History/ Origin of Division of Labour
It was one of the forefathers of Economics – Adam Smith who enunciated the theory of division of labour in 1776 in his book titled ‘The Wealth Of Nations’. Adam Smith visited a place where pins were made and found that pin- making involved eighteen different processes at that time.
He also found that one man was co-ordinating all the processes of pin-making all alone. As a result of this rigorous and slow process involved in the processes of making pins, that man was producing 20 pins a day. Adam Smith came to a conclusion that if these eighteen pin-making processes were handled by different individuals instead of one man, more pins will be produced. This idea of division of labour thought out by Smith was then applied, and as a result, 48,000 pins were produced per day. This is how the application of modern division of labour came into existence in our present day.
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