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Another Reason IH Went Broke

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hagan

01-04-2004 14:10:23

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Look at the BMD on the photos. It is a british M and it has a factory 3point hitch. I have a 560 and it would be a heck of a lot nicer if it had a 3 point rather than a fash hitch. The 3point is common and the 2 point or fasthitch is not. I feel the older IH's would resell lots better if they had fast hitches.
IH Sat on their duffs too longgggg ggg

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Red Rider

01-04-2004 19:07:18

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Re: Another Reason IH Went Broke in reply to hagan, 01-04-2004 14:10:23

I also have 4 tractors with IH fast hitches. The safety is in the hook up to equipment. Your not back behind your tractor trying to line up three point pins. I have mounted a IH 3 point adapter to all my three point equipment and nothing could be simpler when it comes to hooking up to equipment. The problem with IH and the fast hitch is they would not allow anyone to make fast hitch equipment thus forcing farmers to by only IH equipment. But IH did sell the 2 point to 3 point conversion so I didn't really see that it stopped farmers from buying any type 3 point equipment they wanted.

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Paul in Mich

01-04-2004 17:11:52

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Re: Another Reason IH Went Broke in reply to hagan, 01-04-2004 14:10:23

Hagan, Fasthitch was by no means the sole contributor in the demise of IH. There were a multitude of factors, mostly business decisions. However, Fasthitch ended up being a proprietory design not unlike BETA video system and Macintosh Computor systems, in that only proprietory dedicated equipment would work, and nobody else was allowed to manufacture compatible competitive equipment because of exclusive patents held by IH. This meant that the only way one could utilize the Fasthitch system was to buy the tooling from IH or make their own which was in no way cost effective. There were other proprietory hitching systems such as Case's claw hitch, but the most common was the 3 point system developed by Ferguson. The difference was that other manufacturers could reproduce without patent infringements the equipment and mount it on the ferguson system. Eventually that system became generic just like Kleenex is to facial tissue. I'm surprised that companies like Sony and Apple computers didnt learn from other companies. While they haven't gone broke, they have greatly restricted their market share thru proprietorship. If that were the only reason IH went bust, it would be enough, but it weas really a very small contributor.

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dhermesc

01-05-2004 05:51:14

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Re: Re: Another Reason IH Went Broke in reply to Paul in Mich, 01-04-2004 17:11:52

The recall of the 560 didn't help the bottem line any. Then there was all the money they spent developing the TD24 and TD30 dozers. Everyone of those sold the first year where recalled and scrapped (to expensive to completely tear down and rebuild), made the 560 recall look like small potatoes. Then they had less turnover then the federal government, once you got a job short of burning down the plant you had it for life (or at least the life of the company). The productivity of IH employees always lagged John Deere, Cat and all the major auto makers. Most people don't know this but IH truck sales where larger then the entire farming division from about 1960 on. Given how easy the fast hitch is to convert to 3 point (if that was your main gripe) that alone could hardly stand in the way of sales.

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Paul in Mich

01-05-2004 06:14:28

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Re: Re: Re: Another Reason IH Went Broke in reply to dhermesc, 01-05-2004 05:51:14

That was my point. Fasthitch was the least of IH's worries. It was but a small contributor to the ultimate downfall.

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JD-Tractor

01-04-2004 16:14:40

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Re: Another Reason IH Went Broke in reply to hagan, 01-04-2004 14:10:23

The fast hitch was not the safest hitch in the world !!I saw a lot of oops and near misses with implements tipped up on the operator's area. Grew up in Western Pa.

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Jimmy King

01-04-2004 18:17:02

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Re: Re: Another Reason IH Went Broke in reply to JD-Tractor, 01-04-2004 16:14:40

If a linch pin comes out of three point they will do the same.

