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Chapter II: The Use of Machinery in Manufacturing. 193

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The statements made in this discussion that the great expansion in the production of manufactures came with the adoption of machinery for manufacturing must not be understood as meaning that no machinery was used in manufacturing prior to the period of expansion. Machines have been used in manufacturing for many centuries.

The spinning wheel, used many hundred years ago, was a machine, and so was the hand loom, by which the threads spun by the wheel were woven into cloth. Flax and wool were originally turned into thread by the use of the distaff, a stick to which the spinner attached a small portion of the fiber, and by revolving the stick against his body twisted the fibers into a thread. Then by letting the end of the stick drop downward he drew out the thread, and with another roll of the stick against his body again twisted the fibers and lengthened the thread, which he then wound around the distaff. After many years of this process it occurred to somebody that by setting the distaff in a frame and passing a cord or a piece of rawhide around it and also around a large wheel and turning the wheel he could get a much more rapid and regular revolution of the distaff. This was the beginning of the use of the “machine” in the making of yarn, for the spinning wheel was a machine, of a crude type, to be sure, but a machine. This served many generations of men and women for the manufacture of thread and yarn, from flax, from wool and from cotton.

To turn this thread or yarn into cloth another “machine” was used, the loom, which, by fixing the thread on certain frames and passing other threads back and forth as the frames were raised or lowered, formed the cloth. But this “machine,” the loom, was operated by human power, as was that other machine, the spinning wheel. The women and children spun the thread or yarn, the father and sons operated the loom, 194 chiefly in the winter months in which they had no occupation in the fields. If a man chose to give his time to weaving and became a weaver by trade he lightened his heavy labors at times by attention to the garden surrounding his workshop, performing the necessary work for the production of his food supply. “The workshop of the weaver,” says Ure in his History of the Cotton Manufactures, “was a rural cottage from which, when he was tired of the sedentary labor, he could sally forth into his little garden and with the spade or hoe attend to his culinary products. The cotton which was to form his weft was picked clean by the fingers of his younger children and was carded and spun by the older girls assisted by his wife, and the yarn was woven by himself assisted by his sons.” In the manufacture of woolen goods conditions were similar. “The work,” says James in his History of the Worsted Manufactures, “was entirely domestic, and its different branches widely scattered over the country. The manufacturer had to travel on horseback to purchase his wool among the farmers or at the great fairs or markets, and the wool, after being sorted and combed, was distributed among the peasantry and received back as yarn. The machine used by them was still the old one-thread spinning wheel, and in summer weather on many a village green might be seen the housewives plying their busy trade. Returning with his yarn the manufacturer had to seek out his weavers, who ultimately delivered to him his camelets or russells or calimancoes ready for sale to the merchant or delivery to the dyer.”

These are pictures of the manufacturing industry in England as late as 1770. “Machines” were in use, but of the simplest type, and all operated by the power of the man or woman using them, or at the best by human or animal power, and in most cases the work was performed in the household or a small shop adjoining the household.

The transformation to the “machine method” or factory system began 195 when some power greater than that of man or beast was applied to the operation of the machines, and the machines themselves were so enlarged as to multiply their producing power. “In tracing the effect of the application of modern machinery to English industry,” says Hobson in his Evolution of Modern Capitalism, “there appear two prominent factors, the growth of improved mechanical apparatus, and the evolution of extra-human motor power. We speak of the industry which has prevailed since the middle of the eighteenth century as ‘machine production’ not because there were no machines before that time but, firstly, because a vast acceleration in the invention of complex machinery applied to almost all industrial arts dates from that period, and secondly, because the application upon an extended scale of non-human motor powers manifested itself then for the first time.” “The water frame, the carding engine, and the other machines which Arkwright brought out, in a finished state,” says Cooke Taylor in his History of the Factory System, “required both more space than could be found in a cottage and more power than could be applied by the human arm. Their weight required them to be placed in strongly built walls, and they could not be advantageously turned by any power then known but that of water. Further, the use of machinery was accompanied by a greater division of labor, and therefore a greater co-operation was necessary to bring all the processes under a central supervision.”

