Turning around Chevy
Within a couple of months, Knudsen was general manager for a manufacturer of brass stove trimmings and auto parts. After 10 months there, he went to General Motors at $30,000 a year. He got a $20,000 raise three weeks later and started running Chevrolet's operations for GM President Pierre DuPont. Chevy had lost $8,692,142 in 1921. Consultants had recommended that the division be closed.
The first order of business was to improve Chevy's basic model while squelching Charles Kettering's proposed air-cooled engine, which Knudsen saw as a big mistake. Knudsen reckoned that at least $7 million had been sunk into that project, but he persuaded Alfred Sloan to write it off.
In 1922 the division made a profit of $11.3 million.
A common theme of Knudsen's speeches in the 1930s was that every young man should learn the mechanic's trade.
Knudsen liked to wear his hat at his desk. He kept his office walls bare because pictures seemed frilly. He kept an oak tub filled with bottled water on ice, and there were cigars near his telephones and cigarettes inside his desk.
As a youth in Denmark he had played some violin and piano, and that kindled a lifelong love of music. In 1940, when he was 61 and overseeing the U.S. war production effort from Washington, The New Yorker described him as being 6 feet 3 inches tall and 230 pounds. When one of his daughters came to town, the magazine said, he would take her dancing and could hoof it for hours without puffing.
Press reports described him as gentle, kindly and soft-spoken, although one reporter wrote, "He can roar at need." He spoke in "plain but vivid factory lingo," said The New Yorker.
The King of Denmark knighted him. His daughters teasingly called him "Sir William."
Knudsen was a strict father to his three daughters. He sent them off to Swiss boarding schools. But his son, Bunkie Knudsen, who would lead Chevrolet in the early 1960s, graduated from a Detroit private school. He went away to college during the late years of Prohibition. Fearing his only son would swill rotgut whiskey or bathtub gin, Big Bill sent quantities of good liquor his way.
Big Bill Knudsen's career earned him the moniker "Genius of Production," and he pushed Chevrolet in pursuit of industry leader Ford.
'Vun for vun'
In his accented English, Knudsen famously told a 1924 meeting of 2,000 dealers that Chevy's sales should match Ford's: "Ay vant vun for vun."
In 1929 Knudsen introduced Chevy's "six for the price of a four," making an astoundingly quick model changeover to a new model with a bigger engine. Pontiac was added to his portfolio before he became executive vice president of the corporation in 1933.
The presidency followed in 1937 after he helped settle the sit-down strike that year.
World War II led Knudsen down an unexpected path. President Franklin D. Roosevelt summoned him to the capital in 1940 to be co-director of the Office of Production Management. As a "dollar-a-year man" paying his own living expenses, Knudsen visited 350 plants and flew 250,000 miles.
Political scuffling cost him the Office of Production Management post but gained him a U.S. Army commission. He returned to Detroit as Lt. Gen. Knudsen.
When he died of a cerebral hemorrhage on April 27, 1948, one obituary extolled Knudsen as a "war casualty."