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Kelly C

01-04-2004 15:24:36

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Re: Another Reason IH Went Broke in reply to hagan, 01-04-2004 14:10:23

Couple of opinins I have after reading a little about it.
IH was up to thier eyes in debt and losses from nonfarm related products. With a shrinking market om thier hands. All the R&D money was going to service debt not coming out with new stuff.
They were caught in the same kind of boat in the late 30's from the depression. Yet by not having all that nonfarm related stuff they still put R&D into the new Farmall's. Even with as great a product as the letter series was I dont think they would have made it with out WW2 coming along.
No big War in the 80's to bail them out. ( good thing too)
Thats what happens when you get to many irons in the fire and no one is making sure they come out. Just keep putting them in.

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42FarmallH

01-04-2004 14:41:14

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Re: Another Reason IH Went Broke in reply to hagan, 01-04-2004 14:10:23

I feel the 2-point hitch is better than the 3-point. The reason it didn't catch on is because IH wouldn't let the other companies use it! I read in one of the many books on IH that other companies actually came to them wanting the 2-point hitch...

Here is how IH could have survived:
The 560 and 660 should never have existed, the 706 and 806 should have come after the 450 and 650.

The 56 series was fine, but the 66 series should have been the 88 series with quiet cabs and synchronized transmissions. 86 series were behind other companies with bad shifting and lack of synchro.

Just my thoughts...

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Farmall Daddy

01-04-2004 17:46:27

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Re: Re: Another Reason IH Went Broke in reply to 42FarmallH, 01-04-2004 14:41:14

I myself like the two point as well when it comes to hooking implements up. I have a 3 point conversion kit on my 560, and i don't really like it cause it doesn't work all that great on the cat 2 stuff i have. The 560 was the downfall to IH, but I still think that it is a good tractor. After they fixed the bearings on the tranny, then it became a better tractor. I like the stong hydralics, and the 6 cylinder motor myself. Most of all, look at what IH designed that is found on every tractor on the market today pratically, the Torque Amplifier unit. That goes to show that IH did something right. You never seen those JD's doin that stuff back in the day..... ...

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Dave

01-04-2004 16:45:40

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Re: Re: Another Reason IH Went Broke in reply to 42FarmallH, 01-04-2004 14:41:14

I alawys make the "video tape analogy". Recall fifteen +/- years ago when video tape became very accessible to the consumer market, we had two formats VHS and Beta. Beta was better, smaller sized, better audio quality, but VHS had an earlier introdution to the market, and thus established a foothold sooner. (VHS was developed by JVC and was made availabe to other companies, same as three point, as where Beta was the main stay of another LARGE Electronics co. and held the rights too long....) The rest is history. (Most of the younger tractor'ers won't even remember BETA, neither will some of the Older ones..... .)

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Jimmy King

01-04-2004 15:01:08

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Re: Re: Another Reason IH Went Broke in reply to 42FarmallH, 01-04-2004 14:41:14

I agree with you I have two points and three points and I like the two point much better. I have a 706 with two point and a 756 with three point both have a solid drawbar. I have also heard the same reasons you gave for other co's not going to two point.

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map

01-04-2004 15:00:48

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Re: Re: Another Reason IH Went Broke in reply to 42FarmallH, 01-04-2004 14:41:14

It was the same way with the AC snap-coupler, if they wanted them catch on they shoud never have goten patents on them

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Wide Open

01-04-2004 17:15:10

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Re: Re: Re: Another Reason IH Went Broke in reply to map, 01-04-2004 15:00:48

Map, the reason the patented it was so that no other company would have it. What edge does it give them over the competition if all competitors have it also? The reason they developed it was so that they could have something that the competitors did not have, thus hopefully farmers would buy there product, because they were the only ones that had"Snap Coupler" It was the same with Fords 3-point, they patented it so no one else could copy there system. For a while no one but ford had it,and ford did well, once patent expired everyone had it.

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mike p

01-04-2004 14:16:20

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Re: Another Reason IH Went Broke in reply to hagan, 01-04-2004 14:10:23

I thought that they were bought out by Case.

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Jimmy King

01-04-2004 14:41:07

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Re: Re: Another Reason IH Went Broke in reply to mike p, 01-04-2004 14:16:20

That is why they sold out to not Case , but Tenco Corp which also owned Case.

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