenance

GOSSETT WINS JOHN DEERE CLASSIC


In his first-ever PGA TOUR victory, tractor. Gossett was the first player since
David Gossett won the 2001 John Deere Tiger Woods in 1996 to win a PGA TOUR
Classic, held July 26-29, with a one-stroke event on a sponsor’s exemption.
advantage over Briny Baird. The former The win graduates Gossett from the
University of Texas star and 1999 U.S. Buy.com Tour to the big-league PGA TOUR
PHOTO: MIKE KLINE

Amateur champion used a sponsor’s and allows him to play on the tour through
exemption to get into the field. His 19-under 2003. Gossett didn’t receive the largest check
265 at the Tournament Players Club at from the tournament; 300 charities within
Deere Run course in Silvis, Illinois, earned 100 miles of the Quad Cities split nearly
Pierre Leroy, president, Worldwide Construction & Forestry Gossett a $504,000 first-place check and a $1.3 million raised through "Birdies for
Division, celebrates a team birdie with Ryuichi Seguchi, John Deere Spin-Steer Technology™ lawn Charity”and other fundraising programs.
president of Hitachi Construction Machinery Co., during the
John Deere Classic Charity Scramble.

largest construction company in the world, division, John Deere Worldwide Construction
equipment purchases. in terms of volume, Kiewit owns a fleet of & Forestry Division, says the pro-am is
Tuesday’s Charity Scramble raised 17,000 pieces of equipment, valued at $1.7 an opportunity for Kiewit to learn more
$13,000 for youth golf in the Quad billion. A small amount of the fleet is John about Deere’s strategies and philosophies, and
Cities while Deere executives hosted Deere equipment that was purchased two how Deere matches up with the contractor’s
customers, dealers, and suppliers. and a half years ago. business plans. “To have them take three
Among the many Deere guests Like John Deere, Kiewit is looking to days off from their busy schedules is a real
playing in the Wednesday pro-am were reduce their number of suppliers and align commitment,” Mohr said. “It shows their
executives from Peter Kiewit Sons, Inc. themselves with just a few strategic partners. interest in wanting to build a stronger
of Omaha, Nebraska. The eighth Roger Mohr, director, corporate business relationship with Deere.”

12 JD Journal
WELCOME TO THE FAMILY
MARINES RECOGNIZE RICHTON BRINGS IRRIGATION
TRAM TEAM EQUIPMENT TO JOHN DEERE LANDSCAPES
Brigadier General Jim Feigley, commander Deere & Company has acquired Richton International Corporation,
of the U.S. Marine Corps Systems a diversified service company with two business lines, including
Command in Quantico, Virginia, visited irrigation and computer-related services and products, for
Davenport Works in July to present cer- approximately $125 million. Century Supply Corp. is a wholesale
tificates to members of the original TRAM distributor of irrigation products and systems, while CBE
SST LAWN TRACTOR
TM