The new and enlarged machines which were thus operated by water power and brought together in factories had been invented chiefly during the eighteenth century. John Kay, in 1738, invented what was known as the flying shuttle, which doubled the amount of weaving which could be performed by one man in a given time. Hargreaves, in 1764, invented 196 the spinning jenny, a machine which operated a number of spindles for spinning yarn, and so did many times as much as one spinner with a spinning wheel could do. Arkwright, a few years later, devised the water frame, by which the spinning jenny could be operated by water power. Crompton, a little later developed the “spinning mule,” which combined the important qualities of the spinning jenny and the water frame. Before the end of the century the steam engine began to supply power and was utilized in many cases where water power was not available. Then, in 1792, came Whitney’s cotton gin, by which the seeds were readily extracted from the cotton, and that valuable fiber rendered much more available for manufacturing purposes.

The effect of the development of the machine and factory system, through the devices of these thoughtful men, enormously increased the manufacturing industries of England and later of the other parts of the world. The importations of cotton into England prior to the invention of the spinning jenny averaged less than 2 million pounds per annum. With the invention of the spinning jenny and the water frame the importation of cotton and cotton manufacture quickly doubled and trebled and then grew at such rapid rate that by 1800 the importation was about 40 million pounds, by 1830, 260 million pounds and by 1840 over 400 million pounds. The importation of wool grew from less than 2 million pounds in the latter part of the eighteenth century to 150 million pounds in 1860 and over 700 million pounds in 1890, though in this article of manufacture the growth in importation was less strongly marked than in cotton because of the fact that much of the wool used in manufacture was produced at home, while all of the cotton used was imported.

In the iron and steel industry the growth in the use of machinery was even more closely connected with the great development of recent years than in that of textiles. It was quite natural that man should seek 197 the use of machinery in the iron and steel industry. The material to be handled was of such great weight that it could not be handled in quantities without the aid of extra-human power, and the fact that it must be manipulated while at an intense heat necessitated the use of devices of some sort for its handling. Yet a long time, a very long time, elapsed after the beginning of the manufacture of iron and steel before men developed the machinery which has resulted in such a wonderful development in the manufacture. The slow rate of growth in the earlier centuries, and the rapid rate in the past century may be measured in some degree by the world’s production of pig iron, the basis of all iron and steel manufactures. Mulhall estimates the world’s production of pig iron in the year 1500 at 60,000 tons, in 1700 at 100,000 tons, and in 1800 at 460,000 tons. Then the increase began to be more sharply defined, the production reaching 1 million tons in 1820, 2½ million in 1840, 7 million in 1860, 18 million in 1880, 40 million in 1900 and nearly 60 million in 1907. The increase in the eighteenth century was about one third of a million tons, and that of the nineteenth century was 39½ million tons, or more than 100 times as much as that of the eighteenth century. The great development in the transformation of iron into steel did not come until the second half of the nineteenth century, the world’s production of steel in 1850 being, according to Mulhall, 71,000 tons, in 1870, 540,000 tons, in 1880, 4 million tons, in 1890,12 million, in 1900, approximately 20 million, and in 1907 about 40 million. The growth in production of pig iron and steel was more rapid in Europe than in the United States in the earlier part of the nineteenth century, but in the latter part of that century the United States outstripped all her rivals, and her production of iron and steel is now more than that of any other two countries of the world.

