BASF: innovation and adaptation in a German corporation since 1865

Half-title......Page 3
Title......Page 5
Copyright......Page 6
Contents......Page 7
1. FROM NEW INDUSTRY TO THE NEW ECONOMY......Page 13
I Becoming a Global Corporation – BASF from 1865 to 1900......Page 17
Friedrich Engelhorn – Pioneering Entrepreneurship......Page 19
A Massive Market – The Beautiful World of the New Dyestuffs......Page 21
One of the First Coal-Tar Dye Factories in Germany......Page 24
Mannheim or Ludwigshafen? The Dramatic Establishment of the Corporation......Page 27
The Large-Scale Project to Begin Anew in Ludwigshafen......Page 31
From Imitation to Independent Research – Heinrich Caro......Page 35
The First Synthesis of a Natural Dyestuff: Alizarin......Page 38
On an Expansion Course: The Fusion with the Stuttgart Firms of Knosp and Siegle in 1873......Page 43
An Overview......Page 48
The Centers of Development – Top Management and Organizational Problems......Page 50
The Heart of the Company – Research and Production......Page 62
Science as a Factor of Production – Laboratory Work......Page 64
The Stony Path to the Marketplace – Dyeing Works as Testing Stations......Page 67
“The Age of Dyestuffs” I: Aniline Dyes......Page 69
“The Age of Dyestuffs” II: Azo-dyes......Page 71
“The Age of Dyestuffs” III: Alizarin Dyes......Page 75
“The Age of Dyestuffs” IV: Indigo......Page 77
A Promising Future as a Supplier to the Industry: Inorganic Production......Page 82
The Construction Department......Page 84
The Trades and Crafts Department......Page 85
Energy Supply......Page 86
Transport......Page 87
The Ecological Costs of Production – Environmental Problems?......Page 88
Intellectual Property as a Factor of Production: Patent Issues......Page 91
Integration into the Marketplace......Page 94
Successful Marketing: The Creation of a Modern Sales Organization......Page 95
The Unavoidable Steps Toward a Multinational Company – Branch Factories Abroad......Page 98
In the Shadow of Sales Success: Purchasing as a Clear Deficit in the Commercial Area......Page 100
Between Free Competition and Market Regulation: Conventions......Page 101
Sales Turnover and its Components......Page 105
The Globalization of Markets......Page 107
Generous Write-offs, Directors’ Fees, and Bonuses, High Dividends, and Extensive Capital Reserves: Profits and Their Use......Page 109
The Human Factor in Production: Firm Personnel – High-Ranking Salaried Officials (“Beamte”) and Workers......Page 114
A Guarantee for Continuity and Technical Competence: The High-Ranking Salaried Employees......Page 115
The Workers and Factory Social Policy......Page 119
Economy and Politics......Page 124
BASF at the Paris World Exposition of 1900......Page 127
Changes in Corporate Leadership Circa 1900......Page 129
The Victory of Synthetic Indigo......Page 131
New Products: Paths Taken and Not Taken......Page 133
The Dreibund: Concentration, Conflict, and Organizational Change......Page 139
Innovation and Marketing in Dyestuffs......Page 148
Innovation and Academic-Industrial Collaboration: From Dye Chemistry To Nitrates......Page 154
Workers’ and Employees’ Movements......Page 158
The End of the von Brunck Era......Page 162
The Ammonia Synthesis, 1912–1914......Page 163
BASF on the Eve of the War, 1912–1914......Page 169
Mars Rising: Entering the War Economy......Page 172
The Leuna Project......Page 177
Wartime Reorganization: The Expanded IG......Page 183
From Labor Truce to Mass Protest: The Workforce at War......Page 185
Defeat and Revolution: New Leadership Facing Postwar Challenges......Page 189
Stark Realities of the Peace Terms: Occupation, Technology Transfer, Reparations......Page 195
Postwar Marketing and Innovation......Page 201
Labor Conflicts and the Catastrophic Explosion in Oppau......Page 205
From Crisis to Fusion (1922–1925)......Page 213
1. INTRODUCTION......Page 218
BASF in the IG Period: Overview and Initial Hypotheses......Page 219
2. FITTING INTO THE NEW CONCERN, 1925–1929......Page 224
Organizational Change and the IG......Page 226
