Caitlin Rosenthal

Historian Caitlin Rosenthal stumbled upon connections between organization methods used by slave owners and modern management methods.  Recently, Rosenthal helped defend the historians of the “new history of capitalism” against criticisms that these historians have not defined ‘capitalism,’ thereby causing ambiguities and cross-overs with other fields of history.

Three years ago, Forbes magazine interviewed Rosenthal about connections between slave management and modern management practices.  Below, is a reposts of that interview:

The Messy Link Between Slave Owners And Modern Management

BY KATIE JOHNSTON

Caitlin C. Rosenthal didn’t intend to write a book about slavery. She set out to tackle something much more mundane: the history of business practices. But when she started researching account books from the mid-1800s, a period of major economic development during the rise of industrialization in the United States, Rosenthal stumbled across an unexpected source of innovation.

Rosenthal, a Harvard-Newcomen Fellow in business history at Harvard Business School, found that southern plantation owners kept complex and meticulous records, measuring the productivity of their slaves and carefully monitoring their profits—often using even more sophisticated methods than manufacturers in the North. Several of the slave owners’ practices, such as incentivizing workers (in this case, to get them to pick more cotton) and depreciating their worth through the years, are widely used in business management today.

As fascinating as her findings were, Rosenthal had some misgivings about their implications. She didn’t want to be perceived as saying something positive about slavery. On the contrary, she sees her research as a critique of capitalism—one that could broaden the understanding of today’s business practices.

The work is part of her current book project, “From Slavery to Scientific Management: Capitalism and Control in America, 1754-1911,” and the forthcoming edited collection Slavery’s Capitalism.

The evolution of modern management is usually associated with good old-fashioned intelligence and ingenuity—”a glorious parade of inventions that goes from textile looms to the computer,” Rosenthal says. But in reality, it’s much messier than that. Capitalism is not just about the free market; it was also built on the backs of slaves who were literally the opposite of free.

Leading research and ideas from Harvard Business School faculty.

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