These wonderful developments in the production of iron and steel were 198 even more dependent upon the development of machinery for transporting the material and handling it in the factory than was the case with the textiles. Pig iron cannot be made without having in immediate conjunction three natural materials, iron ore, limestone and some material to produce intense heat. The iron is only found in the form of “ore,” being iron mixed with rocks, earth or other matter which must be removed in order to use the iron. To do this the ore must be heated. Formerly this was done by placing small quantities of charcoal in a hole in the ground and placing the iron on top of it, and then more charcoal on top of the ore. By fanning the burning charcoal or blowing the fire from the lungs through a reed the heat was increased and the ore was softened, and by hammering it while hot the useless material was worked out. Then by further heatings it could be hammered into such form as desired. After a while it occurred to men to build a wall of stones and mud and place the ore and charcoal in this, and to make a bellows of the skin of some animal (the prototype of those which blacksmiths and other workers in metals now use), and so force the air into the bottom of the mass of charcoal and iron. With this the iron could be so heated that it actually melted and ran to the bottom of the furnace, and when cooled was ready for the finer processes by which it was made into the desired articles. After a time the walls of the furnace were built higher and if it could be located near to a waterfall the shaft of the water wheel was so adjusted as to operate the bellows and keep the stream of air flowing into the fire, for the heat of the burning charcoal was not sufficient to melt the iron without this forced draft.

This was the process by which men made iron for many generations. But it was a very expensive process, for the quantity of wood which must be used to produce the charcoal was so great that the forests were 199 soon depleted, especially in England, where iron making became active. Efforts were made to use coal instead of charcoal, but the weight of the iron ore was so great that it crushed out the fire in the coal which softened as it burned. Then after a time it occurred to somebody to treat the coal in a manner somewhat similar to that by which the wood had been transformed into charcoal, and coke was produced and successfully substituted for charcoal in heating the iron ore and making iron.

In the United States the charcoal process was used until a period much later than that of its abandonment in England, for the supplies of timber were very great and men who were clearing the land for use in agriculture were glad to turn the wood into charcoal and find a market for it. The simple charcoal furnace and forced draft by a simple process furnished the iron-making systems of the world until the early part of the nineteenth century. As a result there were hundreds of small furnaces, simply operated, and turning out small quantities of iron, in various sections of the United States. Meantime somebody discovered that if the air which was forced into the furnace was heated before being sent into the fire it would greatly increase the heat-giving power of a given quantity of charcoal or coke, and the hot blast became a part of the larger furnaces. Then it was found that the anthracite coal of the United States was hard enough to bear the weight of the ore and would produce a heat sufficiently intense to melt it; and so a great iron industry developed in the anthracite region of the United States. Then it was found that certain bituminous coal in western Pennsylvania would make excellent coke for the manufacture of iron, and the Connellsville coke became a successful competitor of anthracite coal, and later other cokes were also used. Later came the natural gas discoveries and they contributed to iron making and working. Meantime railways were built to carry the ore to 200 the coal or the coal to the ore or both the ore and coal to some convenient meeting point, and machinery began to be introduced for handling the ore and the coal along the railway and at the furnace. This led to the devising of other machinery for handling the iron after it left the furnace and of rollers for rolling the iron into bars and for giving it the sort of manipulation that the hammer of the earlier iron maker had given it when produced in the primitive furnaces. Then great deposits of iron ore, the richest known to the world, were discovered in the Lake Superior regions; and steam-driven machinery was devised to scoop it up from the beds in which it was found, place it in cars, which in turn carried it to the water’s edge, and dumped it into great receptacles from which it could run by the force of gravity into the hold of the steamer. Then other machinery operated by steam was devised to take it from the hold of the steamer and load it again on the cars which transported it to the furnace where it met the coal or the coke, produced, transported and handled by similar machine processes, and was turned into iron to also be handled by great machines.

