The Bombardier Story: From Snowmobiles to Global Transportation Powerhouse
Format: PDF / Kindle (mobi) / ePub
The story of the company that was founded by the inventor of the snowmobile
In 1942, Joseph-Armand Bombardier invented the snowmobile and founded his company to manufacture them. From its humble beginnings as an entrepreneurial company in rural Quebec, led by an enterprising inventor, Bombardier Inc. has emerged as a global leader in the transportation industry. This book tells the fascinating tale of this remarkably well managed company that has enjoyed spectacular growth in its chosen markets through strong leadership and management strategy, succession planning, strategic diversification, and turnaround and acquisition artistry.
- The fascinating story of the world's largest rail manufacturer for both railway and subway
- Reveals why Bombardier Inc. is a multi-faceted global company yet nobody knows their name
- Written by Larry MacDonald the author of Nortel Network
The Bombardier Story shows how invention and entrepreneurship, management and leadership, smooth succession planning, and turnaround and acquisition built this global powerhouse.
government bureaucracy. The publicity kit for his firm, Young International Development, listed Mayor Young as a reference. Among his first clients in connection with the Georgia 400 monorail project was a French rail manufacturing company then called Alsthom Atlantique, which was additionally interested in promoting a high-speed railway line between Atlanta and Savannah. In March 1985, the mayor of Atlanta visited the French company in Paris and expressed support for the idea. The retainer fee
and innovation. In response to the critics, Royer put forward a rhetorical question: “Do we gradually develop our own design and perhaps miss the market, or do we go after the market and make the best of it for Canadian industry?”30 Another senior Bombardier executive replied: “The risk that has been taken on the various contracts we’ve bid for has been minimal. It takes years to prove the technology. Bombardier cannot afford to do that.”31 3GC04.indd 106 29/10/12 8:49 AM The Deal of the
many months, the parties engaged in intense discussions to determine the value of the company and create a financing package for a potential deal. Since the company was Bombardier’s direct competitor, due diligence was complicated and information had to be filtered. On top of that, UTDC had a number of existing contracts whose fair value required assessment. Finally, on December 19, 1985, the parties settled on an offer. With their lawyers on hand, they came to a tentative agreement to be signed
the late stages to endorse Bombardier’s proposal to extend the SkyTrain. To win the contract, Bombardier agreed to build a plant in British Columbia to assemble the SkyTrain vehicles, providing 150 full-time jobs. A commitment was also made to build the Centre for Advanced Transit Systems to develop and market automated metro systems worldwide. In effect, Bombardier and the BC government had entered into a form of public-private sector cooperation. By giving Bombardier the chance to further hone
the higher prices others were willing to pay were overvaluing the firm in relation to its potential, so Bombardier would not match them. The company only agreed to a transaction after favorable enough terms emerged. According to the arrangement, Bombardier would take control by putting up 51 percent of a $100 million USD cash injection, with the remainder coming from the Ontario government. There was an option to buy out the Ontario government’s share (which Bombardier later exercised to gain