Aside from these two processes (the system of cooperation as a whole in relation to the environment and the creation or distribution of satisfaction among individuals), Barnard argues that there is another element critical to the effectiveness of cooperative systems – innovations of specialization. As he notes “The effectiveness of cooperative systems depends almost entirely upon the invention or adoption of innovations of specialization” (132). We can see an example of such innovations of specialization if we look at the U.S. fruit industry during the first decades of the 20th century. Before this type fruit was sold in local markets only. Once the innovations of rail transportation and refrigeration became reality, fruit growing became nationally based. However, because of these innovations, regional specialization of fruit production transformed the industry. For example, deciduous fruits were grown in the Pacific region because of specialization due to climate and soil conditions.
Likewise, many developing countries have begun to increase their technological specialization due to technology innovations. In this way, countries and markets converge by becoming different and grow and survive by becoming more specialized. Thus, specialization allows for greater chances of survival through differentiation as well as allowing individual organizations to play on their strengths. Survival, to Barnard, is the primary goal of the organ