Lessons from an Early Management Scientist

Over 100 years ago, the silk industry in France was facing a serious threat. They called in an analyst, a “management scientist” if you will, named Louis Pasteur. Working with a small team, Pasteur critically studied the system to determine cause/effect relationships and the variables that management could control. He determined an optimal strategy and fought an uphill battle to win organizational approval. A setback occurred when he discovered that his model was invalid, not including an important factor. Pasteur persevered not only in the tedium of analysis, but also against jealous fellow scientists who sought to discredit his work. He was finally able to convince management by employing a variant of the now-popular technique of simulation. I have found this account from history a useful way to introduce the practice of management science to MBA students. The story shows (1) the usefulness of scientific analysis to business profitability; (2) the importance of observation skills, rigor, and critical thought; and (3) that there is more to management science than mathematics.