Industrial Revolution

The critical manufacturing change that marks the Industrial Revolution is the production of interchangeable parts. Lathes and other machine tools of the Industrial Revolution enabled (1) high precision, and (2) the mass reproduction of parts with that precision.

PREREQUISITE OF CLASSICAL MANAGEMENT APPROACH.

Contributions and problems of scientific management theory

Henry L. Gantt, THE Gilbreths

Four principles of scientific management

Prerequisite of classical management approach.

1. Scientific management: its content and main scientists

2. Frederick Taylor’s Scientific Method

The Industrial Revolution was a period from 1750 to 1850 where changes in agriculture, manufacturing, mining, transportation, and technology had a profound effect on the social, economic and cultural conditions of the times. It began in the United Kingdom, then subsequently spread throughout Western Europe, North America, Japan, and eventually the rest of the world. The Industrial Revolution marks a major turning point in history; almost every aspect of daily life was influenced in some way.

The commencement of the Industrial Revolution is closely linked to a small number of innovations, made in the second half of the 18th century:

- Textiles

- Steam power

- Iron making

1.1 A revolution is a profound and radical change in the economic, social, or political structure. It is a process of transformation in the economy, society, and political systems.

While it may appear sudden or spontaneous, the process of revolution actually covers a period of time. Suddeness of change is more associated with coup d’ etat-- the sudden seizure of political power by the military.

1.2 The Industrial Revolution is the process of change from an agrarian, handicraft or feudal economy to one dominated by industry.

1.3 The Industrial Revolution cannot be treated as a definite period of time in history. Although the Industrial Revolution started in England and first spread to Belgium and the France, it cannot be asserted that it is over with the passage of the 18th and 19th centuries. It is still on-going as a process in our time and will continue to go on with Technological Revolution.

It was the result of gradual succession of change over a long period of time. Some of its elements can be traced back from the medieval period.

2.1. England is the birthplace of Industrial Revolution. Why England?

2.2. Because scientific, technological, political, legal economic, social and cultural environment in England was favorable to industrialization:

At the end of 18^th century, continental Europe was for ahead in pure research in the physical and chemical sciences.

However, the English excelled in the application of scientific knowledge to practical affairs, particularly in industries.

Technological revolution accompanied the Industrial Revolution as traditional methods of production -- the domestic handicraft system of manufacturing -- could not provide adequate response to market conditions as primary cause of industrialization. It led to factory-based mechanization.

Political liberty and individual rights were guaranteed. The right to life, liberty and property, the right to due process and freedom from illegal persecution were protected and recognized.

The sanctity of property rights and sanctity of contracts were held in high regard.

A patent law protected the intangible rights of inventors and the creative.

The Agrarian Revolution in England centered on land use which increased production more than what improved technology could do so. The Enclosure Movement of the 18^th century increased the efficiency of farm lands as common pastures and fields were replaced by more compact and easily farmed private holdings.

Farmers were motivated to experiment with new forms of husbandry -- notably root crop rotation and convertibility between cultivated and pasture land -- that increased productivity.

England had the domestic capital or wealth saved and accumulated from land and international trade. Banking and insurance services were available.

Every inventor who needed an entrepreneur with capital and vision to exploit an innovation could easily find such financial backer.

England was richly endowed with coal and iron ore. It had wool. Its colonies had iron, cotton, dyewoods, lumber and naval stores.

It had adequate transport system. Roads and canals were built. Railroads extended transportation network. These in addition to traditional British merchant marine which was the largest in the world at the time.

Social mobility, as a result of economic changes in social relations in the means of production, was common and open. This became an incentive to savings and accumulation of wealth and capital.

The Demographic Revolution -- Britain’s population in the 1700’s doubled again by 1850 -- provided stimulus to increased demand for food. Population growth in developing countries today tends to retard economic development. But Britain in the 18^th century was a wealthy country with a standard of living well above subsistence. Thus the population explosion from 1750 enlarged the effective demand for consumption. Since the population generally had the purchasing power, the population explosion had a beneficial effect on economic development.

* The shippers and traders and most of all the merchants saw the market opportunities. Hence, the increasing demand for improvements in the process of manufacturing or the production of goods.

* The Protestant Ethic, as Max Weber calls them, of hard work, saving, sacrifice (forego today’s comfort for tomorrow’s security), honesty, trust, - values conducive to economic progress - were widely lived up to and practiced outside the confines of churches and even after religious services.

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