The correct answer to this open question is the following.
Although you forgot to include the options for this question is the following.
Railroad companies hired expert managers to head specialized departments, a practice soon copied by other businesses.
And this represented a great decision to railroad companies in that people with the right kind of knowledge started to manage key departments successfully. They were the experts and had the experience to make the right decisions. They were si successful, that other companies realized the importance to have the right kind of people managing key areas of the organization.