Gisholt Machine Company
Gisholt Machine Company was located near the Fuller and Johnson Company in Madison, but at the time they were separate businesses. Johnson did not spare money in securing tools and equipment for producing high-quality machines. Much like the Fuller and Johnson Company, he made the decision to have Gisholt exhibit for the Columbian Exposition held in Chicago in 1893. His son, Hobart S. Johnson was placed in charge of the Gisholt display. This exhibit paid off. The American Machinist magazine produced in the summer of 1893 had the Gisholt display in prominent display. They won a bronze medal and the exposure in a leading trade magazine increased their audience.
Turret Lathe
The first order for the turret lathe came from the representative of Ernest Kirchner and Company, Leipzig, Germany. A contract was signed between Ernest Kirchner to sell Gisholt lathes through his agencies in Europe. The machines shipped to Germany in 1894 were the work of his sons, Carl and Hobart, who were trained in mechanical engineering at the University of Wisconsin-Madison. Johnson’s sons weren’t granted favors just because he was their father, he had them learn the business from the bottom up first.By the 1890s, Conradson lost interest in lathes and began experimenting with motors. Johnson agreed to let him do experiments on motors. However, the relationship between Conradson and Johnson started deteriorating over time. Conradson wasn’t a good businessman nor a good superintendent. Conradson was starting to dedicate all of the Gisholt funds, his time, salary, and staff time to the development of the motor, even though the turret was the lifeblood of the company. The staff was split into two sections – one for the manufacturing of turret lathes and the other for Conradson’s personal projects. This caused operations at Gisholt to be impacted: manufacturing slowed, standards were not maintained, and deliveries were at times a month late.
Issues arose when Conradson was to send a new machine to Europe and suggested he go to set it up. However, when the machine was in transit he refused to go. Carl Johnson went instead to set up the machine, but with standards not being maintained, the machine didn’t work and the order was canceled. This was a momentous failure for Gisholt. Johnson decided that he would close up the shop unless conditions improved. At this time Conradson expressed his desire to sever his connection with the business. The Johnson family would be the sole owner and assume full managerial responsibility. Conradson would be freed from his original agreement to share profits and losses equally and transfer the patents he obtained before January 1, 1895, to Johnson. Conradson agreed to a non-compete clause to not enter the manufacture of turret lathes or tool grinders in the United States for three years. Conradson believed that the company would only last six months without him. However, his prediction was incorrect.
The Company Reorganizes
After Conradson left, the company reorganized. Frederik Johnson became secretary, Carl A. Johnson became VP and general manager, and Hobart was treasurer and superintendent. Despite the internal problems, the company staked its recovery on a campaign to expand sales in the United States and Europe. Eventually, offices opened in Europe, including Berlin, Germany, where Frederik and his family lived for many years. This campaign paid off – they saw a big spike in growth that ended up leaving them cramped for space at their factory. In 1899, with this desperate need to expand, a modern factory was built on East Washington in Madison near the Fuller and Johnson Company.The new factory was state-of-the art where machinery was entirely operated by electricity. Gisholt knew working for the company wasn’t easy since staff worked ten-hour days Monday through Sunday. They understood the work was hard, so they built a building to provide facilities for comfort and convenience. They created lavatories with hot and cold running water that included an individual locker with a key. There was a room where they could eat their lunch and relax, but the most unique feature was a library. This library later turned into a traveling library. Over the years there were baseball clubs, picnics, and the development of the Gisholt Home for the Aged.
After John's Tenure
After Johnson’s death in 1901, the company passed to his sons. For the six decades following his death, sons and grandsons served as chief executive of Gisholt. In World War I, Gisholt became a major supplier of machine tools to the Allies. The outbreak of World War II signaled another period of increase in Gisholt machines. Today, the buildings that Gisholt Machine Company occupied stand as a reminder of the impact of the company on the city of Madison and are visible today.This page has paths:
- Introduction Kristina Warner