The supreme principle [in Industrial Organization] has been the belief that business efficiency and the welfare of the employees are but different si… - Edward Cadbury

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The supreme principle [in Industrial Organization] has been the belief that business efficiency and the welfare of the employees are but different sides of the same problem. Character is an economic asset ; and business efficiency depends not merely on the physical condition of employees, but on their general attitude and feeling towards the employer.

English
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About Edward Cadbury

(1873 – 21 November 1948) was a British chairman of , business theorist, and philanthropist, known for his pioneering works on management and organisations.

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On one level, then, Cadbury can be seen as a classic example of Victorian industrial paternalism, albeit carried to greater lengths than in most other companies of the day. On another level, however, the Cadbury system resulted in a very strong, highly flexible organisation which, thanks to the strong levels of employee commitment and participation, could draw on a large bank of experience and intelligence to solve problems and undertake what amounted to continuous improvement. The employee participation system in particular meant that Cadbury was constantly upgrading its processes and products. Herbert Casson regarded Cadbury in the 1920s as one of the best-run companies in Britain, if not the world, and summed up the key to its success very succinctly: ‘At Cadbury, everybody thinks.’

There is no doubt that the efficiency of the Works at Bournville is assisted by the Suggestion Scheme, and it has been found that the good accomplished, is not only in the pecuniary value to the Firm or to the suggestor, but also in the development of the mental and creative power, which makes both men and girls more efficient and valuable workers, and fosters an intelligent independence.

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The worker must recognize that the welfare of employer and employed are not antagonistic, but complementary and inclusive, and that each position brings its duties and its rights. Thus the workers are led, not driven, and each consciously co-operates with the management in working for a common end.

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