Since the Beginning of New Millennium, Koreans have been in the vortex of hot debate on reform of higher education or taehak kaehyok (university reform). Topics vary. Some have been so critical of the current curriculum which, they say, is not suitable for the so-called information society or the era of ‘global village.′ Especially, they argue for a radical change of the conventional kyoyang kyoyuk (liberal education), which is centered on literature, philosophy, history and so forth. They say computer-related courses, information science-related courses and English courses should be included or expanded. Others have criticized the faculty members of universities, who are not productive but whose positions are guaranteed until their retirement. They argue for a competative system by which, they say, leads professors be productive. Still others have said that universities and colleges, which are not located in major cities, are in a serious crisis. They say a tuksonghwa (specialization or characterization) or a sontaekkwa chipjung (choice and concentration) of program. However, we have a lot of talks about reform of higher education, but we do not see any meaningful change. It is a business as usual, but there have been a conflict between or among self-centered egoistic faculty members. It is thus necessary to step back and to see reform efforts in other countries. Especially, it is needed to know how such internationally renown institutions for higher education as Harvard, Yale and Princeton reformed in the period of change, that is, from agrarian society to industrial society and from industrial society to information society. We should see how they change their curriculum and how they adjusted their program during such a transitional period. From their experience we could learn how to reform our universities and colleges. This article is intended to see the reform effort of Harvard during industrialization and urbanization. Since the Harvard reform was initiated by Charles W. Eliot, the president, I discuss in this article his philosophy of higher education and his reform, especially his ‘elective system’ of curriculum during this transitional period. Eliot was a young scientist who specialized mathematics and chemistry. At age of 36, he became the Harvard president in 1869. He, who was 36 years old at the time, enjoyed the Harvard presidency for 40 years. During his presidency, Eliot transformed Harvard from “a New England college” to “a cosmopolitan university.” This article emphasizes Eliot′s education philosophy which is based on ‘freedom.’ He once said that “A university is the last place in the world for a dictator. Learning is always republican. It has idols, but not masters.” Based on this, he changed Harvard program and curriculum. For example, he gave a freedom of choice to students. Previously, students did not have any choice but to follow a fixed curriculum. Now, students could choose courses they wanted. Through such elective system, Eliot argued, students could learn more and accomplish faster. They became more independent and came to have a sense of responsibility. Out of this elective system, students could have his own individualized curriculum and became a specialist when they graduated. Through such an elective system and individualized curriculum they became specialized and became more useful in ever more specializing American society. Korean educators and the so-called university reformers should read Charles W. Eliot′s reform of Harvard. This article is intended to give them a benchmarking wisdom.