You’ve Probably Never Heard of the Best Company in America: Cummins Inc. (CMI)

Even Cummins’ diesel engines are among the world’s cleanest. Cummins’ clean diesel technology advantage was demonstrated powerfully in 2012, when integrated truckmaker Navistar International Corp (NYSE:NAV)‘s own engines were found to be non-compliant with EPA standards. As a maker of both truck bodies and engines, Navistar had historically been a competitor to Cummins. When the EPA doubled its fines on the non-compliant engines, Navistar was forced to buy engines and component technology from Cummins in order to continue operations, transforming from major competitor to major customer at a stroke.

To prepare for what it sees as a bright future worldwide, Cummins has been investing in its workforce by launching the Technical Education for Communities program, a charitable endeavor that provides youths in economically disadvantaged areas the skills and experience needed to gain good jobs in manufacturing industries like Cummins. The program launched in poor communities in China, India, and Morocco, with more planned in other Cummins communities.

The Foolish bottom line
Over the long term, Cummins stakeholders have been richly rewarded, and as stricter environmental protections are passed worldwide, the future is bright for the company. Cummins is a powerful demonstration that when a company focuses on the good of all stakeholders, financial performance is helped, not hindered.

Daniel Ferry owns shares of Westport Innovations. Motley Fool newsletter services have recommended buying shares of Cummins and Westport Innovations.

The article You’ve Probably Never Heard of the Best Company in America originally appeared on Fool.com.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.