Alfred Chandler

Document Sample
Alfred Chandler Powered By Docstoc
					Alfred Chandler




   1918-Present
Who On Earth Is This Guy?

              Educator
              Author
              Historian
           Family History
 Father - Alfred DuPont Chandler
 Mother - Carol Ramsay
 Born 1918 - Guyencourt, Delaware
 1944 - Married Fay Martin
 Had Four Children
              Education
 1940 - Graduated from Harvard College
 1940-1945 - Navy - Lt. Commander
 1947 - Masters from Harvard
 1952 - Ph.D. Harvard
 Bunch of Honorary Degrees
                Educator
   1950-1951   Research Associate, MIT
   1951-1964   Instructor - Professor, MIT
   1963-1971   Professor, Johns Hopkins
   1966-1970   Dept. Chair, Johns Hopkins
   1964-1971   Director, Center for Study of
                Recent American History
 1971-1989     Straus Professor of Business
                History, Harvard
 1989-         Emeritus
                       Author
   1956, Henry Varnum Poor
   1962, Strategy and Structure (Newcomen Award, 1964)
   1965, The Railroads
   1971, Pierre S. duPont (with Stephen Salsbury)
   1978, The Visible Hand (Pulitzer & Bancroft Prizes)
   1980, Managerial Hierarchies (with Richard Tedlow)
   1985, The Coming of Managerial Capitalism
   1988, The Essential Alfred Chandler
                     Historian
   Economic History Association (President 1971-1972)
   Organization for American Historians
   Society for the History of Technology
   Historical Association
   American Antiquarian Society
   American Historians
   Massachusetts Historical Society
   American Academy of Arts and Sciences
   American Philosophical Society
His Basis
      Business Week
      Historical Perspective
       Strategy and Structure
 “Structure in big business enterprises
  follows strategy”
 What is Strategy?
 What Drives Changes in Strategy?
 Multi-Purpose Divisional Structure
 Role of Business Leaders
 Key Impact on Large Industry
Perspective
The Visible Hand
         Adam Smith
         Business: Two Phases
         Modern Business Is
The Visible Hand
         Fundamental Changes
          – Production
          – Distribution
          – Markets
         Integration
         Human Aspect
The Visible Hand - Progression
                  Ownership
  Founders
                  (Diffused)

  Middle             Top
 Managers           Mgmt.

                   Middle
                  Managers
     Business Development
 Second Industrial Revolution
 Old Industries Transformed
 New Industries Developed
 Economic Growth and Development
 International Expansion
 Capital-Intensive Markets
   Organizational Capabilities
 First Movers
 Market Share Changes - Non-Econ!
 Theories of the Firm
  – Neoclassical Theory
  – Principal-agent Theory
  – Transactions Cost Theory
  – Evolutionary Theory
   Organizational Capabilities
 International Competition
  – Held Back by World Events
  – Reality in 1960‟s
 Core Competence
  – Diversification
  – Divestiture
              Profit Growth
 Short-Term
 Long-Term
  – Geographic
  – Product
                    Criticisms
 Strategy and Structure
   – Tom Peters
   – Mintzberg
 The Visible Hand
   – Nothing noted about newer techniques
   – Nothing said of behavior sciences
   – Importance of the human element
   – Failure to provide evidence
   – Evaluation of social costs and benefits
                    Summary
 Historian
 Studied Large Industrial Business History
 Conclusions:
   – Structure Follows Strategy
   – Decentralized, Multi-Purpose Divisional Structure is
     Optimum
   – The „Visible Hand‟ of Management has Taken the
     Place of Adam Smith‟s „Invisible Hand‟ of Market
     Forces (Market Economy vs. Managerial Capitalism)
   – Management has not basically changed since WWI
                  Summary
 Conclusions:
  – Market Share Driven by Functional and Strategic
    Competition, Not by Price Competition
  – Firms (Physical and Human Assets) Are the Basic
    Unit of Historical Economic Analysis
  – Firms Should Stick to Their Core Competencies
  – Long-Term Profit Growth is Gained from Expansion
    into New Geographic or Product Markets

				
DOCUMENT INFO
Shared By:
Categories:
Tags:
Stats:
views:93
posted:10/1/2011
language:English
pages:20