Scott Luton (00:04):
Hey, good morning, everybody. Scott Luton here with you today. I’m on the road with family at the beach in beautiful Ponte, Vedra, Florida. We’re enjoying a bit of a vacation, but we’ve got a special classic episode of this week in business history. As I recorded this episode about a year ago, where we dive into the history of the interstate system here in the United States, it’s really an interesting and timely look, especially with Washington DC grappling with the need to address our infrastructure across the country. So stay tuned and from my family to yours, have a wonderful week.
Scott Luton (00:52):
Good morning, Scott Luton here with you on this edition of this week in business history. Welcome to today’s show on this program, which is part of the supply chain. Now family of programming. We’ll take a look back at the upcoming week, and then we share some of the most relevant events and milestones from years past, of course, mostly business focused with a little dab of global supply chain. And occasionally we might just throw in a good story outside of our primary realm. So I invite you to join me on this. Look back in history to identify some of the most significant leaders, companies innovations, and perhaps lessons learned in our collective business journey. Now let’s dive in to this week in business history.
Scott Luton (01:52):
So let’s start with our featured story on June 29th, 1956, the federal aid highway act of 1956 is signed by us president Dwight D Eisenhower, a move that would create of course the U S interstate highway system. According to the American trucking association trucks move roughly 71.4% of us freight by weight. In 2019, the trucking industry in the U S was about $700 billion strong and almost employed 6% of all full-time jobs in the country. But where would we would we all be including the trucking industry, especially without our interstate highway system. That’s a great question. Shipping stuff would be a lot more expensive for starters, and it’d be much, it’d be a much bigger hassle to get to about anywhere and come to think of it. Neil page and Del Griffith would have had a lot fewer options in their quest to get home to Chicago in time for Thanksgiving via planes, trains, and automobiles, but rather than explore hypothetical scenarios.
Scott Luton (03:04):
Hey, let’s look back at a few factors that gave rise to Ike’s big dream of an American Autobon at the end of the 19th century roads were a mess, no nice smooth, concrete, or asphalt that we all come to expect these days. Nope, a lot of dirt roads packed dirt roads, or when it rained muddy, sometimes impossible and passable impossibly impassable roads, but keep in mind there weren’t many cars as we moved into the start of the 20th century. So the demand wasn’t checked right, as we all know, that was just about to change. Thanks to Henry Ford and a variety of other entrepreneurs. It’s been estimated that there are about 250 million cars and trucks in the U S these days with the us population at about 328 million people that is roughly one vehicle per 1.3 people. But back in the earliest years of the 20th century, there was one motorized vehicle per every 18,000 Americans.
Scott Luton (04:09):
By 1910, though, hundreds of us manufacturers had entered the automotive industry by the 1920s Ford, general motors and Chrysler were deemed the big three manufacturing, a dizzying array of vehicles and Americans were buying them left and right, the great depression certainly slowed things down because most of the car manufacturers here in the states to shutter world war II would also massively intervene, but come the late 1940s. And certainly the 1950s happy car buying dates would return. Interestingly enough, president Dwight D Eisenhower would be sworn into office in January, 1953. And as I set up shop in the white house, he brought with him a grand vision to transform American roads. Two key events that president Eisenhower would experience firsthand were critical to how he viewed this infrastructure need in the U S first up in 1919, and then major Eisenhower. A us army officer was part of a trans continental army convoy that traveled from Washington DC to San Francisco, mostly using the Lincoln highway.
Scott Luton (05:25):
It’s been said that due to the road conditions that the large convoy averaged five miles per hour, which explains why they left DC in July 19, 19 and arrived in San Francisco two months later, two months later as was a major part of the plan, this illustrated to the American people, the need for better roads. Secondly, critical to Ike’s determination to make a major investment in us highway infrastructure, his time in Germany, during war II, where he saw the autobody networks efficiency firsthand with those experiences in mind and determined to make an early impact president Eisenhower pushed for action. I keep in mind the president, wasn’t the first dream of a national highway system. And there had been past presidents set for a national system of highways. The federal aid highway act of 1944, for example, laid out a plan for a 40,000 mile national system of interstate highways, but the catch and the reason why nothing happened, it didn’t include any specific provisions as to who would pay for those miles and miles.