Technologies, Inc. and Creative Business Concepts, Inc. supply


(Tractor, Rubber-tired, Articulated steering,
SCORES DESIGN WIN technology-related products and services.
Multipurpose) team, which was awarded
the Department of Defense’s prestigious The John Deere Spin-Steer Technology™ Century will be combined with the recently purchased McGinnis
Value Engineering Achievement Award. lawn tractor received a Gold Award in Farms, Incorporated to form John Deere Landscapes, which will
John Deere recently received a four-year the 2001 Industrial Design Excellence offer a full line of services and products to landscape and irrigation
contract to “relife” TRAM 644ER loaders. Awards (IDEA) sponsored by the professionals.
“It may only look like a fork truck to Industrial Designers Society of America Irrigation equipment sales comprised about 80 percent of
you, but it may be unloading medical (IDSA) and Business Week magazine. Richton’s total revenues. Forbes magazine named Richton as
supplies or ammunition—things critical The award was one of 44 Gold Awards one of the 200 Best Small Companies in the U.S. for three
to our survival,” Feigley said of the among 1,260 total entries in the 22nd consecutive years.
TRAMs. “We need to have faith that annual competition. “Deere created a new
those machines will work the first time, category of lawn tractor by making a DEERE ACQUIRES EQUIPMENT SAVERS, INC.
every time. The things you’re doing for tractor that incorporates zero-turn-radius Privately held Equipment Savers, Inc. of Denver, Colorado, has
us are extremely important. I hope we capability while hiding the mysteries of been acquired by Deere & Company. Equipment Savers provides
have an extended relationship for many the technology from the operator,” on-site fueling and maintenance of all brands of heavy equipment,
years to come.” noted Clyde Foles, IDSA Center for a service sought by owners of large equipment fleets.
Creative Studies. The business now operates in Denver and Phoenix, but has
the potential to become a national business according to Pierre Leroy,
president, Worldwide Construction & Forestry Division. “The
MOLINE TRACTOR &
purchase of Equipment Savers helps Deere extend beyond our
PLOW OPENS
traditional businesses of product manufacturing into value-adding
The Moline Tractor & Plow Co. officially services,” Leroy says. “We plan to be first in the national arena
opened its doors to the public Aug. 10 to offer these services.”
and 11. As part of the John Deere Collectors Equipment Savers will be managed as an independent business
Center, the 1950’s-style dealership is reporting through the construction & forestry division. The
the newest addition to the John Deere service will continue serving all brands of heavy equipment
Commons in downtown Moline, Illinois. and will retain its name.
An estimated 10,000 people attended
the grand opening and dedication of the JOHN DEERE, YANMAR, KANZAKI PARTNER
restored 116-year-old building. Tractor- TO BUILD TRANSAXLES
NAME CHANGE REFLECTS
restoration fans basked in nostalgia as Deere & Company, Yanmar Diesel Engine Co., and Kanzaki
FORESTRY IMPACT
they munched on complimentary pork Kokyukoki Manufacturing Co. have formed Transaxle
The Construction Equipment Division chop sandwiches and drank Coca-Cola Manufacturing of America Corporation, a joint venture that will
has a new name—the Worldwide out of original six-ounce bottles while manufacture transaxles for tractors and utility vehicles.
Construction & Forestry Division (C&F). strolling through the refurbished building. The newly formed company has selected a 40-acre site in
With the company’s acquisition of Among the attractions were a blacksmith Rock Hill, South Carolina, as the location for its new headquarters
Timberjack last year, Deere was catapulted from Grand Detour and a 1950s vintage and manufacturing plant. Ground was broken for the $35 million
into a worldwide leadership position in John Deere Day film. facility in September 2001, with production scheduled to begin in
the production of forestry harvesting More than 100 restored John Deere early 2003. The plant will employ about 150 people when it
equipment, as well as remaining a leading tractors were sold during the grand open- reaches full production.
supplier of construction equipment. The ing’s main event—the second annual “All A transaxle is a unit that consists of a combination transmission
new name more accurately reflects the Green” antique auction. A 1938 Model B and axles used in small tractors and utility vehicles. The new plant
division’s standing as a leading supplier Wide High 40 drew the highest bid of the will manufacture transaxles initially for John Deere Gator™ utili-
of both construction and forestry harvest- day—$73,000—from Darold Sindt, a ty vehicles and compact utility tractors. Yanmar/Kanzaki currently
ing equipment. John Deere dealer from Keystone, Iowa. supplies transaxles to John Deere from its plants in Japan.

13 JD Journal
14 JD Journal
JOHN DEERE IN INDIA
STORY AND PHOTOS Manufacturing and marketing operations in the world’s second most populous
BY MARK MOORE nation illustrate how the company is expanding its worldwide customer base

