The Culture of the New Capitalism

by Richard Sennett

Book Overview

A provocative and disturbing look at the ways new economic facts are shaping our personal and social values.

The distinguished sociologist Richard Sennett surveys major differences between earlier forms of industrial capitalism and the more global, more febrile, ever more mutable version of capitalism that is taking its place. He shows how these changes affect everyday life--how the work ethic is changing; how new beliefs about merit...

• Format: Paperback
• Language: English
• ISBN: 0300119925
• ISBN13: 9780300119923
• Release Date: January 2007
• Publisher: Yale University Press
• Length: 224 Pages
• Weight: 0.35 lbs.
• Dimensions: 0.6" x 5.5" x 8.2"

Customer Reviews

The Latest Logic of Capital: New Alienations

Sennett presents a passionate analysis of the latest developments of our working conditions and how these affect our feelings of inadequacy and frustration as workers/employees, etc. Contextualized in a diachronic explanation of the business practices, his essays are mainly centered around the bureaucratic (dis)function of corporations and on the way workers and employees react to the latest logic of capital, which is presented as a moving target of uncertain consequences. Although his reflection is at times too quick--to the point of falling into some stylistic mishaps--the reader has a better understanding regarding the whys and hows of the frenzied realities associated with consumption and desire. Sennett does a great job of integrating into his interpretation different philosophical and theoretical approaches, using good analogies and concise language. However, as I was reading his intelligent dissection of the "the specter of uselessness," particularly in relation to the lack of recognition for a "job well done", I was surprised that the author did not make a connection with the traditional Marxist concept of alienation. Similarly, I would have liked to see Lacan's ideas of desire when Sennett elaborated on consumption. I recommend this book to anyone interested in having a clearer image of the dynamic nature of late capitalism and its impact on the quality of our lives.

Mysteries of Corporate Mayhem Revealed!

Richard Sennett in THE CULTURE OF THE NEW CAPITALISM reflects upon the reactionary extirpation over the past three decades of the Western social capitalist state. Starting with a discussion of Bismarckian social capitalism which was founded on the model of the Prussian Army's highly successful bureaucracy and which provided structure and discipline to cultural relations, Sennett ends with a bleak meditation on the values encoded in the New Economy versus the Old. These include the elevation of process over craftsmanship, of "flexibility" over stability, of superficial over deep knowledge, and of centralized power over mediated authority. Along the way, Sennett shares pithy insights into the nature of this revolutionary shift and the cultural and economic dislocations it has caused. Sennett states that three new pages were turned in the late twentieth century workplace. "First has been the shift from managerial to shareholder power in large companies." (pg. 37) This shift in power, according to Sennett turned a second new page: "The empowered investors wanted short-term rather than long-term results." The third new page representing a challenge to the past "lay in the development of new technologies of communication and manufacturing." He notes that "one consequence of the information revolution has...been to replace modulation and interpretation of commands by a new kind of centralization." (pg. 43) At the same time, automation, growing out of technological innovation "...has affected the [social capitalist] bureaucratic pyramid in one profound way: the base of the pyramid no longer needs to be big." (pg. 43). Circuits replace people. According to Sennett, the old model, built on the pyramid model with a mass of workers at the bottom responding to a chain of command situated at the top is on the way out. In contrast, the new model he likens to an MP3 player: "The MP3 machine can be programmed to play only a few bands from its repertoire; similarly, the flexible organization can select and perform only a few of its many possible functions at any given time. In the old-style corporation, by contrast, production occurs via a fixed set of acts; the links in the chain are set. Again in an MP3 player, what you hear can be programmed in any sequence. In a flexible organization, the sequence of production can be varied at will." (pgs.47-48). (Notably, and perhaps inevitably, the new model got its start in the cutting edge businesses of finance, technology, pharma and media and their support industries: marketing research, advertising, and business consulting). In a remarkable section on the shift in how employees are assessed - based on achievement in the old structure and "potential" in the new -- he shows how SAT testing supports the new regime. Sennett notes that "in the search to consummate the project of finding a [Jeffersonian] natural aristocracy, the mental life of human beings has assumed a surface and narrowed form. Social

Working in the New Economy

As a member of the New Left in the 1960's, Richard Sennett was a young radical railing against big corporations and big government. He was also critical of state socialism for being just another bureaucratic system holding the individual in its suffocating grip. That was then, now the bureaucracies have been delayered and flattened out. It's management by email. As the old saw goes: Be careful what you ask for. In "The Culture of New Capitalism," Sennett seems somewhat nostalgic for the security and rewarding work that bureaucracies once provided. The dismantling of large-scale institutions did not result in the communities of trust and solidarity for which the radicals had hoped. Instead, they left modern day workers in very fragmented and ambiguous working conditions. According to Sennett, these conditions came about in the 1970's and have accelerated since. After the breakdown of the Bretton Woods agreement, capital markets became globalized. Corporate managers became more concerned about increasing short term value - higher share price - and less concerned about the long-term welfare of their employees. Over the years wages have stagnated and benefits have been reduced. In short, "the new capitalism" or "new economy" of which he speaks has been reconfigured to give an increasing amount of wealth to shareholders rather than employees. What effect this has had on the workplace is the focus of this study. The target industries of this study were high technology, finance, and media, but what has taken place there foreshadows what is happening in other industries and also the public sector. First, Sennett finds that employees must learn how to manage short-term relationships; corporations no longer provide a long-term framework. Second, the modern workplace values a meritocracy of potential abilities rather than craftsmanship developed over a long period of time. And finally, one must learn how to let go of the past and accept the fact that one's place in the corporation is no longer guaranteed. To sum up, the ideal worker in the new economy is someone who must think in the short term, constantly develop their potential and not look over their shoulder. That's great if you are young, unattached, wealthy, and well educated. However, if you are middle-class, middle-aged, and have multiple responsiblities, it's a cruel world. For nearly a generation, globalization has brought downward pressure on unskilled wages, but now - thanks to technological innovations - it is bringing downward pressure on skilled wages as well. Never before has capitalism had unlimited access to labor. There has been a race to the bottom in search of lower wages. Americans seem to have resigned themselves to the vicissitudes of the global labor markets; the Europeans and the Japanese have been less sanguine, or a least more protective of their lifestyles. It may be that Americans believe free markets are an intrinsic good. I believe that at some point