Scott Luton (06:40):
A nice roads with the federal aid highway act of 1956, which was passed by Congress and signed by the president. The bill allocated 26 billion in funding with the federal government covering 90% of that. On a side note, the legislation pass was also referred to as the national interstate and defense highways act. That’s right. President Eisenhower believed that the us military would need a better way to move groups and equipment. In the event, the country was invaded, thankfully that need has never been tested. Okay, so now we had a highway bill and money in 1956, guess who’s the first state to break ground? The show me state that’s right. Missouri would break ground on August 13th, 1956 on what would become our 70 its neighbor, Kansas would follow suit and begin it’s part of our 70, the following month. But as president Kennedy came into office in 1960, the burgeoning national system of interstate and defense highways was facing more and more opposition cost overruns were at the top of the list of complaints from across the nation and in urban American cities, the clamor was more about how the interstate construction was disrupting established communities.
Scott Luton (08:02):
In many cases, families and businesses were being relocated to make room for roads protests and Metro areas such as Memphis and Indianapolis and Washington, DC, San Francisco, all led to cancellations of certain components of the national project, or in some cases, the interstate was simply rerouted. A lot more legislation will be signed in the oval office throughout the interstate systems, formative years in the sixties, seventies and eighties, much of which would address many of these challenges. In 1992, a milestone is reached as the interstate highway system is proclaimed to be complete. As a key stretch was completed 70 that runs through Glenwood canyon in Colorado, but work on a variety of fronts. Good and still do continue ever curious as to how specific interstates get their number identifications and the rules that make up the numbering system. For starters, large primary roads have a one or two digit number, the shorter routes, which can often circle major cities or service spurs have a three digit designation.
Scott Luton (09:11):
I 2 85 here in Atlanta is a great example of that. It circles the Metro Atlanta area, 2 85 also connects with [inaudible] 75 and 85. It can be pretty confusing for many drivers visiting Atlanta or anyone else for that matter. Back at 1982, Atlanta Braves pitcher, Pascal Perez left his house and Metro Atlanta to drive to Atlanta Fulton county stadium home of the braids at the time, unfortunately being a new driver Perez would get lost and circle the city on 2 85, a few times run out of gas and miss starting the game that night for the Braves, of course, all in good fun. His teammates would make up a warm-up jacket with 2 85 on the back of it instead of his typical Jersey number. All right, so getting back to the interstate numbering system, major arteries that span long distances are assigned numbers, divisible buff up such as [inaudible], which essentially runs parallel to the U S west coast beginning at the Mexican border and San Ysidro, California.
Scott Luton (10:20):
It runs all the way north through Blaine, Washington and into Canada. East west hallways are often even numbers such as [inaudible] growing up in Aiken county. South Carolina at 20 was a very familiar interstate for my family. It made the drive from Aiken, which is just across the Savannah river from Augusta GA to Columbia. The state Capitol South Carolina made it very easy. I 20 runs from Florence, South Carolina, all the way west to Scroggins draw, Texas north south highways are odd numbers, such as [inaudible], which starts in Las Cruces, New Mexico, and runs north all the way to Buffalo Wyoming, right there at the foot of the big horn mountains. In 2006, the Dwight D Eisenhower system of interstate and defense highways celebrated its official 50th anniversary. Make no mistake. The massive public works project has made a tremendous impact on our country and our continent. From a business standpoint, it’s been a huge resource.
Scott Luton (11:22):
Consider this as stated by Justin Fox from fortune magazine quote, thanks to the new road network and containers that could easily be moved from ship to train to truck. Overseas manufacturers and domestic upstarts were able to get their products to market in the U S more quickly than ever before. New distribution networks arose that were vastly more efficient and flexible than the old end quote, but as with any change, when some, and you lose some as interstate routed and rerouted American cities and towns, in many cases, the diverted traffic led to the demise of many communities, such as peach Springs, Arizona before [inaudible] was completed just south of the town peach Springs enjoy 32 active businesses. As of 2018, only two active businesses could be found in peach Springs while the iconic us route 66 does come through the town. Most traffic and consumers claimed the [inaudible], which was built just about 20 miles south of the city.
Scott Luton (12:29):
So what lies ahead for the interstate system? Who’s to note, I would say probably more construction, certainly more autonomous vehicles. In fact, interstates will really be able to help us out there as we continue to, to develop that technology. And once we get past this unique year, that is 2020, absolutely. Without a doubt, a lot more explorers driving across the beautiful stretches of this great country, looking for cities and experiences big and small. So let’s take a look in a more succinct way on some of the other notable historical items on this week in business history on July 1st, 1874, the first commercially successful typewriter would hit the market known as the Shoals and Glidden typewriter 4,000 units would sell by 1877, principally designed by Christopher Latham Sholes who appropriately would also invent what is known as a curity keyboard. Q w E R T Y. You’ve got one in front of you probably it’s used everywhere in the world.
