in the production process. With specialization, however, the worker becomes accustomed to the tools of the trade, so to speak, and with all the necessary machinery. Smith provides an example of the pin maker. He says,

the trade of a pin-maker: a workman not educated to this business (which the division of labour has rendered a distinct trade), nor acquainted with the use of the machinery employed in it ...

By becoming skilled and expert in the production of pins, the worker can out-produce another untrained worker who does not specialize. Smith says that without specialization, the worker:

could scarce, perhaps, with his utmost industry, make one pin in a day, and certainly could not make twenty.

With specialization, the work is broken down into specific tasks and the worker becomes adept at whatever small part of the overall manufacturing process he is responsible for. This accelerates the production of the end product. Smith notes that the work “is divided into a number of branches, of which the greater part are likewise peculiar trades." He describes the various tasks involved in the seemingly simple production of a pin. He notes that in some manufacturing plants, "all [work is] performed by distinct hands, though in others the same man will sometimes perform two or three of them.”

By this, Smith is also saying that in small factories that cannot afford to employ many people, workers can specialize in two to three tasks involved in the production process, but they must still specialize. The repetitive completion of two to three tasks will still enable them to become specialists.

According to Adam Smith’s “The Wealth of Nations," the basis of economic growth is division of labor. Division of labor is defined as the specialization of labor. It refers to the practice of breaking up a job into small discrete tasks, each of which is assigned to a given individual. For example, a car assembly plant can split the car assembly process into several smaller processes, all working simultaneously. When one stage of assembly is completed, the car is passed on to the next stage. Specialization takes place when workers are assigned particular tasks within the production process. Therefore, division of labor leads to specialization, as it allows workers to concentrate and gain skills in particular areas of production.

Some of the benefits of division of labor are:

• Workers are able to develop expertise in their areas of operation. This, in turn, leads to increased speed and accuracy in performance, hence, increased productivity.
• It stimulates innovation. Workers who specialize in given tasks develop skills in these areas and are able to discover ways of tackling operational bottlenecks that may arise during the course of their work.
• It saves time by eliminating the need for workers to transition from one task to the next.
• It encourages the use of machinery, which leads to increased efficiency of the production process.

Some of the benefits of specialization are:

• Increased production of goods and services.
• Specialization allows workers to produce large quantities of diverse products. Consumers are therefore able to access a wide range of goods and services.
• Specialization allows workers to develop definitive skill sets in specific areas. This gives room for further growth in these areas. Also, a company that employs specialists within its ranks is able to gain the trust of its customers on the quality of goods and services provided.