Donaldson Brown
Encyclopedia
Frank Donaldson Brown was a financial executive and corporate director with both DuPont
and General Motors Corporation. He graduated from Virginia Tech in 1902 with a Bachelor of Science degree in Electrical Engineering. He did graduate studies in engineering at Cornell University
and joined DuPont in 1909 as an explosives salesman.
In 1912 he came to the attention of DuPont treasurer John J. Raskob
, who brought him into the financial activity and encouraged him to use uniform accounting procedures and statistical formulas to evaluate the company's diverse business interests.
In 1918 he assisted in arranging DuPont's purchase of a substantial stake in General Motors from previous chairman William C. Durant
, and later that year became treasurer of DuPont replacing Raskob. In 1921 he became treasurer of GM to help protect DuPont's investment in the struggling auto maker, and in 1924 he was appointed to the executive board of GM.
His introduction of standard financial ratios (return on investment and return on equity) and flexible budgeting allowed the company to effectively manage its decentralized empire. During this time he worked closely with legendary GM head Alfred P. Sloan
. He served as vice chairman of the board from 1937 to 1946.
Brown retired as an active executive with GM in 1946, but remained on the board until 1959 when he and 3 other directors had to resign due to interlocking directorships with DuPont
.
DuPont
E. I. du Pont de Nemours and Company , commonly referred to as DuPont, is an American chemical company that was founded in July 1802 as a gunpowder mill by Eleuthère Irénée du Pont. DuPont was the world's third largest chemical company based on market capitalization and ninth based on revenue in 2009...
and General Motors Corporation. He graduated from Virginia Tech in 1902 with a Bachelor of Science degree in Electrical Engineering. He did graduate studies in engineering at Cornell University
Cornell University
Cornell University is an Ivy League university located in Ithaca, New York, United States. It is a private land-grant university, receiving annual funding from the State of New York for certain educational missions...
and joined DuPont in 1909 as an explosives salesman.
In 1912 he came to the attention of DuPont treasurer John J. Raskob
John J. Raskob
John Jakob Raskob, KCSG was a financial executive and businessman for DuPont and General Motors, and the builder of the Empire State Building. He was chairman of the Democratic National Committee from 1928 to 1932 and a key supporter of Alfred E. Smith's candidacy for President of the United...
, who brought him into the financial activity and encouraged him to use uniform accounting procedures and statistical formulas to evaluate the company's diverse business interests.
In 1918 he assisted in arranging DuPont's purchase of a substantial stake in General Motors from previous chairman William C. Durant
William C. Durant
William Crapo "Billy" Durant was a leading pioneer of the United States automobile industry, the founder of General Motors and Chevrolet who created the system of multi-brand holding companies with different lines of cars....
, and later that year became treasurer of DuPont replacing Raskob. In 1921 he became treasurer of GM to help protect DuPont's investment in the struggling auto maker, and in 1924 he was appointed to the executive board of GM.
His introduction of standard financial ratios (return on investment and return on equity) and flexible budgeting allowed the company to effectively manage its decentralized empire. During this time he worked closely with legendary GM head Alfred P. Sloan
Alfred P. Sloan
Alfred Pritchard Sloan, Jr. was an American business executive in the automotive industry. He was a long-time president, chairman, and CEO of General Motors Corporation...
. He served as vice chairman of the board from 1937 to 1946.
Brown retired as an active executive with GM in 1946, but remained on the board until 1959 when he and 3 other directors had to resign due to interlocking directorships with DuPont
DuPont
E. I. du Pont de Nemours and Company , commonly referred to as DuPont, is an American chemical company that was founded in July 1802 as a gunpowder mill by Eleuthère Irénée du Pont. DuPont was the world's third largest chemical company based on market capitalization and ninth based on revenue in 2009...
.