Scott Luton (13:36):
Now Scholz and his partners tried a few times that manufacture and market the product successfully, the one they had invented, but that wouldn’t happen for them. Unfortunately, in the rights to the top, brighter would be sold in 1873 to a firearms manufacturer that was attempting to diversify. He Remington and sons refund the device and had some luck with sales, but would sale the line of business to the standard typewriter manufacturing company incorporated in 1886, the typewriter would go on of course, to be found in businesses everywhere. The device would not only provide speed and productivity, but the information that it quickly produced was easily legible. Unlike in some cases, the furious shorthand that many a clerk and secretary would use prior to the typewriter, of course, by the 1970s and certainly 1980s, the typewriter was being phased out by word processors and personal computers. Interestingly enough, in certain parts of the world where electricity is not particularly reliable here, this in 2020 typewriters are still used quite a bit.
Scott Luton (14:43):
And there seems to be a new found interest amongst a variety of professionals, including writers who bemoan all of the distractions that a PC brings. Hey, I can relate on June 30th, 1953, the first Chevrolet Corvette would roll off the assembly line in Flint, Michigan at the end of world war II, Harley Earl, who happened to be born in Hollywood, California had noticed that service members returning from the war in Europe were actually bringing vehicles home with them, mgs Alfa Romeos, and the like he would eventually kick off project Opal, which would deliver the automotive classic Nannette known worldwide. As a Corvette general motors would make 300 Corvettes in 1953. They were largely hand-built and each of the vehicles had white exteriors, red interiors and a black canvas top in 1954, almost 4,000 Corvettes were built, but almost a third of the vehicles didn’t sail by the end of the year, initially built in Flint, Michigan and St.
Scott Luton (15:50):
Louis, Missouri bowling green Kentucky has been the exclusive home of Corvette, many factoring for more than 30 years. And the Corvettes where they did catch up sales caught up. They became mentally popular amongst Americans and worldwide. And since the plants right there in bowling green Kentucky started up at 1981. It’s produced more than 1 million Corvettes on July 2nd, 1962. The first Walmart opens for business in Rogers, Arkansas 44 year old Sam Walton, a former JC penny employee had run a five and dime store for years, which was actually a smashing success wanting to do even more to serve as customers Walton would find success with the first Walmart and Rogers, a city in Benton county, Arkansas five years later, Walton would have 24 stores across the state. And of course the rest is history interesting to our team. As of late here at supply chain now is Walmart’s continued efforts at improving its customers e-commerce experience.
Scott Luton (17:02):
There’ll be interesting to see how the Walmart plus program and the new Alliance between Walmart and Shopify stack up against Amazon in the months ahead and finally on June 29th, 2007, apple incorporated releases its first mobile phone. Of course the iPhone, as much as the telephone, the automotive, the PC and other legendary inventions have done the iPhone certainly changed the world when it was released in 2007, apple is only other handheld device at the time in 2007 was the iPod. Hey, do you remember those barely do the dominant smartphone device manufacturers in 2006, the year before the iPhone release were Nokia research in motion, which is of course accompany company behind Blackberry and Motorola and Palm. Do you remember that? Do you remember the Palm pilot, all of the major products looked largely the same, you know, got your screen on top and physical buttons on the bottom, the iPhone moved it all to a touchscreen, setting the standard for the industry for years to come. And the iPhone had plenty of skeptics. Then Microsoft CEO, Steve Ballmer told USA today in April, 2007, quote, there’s no chance that the iPhone is going to get any significant market share in quote, Jim bacilli, co CEO of research in motion. Again, the folks behind Blackberry said at the time in 2007, he told the wall street journal quote it’s okay, we’ll be fine. And of course the iPhone, which would sell 6 million in its first year would turn the smartphone industry on its head. And it would change apple forever as well becoming essentially its flagship product
Speaker 4 (18:51):
Around the all right,
Scott Luton (18:54):
That just about wraps up this edition of this week in business history. Big thanks to you. Our listener for tuning into the show each week on behalf of our entire team here at this week in business history and at supply chain. Now this is Scott Luton wishing all of our listeners, nothing but the best. Hey, do good give forward and be the change that’s needed. And on that note, we’ll see you next time right here on this week in business history. Thanks everybody.