When executives from Deere & Company and The Charminar monument in
Larsen & Toubro Limited (L&T) cut the ribbon the city of Hyderabad towers
to a 37- to 55-hp 5000-series tractor plant near above the 5310, the first model
Pune, India, on October 6, 2000, the ceremony manufactured by the joint venture.
marked an important step toward expanding
John Deere’s global presence in ag equipment. rare and that power out-
The L&T-John Deere Limited joint venture is ages, difficulties with
part of a manufacturing network—including water supply, and India’s
facilities in Georgia and Mexico—that will pro- famously congested infras-
duce 5000-series tractors for major markets tructure are more serious
around the globe. problems.
INDIA IS KEY. About as large as Alaska, the Marketing the tractors
country produces over 200 million tons of grain also has its challenges. As
to feed its billion-strong population. The effort much as 80 percent of landholdings are tiny—
it takes to produce that grain translates into little more than a few acres. Some 5 million
impressive machinery sales. More than 254,000 buffalo are used as draft animals to provide
tractors were sold last year—compared with power on many small farms.
150,000 in the United States—though average The demand for tractors is expected to grow,
horsepower is far lower in India. however, as a shrinking number of farms
A share of the Indian market is virtually accumulate more land, and as draft animals
all-new business for John Deere, because high are gradually replaced by tractors.
tariffs keep imports of foreign-manufactured Hindi, the national language, and English
equipment to a trickle. are spoken widely, but customers prefer to buy
“India is an important growth market for in their local tongue. Fourteen main languages
the ag division,” says Dave Everitt, president, and dozens of dialects are spoken in India.
Agriculture Division – Europe, Africa, South In addition, each of the country’s 22 federal
America, and Global Harvesting Equipment states has its own tax and commercial laws
Sourcing. “It’s a cost-competitive manufacturing and a unique mix of religions, customs, and
environment. It’s also a supply base for parts traditions.
and components, which offer us a competitive PARTNERSHIP. Everitt says working with
advantage when we introduce them into our L&T greatly increases the chances of success in
worldwide network.” this complex marketplace. L&T is a highly
The Pune factory will build 10,000 tractors respected engineering company whose electri-
this fiscal year. Klaus Ramsauer, CEO of the cal, cement, and construction businesses have
joint venture, says the plant is on target to gained it a reputation for quality throughout
produce 30,000 tractors by 2004, representing rural India.
10 percent of tractor sales in India. During the 1990s, L&T identified a gap in
CHALLENGES. Westerners from Marco Polo the agricultural-equipment market. “Research
onwards have discovered that India is a poten- showed that the Indian market was ready
tially rewarding but challenging country in for a more sophisticated tractor and higher
which to do business. For example, the tractor levels of reliability and customer support than
factory retains a qualified snake catcher. The was provided by the seven manufacturers in
outsourced service removes King cobras that India,” says Ganesh Apte, deputy CEO of the
seek refuge in factory buildings when heavy joint venture.
monsoon rains arrive in June. L&T sought John Deere as a partner that
Ramsauer says cobra appearances are quite could bring both a proven tractor design and
marketing system to the joint venture.
Zora Singh, manager of product support, explains the workings Engineering remains the responsibility of John

of a 5310 to a group of farmers in India’s Punjab state. Deere, which receives a royalty for each tractor

15 JD Journal
sold in addition to its share of the joint venture’s profits. ing and in the engine, transmission, and vehicle-assembly focus factories.
The tractors are basic by Western standards. There are no plush cabs, Jobs at the factory are highly sought after. Working conditions are
and transmissions are built to a basic collar-shift design. Nonetheless, comparable with those at other John Deere facilities. Wages of $1 to
with features such as power-assisted steering, they are at the top end $2 an hour represent substantial buying power in India, where the
of the market for Indian customers. Oil-immersed disc brakes and high- average wage is 50 cents per hour.
performance engines are regarded as key selling points. “What sets L&T/John Deere apart from some local manufacturers is
The 55-hp 5310 was the first tractor produced at the the willingness of managers to listen and greater investment in employee
plant and retails for about 390,000 rupees ($8,300). training,” says Sukhdeep Singh, a marketing department employee.
