Co-evolution of Information Processing Technology and Use: Interaction Between the Life Insurance and Tabulating Industries Jo Anne Yates WP#3575-93 Revised October 1993 Co-evolution of Information Processing Technology and Use: Interaction between the Life Insurance and Tabulating Industries JoAnne Yates Sloan School of Management MIT E52-545 50 Memorial Drive Cambridge, MA 02139 (617) 253-7157
[email protected] Sloan School Working Paper #3575-93 Center for Coordination Science Working Paper #145 October 1993 Accepted for publication in Business History Review ACKNOWLEDGMENTS I am very grateful to Martin Campbell-Kelly, Alfred D. Chandler, Jr., Glenn Porter, Philip Scranton, Eric von Hippel and two anonymous reviewers of the Business History Review for comments on earlier versions of this paper. I appreciate the able assistance of Daniel May and the library staff at the Metropolitan Life Archives, and of Michael Nash, Margery McNinch, and the staff of the Hagley Museum and Library. This research has been generously supported by the Center for Coordination Science, by the MIT Sloan School of Management, and by the Hagley Museum and Library. Co-evolution of Information Processing Technology and Use: Interaction between the Life Insurance and Tabulating Industries In 1890, at the invitation of inventor Herman Hollerith, 25 members of the Actuarial Society of America attended a demonstration of a new type of information-handling equipment: the punched-card tabulator. According to a news account of the meeting, the life insurance actuaries attended because "Any labor-saving device that can be used in the preparation of tabular statements is of interest to actuaries." l Their interest was justified by the magnitude of the information- handling tasks faced by their life insurance firms.