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The Democratic Challenge to Capitalism
Management and Democracy in the Nordic Countries
Editors: Haldor Byrkjeflot, Sissel Myklebust, Christine Myrvang and Francis Sejersted
FAGBOKFORLAGET Contents
Preface The Democratic Challenge to Capitalism 9 Industrialisation and Democratisation 10 National Models of Leadership and Authority 13 Politics of Organisation and Models of Management 15
Part I Industrialisation and Democratisation in the Nordic Countries 17
Chapter I Haldor Byrkjeflot The Nordic Model of Democracy and Management 19 Introduction 19 Democracy, Management and Ownership 20 The Return of Markets; a Threat to the Nordic Model? 22 The Middle Classes and Democracy 25 The Decline of the Nordic Third Way 26 "People's Enlightenment" 29 Scandinavian Management 31 The Rise and Fall of the Nordic Model 33 The Nordic Model of Democracy 34 Political and Organisational Democracy 34 Norden as Industrial Democracy 37 Norden as Welfare Democracy 39 Variations among the Nordic Nation-states 39 From "Functional Socialism" to Shareholder Value 42 Literature 45
Chapter 2 Bo Strath Nordic Capitalism and Democratisation 51 Points of Departure 51 Swedish Large-Scale Employers' Response to Claims for Democracy 52 Contents
The Autocratic Approach in Finland 61 Norway: Nation Building from Below and Democratic Capitalism 68 Small-Scale Bourgeois Capitalism in Denmark 75 Conclusions 81 Literature 84
Chapter 3 Francis Sejersted Capitalism and Democracy: A Comparison between Norway and Sweden 87 Democratic Capitalism 87 Liberal Harmony in the Nineteenth Century 90 Norway and Sweden going their Separate Ways 92 Setting up a Solidarity Game 97 Corporate Moves in the Wake of the War 102 To what Extent Should the State be Entitled to Regulate Capitalism? 103 Two Political-Ideological Counterattacks 106 Worker Participation and the Issue of Efficiency 107 Who Should Control the Capital? 109 The Fall of the Scandinavian Model? Ill The End of Democratic Capitalism? 115 Literature 117
Chapter 4 Marianne Rostgaard Industrial Management and the Democratisation of Danish Society 1880-1920 121 Industry and Industrial Growth in Denmark 1880-1920 123 The Democratisation Process in Denmark 1848-1915 125 Management Ideals and Practice in Danish Industry 1880-1900 129 Industrial Parliamentarism and the Change of Political System in 1901 135 The Organisation of the Labour Market 136 The Organisation of Industry 140 The End of Paternalism 144 Concluding Remarks 146 References 148 Literature 149 Contents
Chapter 5 Christine Myrvang West of Eden - Norwegian Industry in the Shadow of Swedish Grandeur 1914 to 1940 151 Introduction 151 Norway Changing Face 151 Bourgeois Economic Planners 153 The Heads of Industry as National Agents of Modernisation 155 The Alliance with the Consumers 157 The Struggle against the Commercial Bourgeoisie 159 Consumer Power Rather than Government Power 161 Trusts - the Problem or the Solution? 163 Swedish Rationalisation Assistance 166 Standardisation 168 The Alliance with Science 170 Conclusion 173 Literature 175
Part 2 National Models of Leadership and Authority 179
Chapter 6 Susanna Fellman Academic Patriots or Individualistic Entrepreneurs? - Finnish Management in a Nordic Perspective 181 Introduction 181 A Nordic Fellow or a Lone Stranger? 182 The Change in Managerial Profile 183 The Finnish Managerial Profile in a Nordic Perspective 189 Paternalism and Taylorism - Management in Finnish Industry 195 Discussion 199 Literature 202
Chapter 7 Peer Hull Kristensen and Peter Kjaer The Craft Origins of Modern Management: 207 Introduction 207 On Management History 209 On Americanisation 212 Contents
The Traditional Danish Authority System 216 The Modernisation of the Danish Authority System 1860-1900 219 Management Practices, "Factory Regimes" and the Effects of Americanisation 222 Marginal Groups, Engineers and the Authority System 228 Conclusion 231 Literature 232
Chapter 8 Lars Berggren Management Strategies among Industrial Leaders in Southern Sweden 1850-1930 237 Introduction 237 The Paternalistic Leader 240 Industrial Leadership and the Local Community 244 Industrial Leadership and the Labour Market 246 Scientific Management and Welfare 249 The Case of the Sugar Company and the State 252 Conclusion 255 References 257
Part 3 Politics and Models of Organisation and Management 263
Chapter 9 Niklas Stenlas The Rise of Political Activism in Scandinavian Big Business 1900-1950 265 Big Business and the Challenge of Democracy 265 The Inner Circle Phenomenon 268 The Response of the Scandinavian Business Elites to the Rise of Democracy . .270 The War Experience and its Institutional Legacy 275 Post-War Business Political Offensive in Sweden 277 Libertas and the Exposure of Political Activism in Norwegian Business 279 Direct Opinion Moulding Strategies 281 Post-War Business Political Activism in Denmark 282 Intra-Scandinavian Networks of Business Political Activism 283 Inner Circles of Scandinavia and the Democratic Challenge 285 Literature 288 Contents
Chapter 10 Lars Engwall Farewell to Economic Man! 291 Introduction 291 Scandinavian Frames of Reference 292 The Development of the Frames of Reference 299 Conclusions 309 Literature 311
Chapter I I Peter Kjaer In the Name of Productivity: The Institutionalisation of Productivity Policy in Denmark 1945-1960 317 Introduction 317 Understanding the Productivity Movement 318 The Problem of Rationalisation 320 The Development of a Productivity Policy 324 The Institutionalisation of Productivity 330 The Consensual Field of Productivity Policy 334 Final Remarks 336 Literature 336 Interviews 340
Chapter 12 Sissel Myklebust The Politics of Organisation and Management 341 Nordic Industrial Management as a Research Field 341 Authority - from a Vertical to a Horizontal Perspective 346 Economics and Politics 348 Capitalism versus Industrialism 352 Development Theory and Nordic Industrialisation 355 The Historical Role of the Bourgeoisie 359 Organisation and Management as Politics 362 Literature 366
About the Authors 369 Index 371