NCR – Output of John Patterson’s vision to start Modern American Company aka America’s Model Factory

USA based software firm NCR (National Cash Register) is known for its wide range of services. Apart from providing complete software solutions, it also develops several other products. The firm is also known as America’s Model Factory, and the founder John Patterson is recognized as the father of industrial welfare. Why so? Because the firm has been performing extensive welfare work for a long time. In fact, it is a pioneer firm in America that start the welfare department for doing this work actively. 

Started in 1884, the firm has seen reconstructions of its business several times. In 1991, AT&T acquired NCR, which again re-established in 1997. Because the reconstruction of AT&T had made in the previous year. Since then it became a separate firm as one of the modern American firms.

NCR Backstory of Foundation

The invention of the mechanical cash register in 1879 led to the formation of the National Manufacturing Company, Dayton. It was purely to manufacture and handle the marketing of that register. While in 1884, the Patterson brothers purchased the patents of the mechanical cash register along with the company. In the same year, they re-established it as National Cash Register. Patterson brothers transformed these firms into a modern corporation, considered as one of the foremost modern American companies. T. J. Watson, Sr., Charles Kettering, and E. Deeds also played important role in the early days of NCR. 

As mention earlier, the firm has witnessed lots of variations in its structure. One of such re-construction made in 1974, also the firm renamed as NCR corporation at that time. Recently, in 2018, the firm has shifted the headquarter at Midtown Atlanta from Duluth, Georgia. 

John Patterson and Early Busines of NCR

At the time when the Patterson brothers bought the firm, the manufacturing cost of cash registers was high and it was not so popular. Thus, the final price of registers was high, as well, very few cashier machines were in use. Patterson’s idea to increase the demand, and ultimately reducing the cost played well. He introduced the first-ever sales squad known as “American Selling Force”. Those sales persons were trained to demonstrate to the people how to use the machine, its advantages, and all other queries related to that. For this, he also created a formal sales training academy. John is also a pioneer to start direct mail advertising, he advertised the products by sending details of products in the mail. In fact, he started the first advertising campaign in the world known as the “Get A Receipt campaign”.  

Being a born businessman and a salesperson, he is also a pioneer to start the first-ever daylight factory. As well, he is credited to formed NCR as one of the first modern American companies. Patterson made this possible by introducing novel, aggressive business tactics, and sales methods. Also, he is the one to introduce an inclusive social welfare program for his factory laborers. In his last years, he hands over the business to his son who made it public in 1925. 

Expansion of the business

Patterson put his immense efforts to expand the business of NCR, and it has soon shown a result. Just after 4 years, the firm became multi-national. As well, it further explored the business with the acquisition of many small cash register firms. With excellent marketing technic, NCR managed to sell one million machines by 1911. The firm has initially dominated 95% of the American Market. 

Later on, NCR shifted the focus to scanners and computers. As of the legacy to develop efficient products, it also created the best scanners of the time. In fact, its scanners set the record to scan the items with Universal Product Code/UPC at the supermarket checkout. 

Extensive Welfare work for Workers

The firm not only focused on the satisfaction of customers but also performed excellent work for its workers. For this, it is referred to as America’s Model Factory. As a part of welfare initiatives, it introduced back support for workers who operate machines, as well, the ventilation systems for clean air. NCR also introduced a special provision for women workers. It also transformed the working space into the first daylight factory, thus providing fresh air and daylight. 

Later Business under Mike Hayford’s policies

After 1925, the firm sold 55 million dollars of shares as a public offering. It was the major offering for the public of that period. As a part of its further expansion, the firm extended its self-service portfolio into the digital broadcasting market too. 

In 2018, after Mike Hayford became a CEO, the firm completely changed its business strategy. Rather than focusing on hardware only, NCR now became a software-service-led technology provider. As per the announcement made in 2019, NCR will be taking the initiative to build a campus in Belgrade, Serbia.