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particularly now when new tech- niques are employed in business man- agement. Modern business requires technical skill. Skill in utilization of modern tools of management is essential to a maximum business success, often it is the way from loss to profits. Modern business budgeting and ac- counting, and wage incentives, have been discussed in previous articles. Another modern tool of management is facilities for the development and utilization of new ideas. New ideas have always been the life blood of business. Modern business manage- ment has injected the new idea of ‘new idea facilities.” Technical Skill Is Required Organized efforts for the develop- ment of new ideas has proved high- ly profitable. Some companies have research departments on which many thousands of dollars are expended yearly. Others conduct suggestion campaigns, realizing that in the minds of their employes is a mine of valuable information which is not adequately tapped by ordinary meth- ods. The search for new ideas must be conducted by a man with imagina- tion vision and analytical ability, oth- erwise the search is restricted to a narrow field and many valuable ideas are lost. Profitable ideas are found not only in one’s own particular in- dustry but also in other industries. In one instance, the cost of reduc- ing the discharging of a certain com- modity was brought about by a sug- gestion from a photograph in a man- ufacturers’ magazine. The two op- erations were totally different but nevertheless the photograph caused a new idea to crystallize and later brought about a reduction in steve- doring costs. The work of a terminal organiza- tion was improved 17 per cent, by an intelligent application of new ideas obtained from a merchandising house, a bank, a shipyard, and a number of other terminals, railroad and -steamship, handling different classes of freight under a variety of conditions. Differences in conditions did not prevent the adaption of new ideas to the methods of attacking problems characteristic of all termi- nals. The bank suggested a method of analysis that disclosed many oOp- portunities for eliminating waste. Real Analysis Brings Results A constant aggressive analysis of a stevedoring operation and a con- stant unrelenting analysis of all ds- tails, and the relation of all details one to another, will lead to discov- eries which will cut costs and in- crease business. Such an analysis is best guided by a knowledge of the principles of stevedoring. Numer- ous mistakes are avoided by this kind of analysis. Statements of fact and opinion should be analysed to determine the accuracy of state- ments. Years of experience do not give sanctity to statements of expe- rienced men, particularly when con- ditions have changed. The use of knowledge of the most effective meth- ods of analysing problems will often disclose opportunities for large sav- ings. An executive whose mind is crowd- ed with a heterogeneous array of facts is not necessarily an able execu- tive or one equipped to develop new ideas. Such a mind may be petty, uncomprehending, wrapped in the pride of its own collection of facts but without real understanding of ‘their meaning. Real accomplishment comes when there is an understand- ing of the essentials—when sub- stance is valued more than mere form. Many opportunities for economy are discovered when the man select- ed for an executive position is waste conscious. An attitude alert for op- portunities to reduce waste of time In a Good Organization Definite and clean cut responsibili- ties should be assigned to each execu- tive. Responsibility should always be cou- pled with corresponding authority. No change should be made in the scope or responsibilities of a position without a definite understanding to that effect on the part of all persons concerned. No officer or employe, occupying a single position in the organization, should be subject to definite orders from more than one source, Orders should never be given to subordinates over the head of a re- sponsible officer. Rather than do this the officer in question should be sup- planted. Criticisms of subordinates should, whenever possible, be made privately, and in no case should a subordinate be criticized in the presence of offi- cers or employes of equal or lower rank. No dispute or difference between of- ficers or employes as to authority or responsibilities should be considered too trival for prompt and careful ad- judication. Promotions, wage changes, and dis- ciplinary action should always be ap- proved by the officer immediately su- perior to the one directly responsible. No officer or employe should ever be required, or expected to be at the - same time an assistant to, and critic of, another. Any officer whose work is subject to regular inspection should, when- ever practicable, be given the as- sistance and facilities necessary to en- able him to maintain an independent check of the quality of his work. Note: The above, entitled Ten Com- mandments of Good Organization, was written by M. C. Rorty, vice president, International Telephone & Telegraph Co. and was originally published by the American Management association. MARINE Revirw—July, 1932 and money results in large savings. More brains are required in this age to become a truly successful ex- ecutive and we -have a limited sup- ply of men properly equipped. The utmost care should be expended in the selection of men for promotion, particularly in the control positions where. decisions are made involving large sums and where mistakes are costly. Efficiency. of Fireboats Criticism has been leveled at the efficiency of New York city fireboats. The recent Cunard pier fire is quoted as an example of the inability of any of the fireboats to properly throw a stream of water under the piers. It was suggested that the Cunard pier fire might have been prevented had the fireboats been equipped with large nozzles located low enough to permit playing a powerful stream under the pier at high tide. The city fire head- quarters say that the problem of under-pier fires is being carefully studied with the view of developing adequate equipment to meet this con- dition. J. F. McMillan, treasurer and gen- eral manager of the Kingston, Ont., Shipbuilding Co., died June 15 in his home in that city following a brief illness. He was a shipbuilder in Scot- land before taking up his residence in Canada. BE. K. Morse has resigned as freight traffic manager of the Munson Steam- ship line and has become associated with Seatrain Lines Inc., as a vice president. He assumed his new duties in the New York office on June 16. e pe gee Ur Georges Philippar Fire Loss of life in a disastrous fire which destroyed the five-month old French motor liner GrorGES PHILIPPAR, in the Gulf of Aden on May 16, on her return voyage from China to Mar- seilles, is now reported as 35. This disaster has thoroughly aroused both government and private sources concerned with the safety of life at sea. One feature, the extreme- ly rapid headway of the fire, has not yet been satisfactorily explained except on the basis of suspicion of incendar- ism. The preliminary inquiry indicates that four fires were reported to have broken out simultaneously in dif- ferent parts of the ship. Passengers, also it is said, reported the breaking out of a fire-which was quickly put out, on board while the ship was at Shang- hai. The complete inquiry will no doubt establish the true facts of the case and suggestions for prevention. * 35