Some historians call Thomas John Watson Sr. the father of IBM. Others recall him to be one of the best salesmen of the 20th century. Most people, however, agree that Thomas Watson Sr. is the reason IBM is flourishing today.
Thomas Watson Sr. may not have been the founder of IBM, but he was instrumental in the company’s initial success and in propelling it to be a globally recognized corporation.
The Life Story of Thomas John Watson Sr.
Thomas John Watson Sr. joined IBM, then known as the Computing-Recording-Tabulating (CTR) Company, in 1914. He was first the general manager and, shortly afterward, president. At the time of his retirement, IBM was selling 90% of tabulating machines in the United States.
Watson Sr. made IBM so successful that the United States government filed a civil anti-trust lawsuit against the company in 1952. How did this one man, build IBM to live up to its name and reputation? Join us as we narrate the life story of Thomas J. Watson Sr.
Early Life
Thomas J. Watson was born on February 17, 1874, in Campbell, New York, to Thomas and Jane Fulton White Watson.
He was the last born in a family of five children (four daughters and one son). His father was a farmer who also owned a lumber business near Painted Post, New York.
Thomas J. Watson Sr. was of Scottish ancestry. His parents immigrated to the United States from Ireland to escape the potato famine. His father went into the lumber business, thus exposing the young Watson to commerce at an early age.
Education
Watson Sr. studied at District School Number Five and then transferred to Addison Academy in Addison, New York. His father wanted him to become a lawyer, but the young Watson had other aspirations.
He wanted to be a teacher. After graduation, Watson Sr. got his first teaching job but quit on the first day. His dream to be a teacher was just a passing phase.
After quitting his teaching job, Watson Sr. took up a one-year course in business and accounting at the Miller School of Commerce in Elmira, New York. He finished in 1891 and got a bookkeeping job at Clarence Risley’s Market.
However, Watson Sr. did not find this job fulfilling, considering it required him to sit on a stool all day, maintaining records for $6 a week. He quit and became a traveling salesman for pianos and sewing machines.
This job was Watson’s first exposure to sales, and it steered his career path toward sales and business.
Early Career
Watson Sr. made $10 a week working as a traveling salesman. He, however, realized he could earn more if he worked on commission.
This discovery gave him the confidence to quit and move to Buffalo, where he got a salesman job at the National Cash Register Company. Watson worked under the mentorship of John Range, one of NCR’s best salesmen.
Within a few years, he became the top salesman in Buffalo.
Watson Sr. got promoted to head his own NCR branch in Rochester. As the general manager, he led a team of other salesmen.
The Rochester branch became the sixth best within a few months after Watson became its manager. Watson worked at NCR until 1913 when he got fired after he and other executives were accused and sued for unfair business practices.
Life at IBM
Watson Sr., in 1914, accepted the challenge of managing International Business Machines Corporation (IBM), then called the Computing-Tabulating-Recording (CTR) Company.
This company was founded from a merger of three firms: the Computing Scale Company, the International Time Recording Co., and the Tabulating Machine Co.
At the time, the company was deeply in debt, bordering bankruptcy. It produced and sold clocks, accounting machines, punch cards, and tabulating machines.
The NCR trial against Watson and other executives ended in 1915, with the court ruling in their favor. Watson was then promoted to become president of the CTR Company.
He improved the design of tabulating machines and grew the company’s revenue from $4 million in 1914 to $14 million in 1920. Watson changed the company’s name to IBM in 1924, shortly after becoming the chief executive officer.
Successes
Watson’s 42-year tenure as IBM’s president and chief executive officer propelled the company to become the success it is today. He created a robust organizational culture that applied more value to employees and prioritized the customer.
Watson joined IBM when it had 1,300 employees and was earning $4 million in annual revenues. When he retired in 1956, the company had 72,500 employees and earned $897 million in annual revenues.
Watson was also responsible for taking IBM globally. He was an exceptional salesman who knew how to gather, train and motivate his sales team. He pursued international trade in the 1930s using the slogan “World peace through world trade.”
This slogan was adopted by both IBM and the International Chamber of Commerce (ICC).
Watson Sr. mentored his son, Thomas J. Watson Jr., to take over IBM’s presidency. He retired as the company’s president in 1952, handing over the reins to his son.
Watson then relinquished his position as IBM’s chief executive in 1956 and left the company’s management to his sons. Arthur K. Watson, his other son, became president of IBM World Trade Corporation.
Management Style
Besides being a remarkable salesman, Watson was an excellent manager who knew what to say to motivate his team. He introduced IBM’s famous motto, “THINK,” shortly after joining the company. Watson coined this slogan when managing his sales team at NCR’s Rochester branch.
He carried it forward into IBM and made it synonymous with IBM’s brand.
