From independence to 1860, the . grew and developed industry. This period was critical to development of the modern enterprise. Railroads and the telegraph allowed firms to grow for economies of scale and scope. Managers were required for large, complex organizations. Quality of life for people was improving. | THE EVOLUTION OF MANAGEMENT THOUGHT, 6TH EDITION Electronic Resource by: Regina Greenwood and Julia Teahen The Industrial Revolution in the United States Chapter Five The USA Economy before 1861 British mercantilism kept the . as a colony which delayed economic development. Great Britain prohibited the sale of manufacturing equipment and emigration of skilled labor to . Adam Smith influenced writing of the . Constitution and economic system. Earliest factories were textile mills Commonwealth vs. Hunt 1842 American System of Manufactures – manufacture by interchangeable parts Railroads Early Industrial Development– Textile Mills Largest industry at the time was textile. Even though the textile industry was the largest business, factories were still small. “Photo” on the left depicts an early textile mill. Textile Mills Samuel Slater – “Rhode Island System” Very similar to practice and personnel policies existing in Great Britain First to use steam-driven power looms Relied on sole proprietorship or partnership form of ownership initially. Relied on family for labor – with growth had to hire professional managers. Vertically integrated operations forward and backward. Samuel Slater Textile Mill at Pawtucket, Rhode Island Mill – present day reconstruction Depiction of Mill Textile Mills Francis Lowell – “Waltham System” Used water-power looms. Hired non-family supervisors & managers with corporate model. Used integrated spinning and weaving to manufacture goods in large quantities. Relied on adult female labor. Praised by Charles Dickens for better treatment of employees. Resources from Waltham, MA Charles River Museum of Industry and Innovation The Waltham Museum Inc. Waltham Public Library The National Archives, Northeast Region, Boston Commonwealth v. Hunt (1842) Worker combinations (unions) were no longer illegal unless their intent was criminal. Seeking a closed shop and striking were no longer illegal. Only applied to . | THE EVOLUTION OF MANAGEMENT THOUGHT, 6TH EDITION Electronic Resource by: Regina Greenwood and Julia Teahen The Industrial Revolution in the United States Chapter Five The USA Economy before 1861 British mercantilism kept the . as a colony which delayed economic development. Great Britain prohibited the sale of manufacturing equipment and emigration of skilled labor to . Adam Smith influenced writing of the . Constitution and economic system. Earliest factories were textile mills Commonwealth vs. Hunt 1842 American System of Manufactures – manufacture by interchangeable parts Railroads Early Industrial Development– Textile Mills Largest industry at the time was textile. Even though the textile industry was the largest business, factories were still small. “Photo” on the left depicts an early textile mill. Textile Mills Samuel Slater – “Rhode Island System” Very similar to practice and personnel policies existing in Great Britain First to use steam-driven power
