ABSTRACT

This chapter examines how intra-firm governance operated in British manufacturing companies during the second half of the twentieth century. It describes how senior managers interacted, together and with subordinates, and helps to understand the rules and conventions that governed these relationships. By contrast, debate about authority and decision-making within companies remains far less developed. Debate about intra-firm governance has a long history in Britain, but there is no doubt that events during and after the Second World War gave the subject an enhanced salience. In addition to seniority, managers also increasingly categorised and judged themselves on the basis of function. Raw materials and semi-finished products would enter the system and then progress spasmodically, leaving machines and personnel underemployed. The cumulative impact of these various weaknesses could be observed, at the end of the manufacturing process, in the relationship with customers. Students in the rapidly expanding business studies field quickly adjusted their preferences to the changing economic realities.