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Philosophy of Management

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Class Summary:
Session 3: Philosophy of Management
Priyesh V P
Instructor: Prof: Surya Prakash Pati

Abstract This document summarizes the proceedings in Session 3 of Philosophy of Management conducted by doctoral scholars at Indian Institute of Management Kozhikode, under the guidance of Prof. Surya Prakash Pati
Industrial Revolution The session started with the presentation of Mr.Vishnu Bargava Jhanga and Mrs Rinki Srivasthava on the subject of Industrial revolution. The session explained industrial revolution and its contribution to management thoughts. Industrial was indeed a path breaking event in the history of management thought. Salient characteristics of industrial revolution were clearly presented in the session. The industrial revolution in Britain can be traced back to the invention of metallic movable printing press, (1400-1468) by Johannes Gutenberg. The essence of the revolution was the substitution of machine power for human, animal, wind, water, and other natural sources of power. Britain marked the beginning of advancement in technology and applied sciences. Industrial societies were characterized by Low per capita income, economic stagnation, dependence on agriculture, specialized labour and wide spread geographical integration of markets differentiated the Industrialized nations from the Pre-Industrial nations before the revolution began. Great Britain’s largest industry of those times was textiles. Mechanical improvements in the textile industry preceded the industrial revolution. John Kay’s introduction of spinning shuttle was another milestone. In 1769 Richard Arkwright developed a water frame that stretched the cotton fibres into a tighter and a harder yarn. Despite all mechanical improvements, the heart of industrial revolution was really the steam engine. James Watt didn’t actually invent the steam engine, he made the first fully functional and reliable one. The derivation of the word horsepower (HP) for mechanical engines was the outcome of Watt’s invention of steam engine. And Steam power is still used to help run nuclear power plants. James Watt improved the steam engine in the second half of the 18th century, and it also started the industrial revolution (1781). There wear no dearth for criticism on industrial revolution. Adam Smith and James Watt were most responsible for destroying the old Britain” said Arnold Toynbee. Later entrepreneur emerged as the fourth factor of production as entrepreneur became the manager for others and assumed an additional risk in combining the factors land, labor and capital. As the organization grew, it took an increasing number of lower-level managers. Thereby industrial revolution demanded lot of man power. The emerging factory system posed management problems which the world has never witnessed before. Mangers were handicapped in terms of the organizational strength which other institutes like Church, military, Government were having. Employing labour was another problem. Broadly conceived, labour problem had three aspects, recruitment, training and motivation. Existing labour work force were unskilled as well as agrarian workers. Monotonous job, regularization of hours and constant demand of attention to their work were pushed the problem further. The cultural consequences of Industrial Revolution were explained and its impact on poverty and child labour triggered further discussion of its merits.

Daniel A. Wren and Arthur G. Bedeian, The Evolution of Management Thought, 6ed

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