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Islamic, Confucian, Christian morality, its revival, and res-
ence versus humanities but science/humanities versus
urrection. In their section on ‘two cultures’, Locke and
money/managerialism’ (Locke & Spender, 2011, p. 102).
Spender distinguish between Aristotle’s oikonomikos
It is not unheard of that academic promotions to pro-
(household trading) ‘which he approved of and thought
fessorship can only occur based on external grants in a
essential to the workings of any even moderately complex
‘money→promotion’ linkage. Back are the good old days
society’, and chrematisike (the art of getting rich), which
of 18th century Europe where professorships could be
he condemned because it entails trade for profit’ (Locke
purchased. Locke and Spender (p. 102) explain ‘the most
& Spender, 2011, p. 96). Managerialism is one-dimension-
successful university discipline…offers:
ally dedicated to the latter. Locke and Spender note that
• A promise of money (the field is popularly linked…to
divisions like these also operate inside universities when
improved chances of securing an occupation or profes-
management studies is set against humanities and where
sion that promise above-average lifetime earning).
students ‘know where the good jobs are and they know
• A knowledge of money (the field itself studies money,
the kind of education needed to get them. In the educa-
whatever practically or more theoretically, i.e. business
tion marketplace, they are the consumers who determine
finance and/or economic matter and markets).
the source of supply.They started to shun the humanities’
• Sources of money (the field receives significant exter-
(p. 98). But ‘the bourgeoisie [also] created a superstruc-
nal money, i.e. research contracts, federal grants or fund-
ture of thought and moral teachings to protect its interest’
ing support, or corporate underwritings)’.
(p. 99), hence the invention of corporate social responsi-
The next chapter explains ‘Managerialism and the
bility. Like any ideology, managerialism and ‘management
decline of the US Automobile Industry’. It compares US
studies did not abolish ethical considerations but only
car manufacturing with Japanese and German car com-
obscured them’ (Locke & Spender, 2011, p. 99; see also
panies in the light of the rise of managerialism. The chap-
Klikauer, 2010).
ter carries connotations to Hall and Soskice’s (2001)
In managerialism’s enterprise of side-lining, diminishing,
‘liberal-market’ versus ‘coordinated-market’ economies
incorporating, and annihilating ethics and humanities, the
(Klikauer, 2012b). Perhaps Chapter 4 on ‘managerialism,
ideology of post-modernism became a welcome side-effect:
business schools’, and our financial crisis is one of Locke
‘post-modernism’s attack on positivism had an unintended
and Spender’s key chapters. It asserts that ‘the rush into
result because it weakened the position of the humanities
finance, to student greed (because of high salaries), to
in universities more than it did science, technology, and
neo-liberal selfishness, justified primarily by the Chicago
the new paradigm in business schools’ (Locke & Spender,
School of economists led by Milton Friedman (economic
2011, p. 100). In other words, post-modernism paved the
theory), and to the general decline in social responsibil-
way for the triumph of managerialism in universities.
ity in corporation boardrooms…The Business Roundtable
Linked to neo-liberalism’s concept of state withdrawal of
(CEOs from 200 of America’s largest corporations) explic-
public funding for universities, the latter invented money-
itly abandoned previously subscribed-to tenets of social
making schemes like ‘industry partnerships’ so that man-
responsibility. In 1981, the group’s Statement on Corpo-
agerial capitalism is able to dictate research agendas and
rate Responsibility read: “Balancing the shareholders’
outcomes! On the teaching side, managerialism engineers
expectation of maximum return against other priorities
this through so-called ‘accreditation’ giving industry direct
is one of the fundamental problems confronting criti-
‘definitional power’ over what is taught. This has led, for
cal management”’ (Locke & Spender, 2011, p. 136). This
example, to a replacement of industrial relations by human
appears to support my conclusion (Klikauer, 2013). Mana-
resources management. It converts the horizontal relation-
gerialism has no moral compass while rejecting Locke and
ship between trade unions, the state, and management/
Spender’s thesis that managerialism simply ‘failed to find
employers (industrial relations) into a vertical top-down
its moral compass’ (p. 61).
hierarchy relationship beneficial to human resources man-
Apart from that, ‘the recent collapse of the investor
agement, management, and managerialism. Simultaneously,
capitalism’s house of cards revealed to an unsuspecting
it narrows the social-economical view of industrial rela-
public the darker side of the relationship that the US man-
tions down to the mere company level of human resources
agement caste and US business schools had cemented
management resulting in all the pathological trimmings
with finance capitalism’ (Locke & Spender, 2011, p. 137).
known today (Samuel, 2010).
Just as financial capitalism hardly ever focuses on ‘mums-
Hence, ‘it turns out that at the end of the twenti-
and-dads-investors’ – except in the popular business press
eth century the issue for higher education is not sci-
for public relations reasons – ‘the language that manag-
130
Managerialism & Business Schools – A Review Essay, Review by Thomas Klikauer
vol. 55, no. 2, 2013