The Upper Rhine Group in the Initial IG Period: Organization and Relationships with Other IG Plants......Page 232
Trends in Production......Page 234
Research and Development......Page 242
Work and the Workforce......Page 245
3. COPING WITH THE CRISIS, 1929–1933......Page 247
Reorganizing the Trust and the Group in the Wake of the Crisis......Page 248
Production Trends......Page 251
Downsizing......Page 255
Politicization of the German Chemical Industry and the Upper Rhine Group......Page 259
4. ACCOMMODATION AND CONFLICT, 1933–1936......Page 262
The National Socialist Seizure of Power, the Trust, and the Group......Page 263
Recovery in Production and Trends in R&D......Page 276
Social and Labor Policy in the Factories......Page 282
The Four Year Plan Organization and Preparation for War......Page 285
Production, Sales, and Research Trends......Page 294
Work, the Workforce, and National Socialist Ideology and Practice......Page 301
6. THE UPPER RHINE GROUP IN GERMAN-DOMINATED EUROPE, 1939–1942......Page 305
The National Socialist New Order and the Upper Rhine Group......Page 306
War Production and Investment......Page 318
Labor......Page 322
7. THE BASF GROUP IN TOTAL WAR, 1942–1945......Page 325
Total War and the Upper Rhine Group Factories......Page 326
Production Trends......Page 327
Labor......Page 334
The Upper Rhine Group and IG Auschwitz......Page 340
Destruction and Postwar Planning......Page 344
8. FROM OCCUPTION TO REFOUNDING, 1945–1952......Page 347
The Impact of the War on the BASF Factories......Page 348
Production and Investment under French Occupation......Page 358
The Workforce and the Re-emergence of Labor Unionism......Page 367
The Breakup of the IG Farben Trust and the Refounding of BASF......Page 369
The Refounding......Page 374
Disincorporation......Page 379
Rebirth......Page 383
Rules and Context: The Social System of Production......Page 388
Strategy and Structure: Corporate Leadership......Page 390
Consistency and Flexibility: Financing......Page 400
Control and Trust: Shareholder Relations......Page 409
Partnership and Conflict: Industrial Relations......Page 421
Costs and Benefits: Plant Policy with a Social Bent......Page 429
Research, Technology, Application: Customized Quality Production......Page 440
Old and New Markets......Page 447
The Founding of the Rhenish Olefin Works......Page 453
Breakthrough......Page 462
Distance......Page 466
Cooperation......Page 469
Reintegration......Page 472
The Second Breakup......Page 477
Orientation Problems......Page 485
Profit Can Be Planned, or the Will to Greatness......Page 490
Interlocking Production Operations on a Large Scale, or a New Technological Paradigm......Page 495
The Ludwigshafen Site......Page 499
Looking for the Second “Ludwigshafen”......Page 503
Ludwigshafen Is Everywhere: Exporting a Model......Page 508
Challenge I: Nuclear Power Plant......Page 512
Challenge II: Environmental Protection......Page 519
Staying Power: Joint Venture with Dow......Page 525
Caught Together, Hanged Together: Entering the Fiber Business......Page 529
Battle of Cultures: The Tug-of-War over Dow Badische......Page 539
Exporting a Model: Consolidation through the Verbund......Page 550
BASF: Badische Annulment and Suspension Factory......Page 555
A Calamitous End: The Collapse of Phrix......Page 563
Upheaval and Persistence: Corporate Reorganization......Page 572
Off to New Shores......Page 585
Tape Recorders I: The Struggle for the U.S. Market......Page 589
Tape Recorders II: The “National Champion” on the Defensive......Page 595
Lacquer: Defensive Forward Integration......Page 602
Pharmaceuticals: The Early Bird.........Page 611
Back to the Roots......Page 622
Toward the Transnational Company......Page 626
The Road to New Industry: Old Industry or “New Economy”?......Page 631
Appendix Trade Volume and Profits of BASF since its Founding in 1865......Page 633
Bibliography......Page 641
Index of Archives......Page 655
Index of Corporations......Page 657
Index of Persons......Page 663
Index of Products and Processes......Page 669
Subject Index......Page 677