While all this was happening--indeed long before the later happenings above mentioned--workers in iron had found that the pig iron coming from the furnaces contained so much carbon that it could not be successfully worked. So they managed to get rid of the carbon, by melting the iron in an open hearth and passing flames over it, and as the carbon is combustible it was gradually burned out. This made soft malleable iron, but not of the consistency to have the required strength or serve the purposes that are now served by steel. To bring it to the proper condition it was necessary to reintroduce a very small quantity of carbon so evenly that both the quantity and the distribution could be determined. This was done for many years by placing the bars of iron in a crucible or other closed receptacle 201 surrounded by charcoal, and subjecting them to intense heat for several hours or days. So the making of steel was a slow and expensive process until about the middle of the nineteenth century. Then Sir Henry Bessemer, an Englishman, discovered that by forcing air into the bottom of a great retort containing molten iron the oxygen of the air would combine with the carbon of the iron and in a few minutes the objectionable carbon would be all burned out, and that by then reintroducing in this molten mass of pure iron the required amount of carbon in the form of spiegel iron or ferro manganese, steel could be made much more cheaply and quickly than before. William Kelly, an American, also devised a similar process about the same time. Thus began the process of modern steel making, which has in a single half century increased tenfold the world’s consumption of steel and thus of iron, for a very large proportion of the iron now utilized in the world is transformed into steel before being applied to the service which it is to perform for men.

In all the processes by which iron and steel making have been transformed from the simple methods of a century or two centuries ago to the present system by which a single establishment may now make in a week or month or year as much iron or steel as the whole world then made in an equal length of time, machinery and capital have been the great causes of the development--machinery for digging iron and coal, for transporting them to the place of manufacture, for handling the material in the natural state, for handling it in the furnace, for handling it in the molten state, for rolling and shaping it after it passes from the molten state to that in which it begins to take the form of the finished product, and capital to purchase this machinery and the great quantities of material required. “The very richness of our resources,” says J. Russell Smith in The Story of Iron and Steel, “has made such a wealth of opportunity for occupation in the United States that labor is and has been scarce. As a consequence the 202 American iron industry has been driven over to a machine basis, and its very success has arisen from the fact that a scarcity of labor has compelled the introduction of machinery which has surpassed the dreams of its inventors. In the iron and steel industry of America man does little more than touch levers, while the balance is done by steam and electricity. Four large Bessemer converters, holding 15 or 20 tons of molten iron do their work by an air blast driven through the molten material by the force of an engine. The electric cranes swing the 20-ton charges and the heavy converters as easily as a schoolboy swings his dinner pail, and pours the new made steel into a metal mold which stands on a tram ready to take it to the hydraulic machine which draws the mold off the red-hot ingot. The manless way in which this great steel ingot is turned into a useful piece of steel never ceases to be a marvel. The great machines are seen but the plant seems to be deserted. Then there arises a rumble and roaring noise and the great piece of red-hot metal is seen to travel with all the independence of a serpent across a lot of black rollers and dive into the jaws of the rollers which squeeze it into flatter shape. Then it stops, turns over and dives again through the same rollers, which flatten it still more. After this has been repeated a few times you discover, standing on a high platform, a man or two pulling the levers which start the machinery of the six or seven thousand horsepower engines that drive the knowing rollers which are crushing and rolling the ingot into the shapes which man can use.”

“Perhaps the greatest difference between English and American steel works,” said an English writer on this subject, “is the absence of laborers in the American mills. The large and growing employment of propelling and directing machinery is responsible for this. In a mill rolling three thousand tons of rails in a day not a dozen men are to 203 be seen on the mill floor. To witness in such a mill the conversion in a half hour of a red-hot steel ingot weighing several tons into finished stamped steel rails ninety feet long, and all this perfectly, by the agency of unseen hands, is to gain new ideas of the possibilities of mechanism, of the subservience of matter to mind.”

These are some of the steps by which the systems of the manufacturing world have been, in the past 150 years, transformed from household work, or that of the small shop, into that of the factory--and the factory developed into enormous establishments through the investment of great sums of money in the purchase and installation of ever-improving machinery, more ingenious, more productive, more costly, but turning out more and better of the finished product with each new device and new investment of capital.

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Business Administration: Theory, Practice and Application. [Vol. 1] Business EconomicsChapter II: The Use of Machinery in Manufacturing. 193

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