Management During the Second Industrial Revolution: American Gods and Scientific Management

From the end of the nineteenth to the mid-twentieth century, new industries, new industrial processes and a revolution in ideas about how to deliver them came about through technological developments—the internal combustion engine, the widespread deployment of electricity and innovation in communications—focused on the United States, which became the world’s dominant economic power—a Second Industrial Revolution. The use of pure science by engineers in industries from bridge building to shipbuilding, applied science in business methods such as accounting and management and an increase in competition with more companies in ever-widening markets came together to bring about a reshaping of the world economic order. Scientific management, guided by F.W. Taylor and implemented in the factories of Henry Ford, transformed how organisations operated, and most importantly how managers managed. New competences in new types of organisation design were needed and American managers adopted these to optimal effect. But, as the ‘American Century’ evolved, so did the approach to management. New, more human-centric forms appeared, as human relations became a growing part of the manager’s responsibility. Change management and continuous improvement in this environment relied not only on technology integration, but also on integration of people systems and processes. American managers proved to be extremely capable in both areas.