It has already proven itself by gaining impressive India’s roads carry a chaotic mix of pedestrians, trucks, motorbikes,
market share in its horsepower segment. and vehicles of every type, making bus travel the safest transportation
The 47-hp 5203 and the 37-hp 5103, launched option. Tractor-factory workers ride busses from their homes in Pune
this summer, are expected to see the same kind to the factory 20 miles away, six days a week—the typical workweek
of success in their market segments, which in India.
typically have much higher sales volume. On arrival, the staff stream out of the buses in the light-blue shirts and
MARKETING. “As output has gradually risen, dark-blue slacks worn by staff and management alike.
we have begun marketing machines state-by-state, The uniform helps offset India’s traditional acknowledgement of
beginning with those closest to the factory,” says class and hierarchy. Some
Jyoti Banerjee, chief of marketing. “This approach wear turbans indicating Below: Tractors are often used as the power
ensured we could support the product intensively from day membership of the Sikh source for custom-built combines. The tractors
one, and the reputation of the 5000 series is now well established.” religion, which is closely are removed and used for other tasks once
harvest is completed.
Territory managers and a handful of area offices support 75 indepen- related to Hinduism, the
dent dealerships. Banerjee says the target is 200 dealerships. religion of the majority. Since
A rigorous selection process was used to identify qualified dealers, Hinduism discourages meat
like K. Sudershan Reddy and his business partner, N. Ravindra, consumption, the outsourced
who own a dealership at Nizamabad, near Hyderabad. food service offers exclusively
“Indian farmers are concerned about the impact of globalization. We vegetarian meals.
feel that our future and that of our customers is best served by offering a The staff’s average age is
high-quality product,” says Reddy. “The 5310 has proven exceptionally 25, and worker enthusiasm
well-suited for use in rice paddy fields, a key application here.” extends past the workplace.
The dealership facilities and signage conform exactly to the Cricket, the top sport in
stipulations of their contract. The dealership is connected via the India, is passionately fol-
Internet with Pune for parts and whole-goods ordering. lowed by most, and teams
Dealerships currently offer tractors only. The joint venture is from the focus factories
planning to add locally sourced tillage equipment, because Western- play each other regularly.
manufactured equipment is currently not competitive in the Indian The workforce is largely,
market. Salesmen receive salary and commission. Competition is but not exclusively, male.
tough and negotiations can last for weeks. Many customers plan “Women engineers are well-
purchases to coincide with one of about 20 days each year defined as represented in some fields in
auspicious by the Hindu calendar. Unless a tractor can be delivered India, particularly software,
on a particular day at a specified time, the deal may fall through. but we’re still unusual in Above: Tractors fitted with cage wheels are
MANUFACTURING. The Pune factory was built on a carefully manufacturing,” says Gauri used to prepare paddy fields for rice planting.
chosen, green-field site within India’s industrial belt. Tavte, a 21-year-old mechan-
“This location means the majority of our suppliers are within ical engineer working in the transmission focus factory. “I like the
150 miles,” says Ramsauer. “Almost 95 percent of tractor content now challenge. Even at a company like L&T/John Deere, as a woman, you’re
comes from Indian sources.” Engine castings are bought from Indian a bit of a pioneer.”
suppliers and machined at the factory. Transmissions are built at GLOBALIZATION. Everitt sees the Pune facility as an important
Pune to a Kanzaki design under an agreement with that company. piece to a global tractor-marketing strategy. “These are true John
Indian suppliers are beginning to supply John Deere factories out- Deere tractors that we’re producing in India,” he explains. “They
side India. “Units worldwide are already sourcing parts from India continue our heritage of product quality and design, which means
through our wholly-owned international purchasing office based in they‘re not only suitable for India, but potentially other markets.
Pune,” says Ramsauer. “And because we have a common platform in the 5000 series,” he
EMPLOYEES. “The Pune area is home to nearly three million people, adds, “the cost advantages of Indian parts, components, and even
and education facilities are good, which means there is a pool of highly services, can be more easily leveraged into our worldwide networks.
qualified labor,” says Ramsauer. A total of 460 employees work in market- It’s a genuine win-win situation.”

