Charles J. Pilliod Jr.

Charles J. Pilliod Jr.

right, on Air Force One in 1988
United States Ambassador to Mexico
In office
November 4, 1986 – April 7, 1989
President Ronald Reagan
Preceded by John Gavin
Succeeded by John D. Negroponte
Personal details
Born (1918-10-20)October 20, 1918
Cuyahoga Falls, Ohio, U.S.
Died April 18, 2016(2016-04-18) (aged 97)
Spouse(s) Nancy J. Conley
Alma mater Muskingum College;
Kent State University
Occupation Diplomat, Executive

Charles J. Pilliod Jr. (October 20, 1918 – April 18, 2016) was an American business executive and diplomat. He was ambassador to Mexico from 1986 to 1989.[1][2]

Biography

Pilliod served in World War II from 1942 to 1945 as a pilot in the 20th Air Force.[3] He flew the Boeing B-29 Superfortress over China and Japan.[4]

Pilliod was the CEO of the Goodyear tire company from 1974 to 1983.[5] Pillion began his career at Goodyear in 1941 as a trainee, where he worked double shifts and enrolled in management training courses. His first promotion came within a year, when he was chosen to supervise production of fuel tanks for military aircraft.[6] He eventually moved to export sales, living in Panama, Peru, Colombia, Brazil, and England.[4]

When Pilliod became CEO in 1974, he faced a major investment decision regarding the radial tire, which today has a market share of near 100%.[7] As a result of his actions, today only Goodyear, of the five biggest U.S. tire firms, remains independent.[8]

At the time, the U.S. tire industry built tires based on bias ply technology, dating to 1888. In 1946, Michelin developed the radial tire method of construction, which quickly spread in France, Michelin's home country. Because of its superiority in treadlife, handling, safety from blowouts, and fuel economy, use of this technology quickly spread throughout Europe and Asia.[7] In the U.S., the bias-ply tire construction persisted, caused by tire and automobile manufacturers in America "concerned about transition costs."[7][9] In 1968, Consumer Reports, an influential American magazine, acknowledged the superiority of radial construction, and in 1971 the Lincoln Continental Mark III became the first American made car with standard OEM radial tires.[10]

Radial tires required different methods of construction, and the U.S. manufacturers were not set up to produce this product.[11] Industry estimates of this investment were substantial, and Goodyear eventually invested close to $3 Billion in this new technology.[12] For comparison, Michelin bought competitor Uniroyal-Goodrich in 1989 for just $1.5 Billion.[13] The workforce also needed to be retrained, since radials required greater "accuracy and consistency" in construction.[14] Despite heavy criticism at the time, Pilliod invested heavily in new factories and tooling to build the radial tire.[4]

Sam Gibara, who headed Goodyear from 1996 to 2003, has noted that without the bold action of Pilliod, Goodyear "wouldn't be around today." [4]

When Pilliod was appointed Ambassador in 1986, the U.S. and Mexico were experiencing tensions over the illegal drug trade. He favored behind the scenes discussions with Mexican authorities about the issue. He wished to improve relations, "and you won't do that by bashing" he said in 1987.[4]

References

  1. ↑ "Charles Pilliod, Cuyahoga Falls native who became U.S. ambassador and Goodyear CEO, chairman, dies at age 97". Ohio.com. Retrieved 26 June 2016.
  2. ↑ "The Horatio Alger Association of Distinguished Americans: Charles J Pillord Jr". Archived from the original on 27 September 2007. Retrieved 15 January 2011.
  3. ↑ "Council of America Ambassadors Members Charles J.Pillord Jr". Archived from the original on 11 December 2010. Retrieved 15 January 2011.
  4. 1 2 3 4 5 "Charles Pilliod Kept Goodyear Out of Rivals' Hands: 1918-2016 World War II bomber pilot led tire maker when it was besieged by Japanese and European competitors". Wall Street Journal. 1 May 2016. p. A6. Retrieved 27 June 2016.
  5. ↑ "Council of America Ambassadors Members Charles J.Pillord Jr". Archived from the original on 11 December 2010. Retrieved 15 January 2011.
  6. ↑ "Charles J. Pilliod Hall of Fame Inductees". Retrieved 27 June 2016.
  7. 1 2 3 http://www.jags.org/TechInfo/2001/05May01/tires/historyoftires.htm
  8. ↑ Sull, Donal (27 November 2000). "The Dynamics of Standing Still: Firestone Tire & Rubber and the Radial Revolution". Harvard Business School. Retrieved 27 June 2016.
  9. ↑ http://www.michelinag.com/Innovating/Radial-vs.-Bias-technology
  10. ↑ Vaughan, Daniel Conceptcarz.com 1969 Lincoln Continental news, pictures, specifications, and information September 2008 Retrieved July 26, 2015
  11. ↑ "A Tale of Two Tires". Bloomberg.
  12. ↑ Ajami, Riad; Cool, Karel; Goddard, Jason. "International Business Theory and Practice 2nd Edition". Page 408. Case Study #1. 15 November 2006. ISBN 978-0765617804
  13. ↑ JONATHAN P. HICKS (23 September 1989). "Michelin to Acquire Uniroyal Goodrich". New York Times. Retrieved 12 August 2016.
  14. ↑ Tedlow, Richard. "Denial: Why Business Leaders Fail to Look Facts in the Face---and What to Do About It". Chapter 3. Portfolio Hardcover. 4 March 2010. ISBN 1591843138
Diplomatic posts
Preceded by
John Gavin		 U.S. Ambassador to Mexico
1986 – 1989 		Succeeded by
John Negroponte

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