By 1940, the “THINK” motto was on almost every wall in IBM offices. You would find the inscription on employee notebooks and stationery.
Today, the slogan is still part of IBM’s organizational culture. It inspired the naming of the IBM ThinkPad and Think Mutual Bank. Watson used the motto to inspire and motivate his staff to use their minds to improve their productivity and work quality.
Other Achievements
Watson Sr. served as a trustee of Columbia University and Lafayette College. He was elected president of the International Chamber of Commerce (ICC) in 1937 and awarded the Order of the German Eagle by Adolf Hitler that same year.
Watson also served as an international Scout commissioner of the Boy Scouts of America in the 1940s and obtained the Silver Buffalo Award in 1944.
Personal Life
Thomas J. Watson Sr. married Jeanette Kittredge on April 17, 1913. Kittredge came from a prominent family involved in the railroad business in Dayton, Ohio. The couple got married the same year Watson left NCR.
Watson and Kittredge were blessed with two daughters and two sons. Thomas J. Watson Jr. became the second president and chief executive of IBM. Arthur K. Watson became president of IBM World Trade Corporation.
Helen Watson Buckner became an eminent philanthropist in New York, and Jeanette Watson Irwin married a businessman who later became ambassador to France.
The Death of Thomas John Watson Sr.
Thomas John Watson Sr. passed away in 1956 at 82 due to a heart attack while still IBM’s board chairman. He retired as IBM’s chief executive shortly before his demise.
Frequently Asked Questions (FAQ)
The information in this post answers many of the questions about Thomas John Watson. This section provides a summary and any additional information.
What is Thomas Watson famous for?
Thomas Watson is famous for serving as the first Chairman and CEO of IBM. He set in the organization’s culture and oversaw the company’s growth to become the international force it is today.
What was Thomas Watson Sr.’s net worth?
Thomas Watson Sr.’s net worth was estimated to be $2 million at his death.
When was Watson CEO of IBM?
Watson Sr. served as IBM’s CEO from 1924 to 1956. He was, however, the company’s president from 1915 to 1952.
Why did IBM call their computer Watson?
IBM launched the IBM Watson computer in 2011.
This computer runs software called Deep QA that responds to the deepest and trickiest questions asked in natural language.
The company named it Watson to commemorate Thomas J. Watson Sr.
Thomas John Watson Senior’s Timeline
1874:
Thomas John Watson Senior is born in Campbell, New York.
1891:
Watson Sr. leaves the Miller School of Commerce in Elmira, New York.
1892:
Watson Sr. gets a bookkeeping job at Clarence Risley’s Market.
1893:
Watson Sr. becomes a traveling salesman for sewing machines and pianos.
1895:
Watson Sr. becomes a salesman at the National Cash Register Company.
1913:
Watson Sr. gets fired from NCR. He marries Jeanette Kittredge.
1914:
Watson Sr. gets hired at IBM, then called the CTR Company, as the general manager.
1915:
Watson Sr. gets promoted to become president of the CTR Company.
1924:
Watson Sr. becomes IBM’s CEO and changes the company’s name to IBM, short for International Business Machines.
1937:
Watson Sr. becomes president of the International Chamber of Commerce.
1952:
Watson Sr. retires as IBM’s president and hands the reins to his son, Thomas J. Watson Jr.
1956:
Watson Sr. retires as IBM’s CEO and dies of a heart attack.
Quotes From Thomas John Watson Sr.
- To Be Successful, You Have To Have Your Heart in Your Business and Your Business in Your Heart.
- If You Want To Achieve Excellence, You Can Get There Today. As of This Second, Quit Doing Less-Than-Excellent Work.
- We Hear of a Silent Generation, More Concerned With Security Than Integrity, With Conforming Than Performing, With Imitating Than Creating.
- Wisdom Is the Power That Enables Us To Use Knowledge for the Benefit of Ourselves and Others.
- You Work the First Eight Hours of Each Day for Survival. Anything After That Is an Investment.
- Whenever an Individual or a Business Decides That Success Has Been Attained, Progress Stops.
Search Results – Thomas John Watson Sr. quotes.
Books
If you want to get in-depth information about the life of Thomas John Watson Sr., then books are a good option.
Some of the books available on the market include the following.
Thomas Watson, Sr.: IBM and the Computer Revolution
by Robert Sobel
Father, Son & Co.: My Life at IBM and Beyond
Thomas J. Watson, Peter Petre
The Maverick and His Machine: Thomas Watson, Sr. and the Making of IBM
by Kevin Maney
View the most recent books related to Thomas John Watson Sr. on Amazon.
News
Reading the news, you can also explore what the media says about Thomas Watson and IBM.
A site like Google News allows you to filter the results by your search query. Additionally, you can set up an alert to stay updated with new media coverage.
See Google’s news search results related to Thomas John Watson Sr and IBM.
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