16 JD Journal
Left: Gauri Tavte, a
mechanical engineer,
works in the transmission
focus factory at Pune.

Far left: There are 75


L&T/John Deere dealer-
ships in India. Jyoti
Banerjee, chief of mar-
keting, says the goal
is about 200.

Left: The engine testing


group at Pune uses
some of the most
advanced equipment
of its kind in India.

Left: Billboards are


rarely available in India.
Instead, advertising
messages are painted
on dwellings or farm
buildings in one of
dozens of languages
or dialects.

10 JD Journal
17 JD Journal
WHAT’S SO DARN FUNNY?
Quite a lot, actually, and there’s plenty of room for humor in the workplace.

By Gene Ritzinger

DILBERT reprinted with permission of United Feature Syndicate, Inc.


18 JD Journal
A sudden widening of the mouth, the baring the Cuban missile crisis, when the United of humor can make you more likable.
of teeth (a cross between a grin and a snarl), States and the Soviet Union were on the Abraham Lincoln set a good example
and a generalized tremor sweeps the body. brink of what could have been nuclear war, when he responded to an opponent’s accusa-
Inhalation and expiration become spasmodic, neither side could agree on a resolution. It is tion that he was two-faced: “I leave it to you:
sending vocalized blasts of air out the mouth, said that the stalemate was broken, and a war If I had two faces, would I use this one?”
at times evolving into a respiratory convulsion. averted, by a Russian who came to the But there are risks to humor in the
The body starts pumping adrenaline; the negotiating table with a sense of humor. His workplace. There’s a nastier side of humor—
brain releases endorphins. The lungs pump riddle, given credit for restarting the negotia- its use as a weapon. The first cave man who
out carbon dioxide, and the eyes cleanse tions that maintained peace: “What is the cracked another over the head with a rock and
themselves with tears. Heart rate, blood difference between capitalism and communism? shouted, “Ha, Ha” was probably the first
pressure, and muscular tension increase. The answer: In capitalism, man exploits man. In humorist. Civilized society has replaced brutal
You’re a mess at this point, but you feel communism, it’s the other way around.” hostility with verbal insult. Thus wise-
terrific. You’re having a good laugh. If laughter is so good for us, why don’t cracks, wit, satire, parody, and most jokes are
Laughter is a potent force. A real we do more of it? Babies and young children all accepted forms of aggression. Instead of
breakup-type, major-hoot, belly-laugh session laugh more than adults, mostly out of plea- hitting each other over the head with a rock,
is not to be trifled with, undervalued, or sure or joy. Apparently they have more fun we have put-downs like Churchill’s retort
engaged in during brain surgery or while because they don’t have jobs, mortgages, to Bessie Braddock, a political opponent
operating a motor vehicle. During laughter, receding hairlines, or worries about the stock whom he stumbled into after imbibing a few
endorphins are released that are natural market. But adults give kids that act- drinks.“Sir Winston,” she roared. “You are
painkillers which also stimulate the body’s your-age-don’t-be-silly stuff early on, Allen drunk, and what’s more you are disgustingly
immune system to increase its disease-fighting says. Kids who are funny are often sent drunk.” Churchill, surveying Bessie, replied, “And
ability. After laughter subsides, heart rate, to the principal’s office. might I say, Mrs. Braddock, you are ugly and
blood pressure, and muscular tension drop e’ve been raised in a culture what’s more, disgustingly ugly. But tomorrow
to below-normal levels for about 45 minutes, that believes our problems I shall be sober.”
leaving one very relaxed. Laughter also pro- can be beaten only if we get Sarcastic humor, although clever and
vides exercise for your diaphragm, thorax, tough enough, work a little funny if it’s aimed at someone else, absolutely
abdomen, heart, and lungs, providing a mini harder, and get really serious, according to does not belong in the workplace, as Clyde
aerobic workout. Avner Ziv, author of Personality and Sense Fahlman writes in Laughing Nine to Five.
C. W. Metcalf, author of Lighten Up, calls of Humor. “There’s an assumption that Neither do dirty, sexist, and ethnic jokes.
laughter “the cheapest medicine we can get if employees are having a good time and Such humor hurts feelings, causes resentment
under or over the counter. It’s free, nonalco- laughing, then they’re goofing off,” he and anger, and closes doors to creativity,
holic, and singularly devoid of a downside.” says. “The key is being serious about openness, and trust. The emphasis must be
And, adds humorist and motivational speaker your work and problems but not taking on “laughing with” versus “laughing at.”
Kathleen Passanisi, any stress—from acne yourself so seriously.” And you have to know when humor is
to a crabby boss—can be diminished with Passanisi says her goal is to dispel the appropriate. The employee who constantly
a good belly laugh. myth that work and play are opposites. repeats the latest joke can be as tiresome as
Metcalf claims companies are finding “If the powers-that-be can poke fun at them- the multitude of jokes that clog e-mails. You
that office humor and playfulness not only selves, they become human in front of their need a clear, unequivocal signal that a laugh’s
help reduce stress, but also keep employees staffs. Once they do that, there is instant in order. If in doubt, don’t clown about.
creative under pressure and adaptable to bonding,” she explains. “If you don’t allow What can you do to lighten up the atmo-
change. Humor also aids communication, humor on the job, people will still laugh— sphere at your workplace? If your boss
helps overcome defensiveness and conflict, but behind your back and at your expense.” discourages humor, show him or her this
and increases morale and job satisfaction. Remember when you sat through a meet- article. Here are other tips from the humor
And, as a result of these collective benefits, ing with a piece of spinach stuck in your experts: Create humor bulletin boards for
productivity increases. teeth? Or when you e-mailed your child’s cartoons and jokes. Put a comic twist on the
Steve Allen, Jr., a physician, humor soccer schedule instead of a memo? Or when routine things at work. One expert actually
consultant, and son of the late comedian, you forgot where you parked your car? Or advises setting up a humor room filled with
points out that in experiments, people who some other situation like that? If you didn’t puzzles, comic books, games, and toys.
laugh at a half-hour comedy show before a laugh, you should consider why. These can Fahlman says the greatest laughter in
test come up with more novel solutions to be funny situations, and while they made organizations doesn’t come from contrived
problems than people who just sit doing you look a bit foolish, they’re fairly harmless. humor, but from situational humor that
nothing while they wait. Those who have the ability to laugh at comes about spontaneously. What we really
Humor can often help ease negotiations themselves are more flexible and have less need to do most is to learn to laugh a little
and resolve a stalemate. For a time during stress in their lives. And showing your sense more and take ourselves a bit less seriously.

19 JD Journal

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