New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1889-11-10
TPOURIE WITH TRUSTS.

The weakness of the trust organization, where
its stocks are in the market, has been illus
trated to investors in striking manner. But
there is another weakness, unavoidably incident
to the organization in many OF It's Applications,
which has also been illustrated by the events of
the last week When General Thomas en-
dcavored in a manly way to explain his own
shortcomings as a trustee he said that the Or
ganization had to do with great many differ
ent kinds of manufacture and purchase, with
most of which he was not personally 1amhar'
1t was impossible for him to know whether, in
each of It's many ramifcations the organlza-
ton was conducted with wisdom or economy.
1t was impossible for him, and is impossible
for any man. But the organization which puts
upon every trustee personal responsibility for
the conduct of great many different kinds or
branches OF business violates great law OF
nature, that every kind or branch of work Is
most economically and successfully conducted
under the direct and personal control of men
who devote their entire time to it, and have
the stimulus of personal ownership and respOn-
sibility.
The progress of modern industry has been
amazing, and has conferred benefits upon the
progress is due to no other thing more than to
continued division Of labor and responsibility.
Once shoemaker made the whole OF pair Of
shoes. Now small army of men perform each
some fragment of the work, doing that and
nothing else, and the result is incaculable
multiplication Of productive power. so in
manufacture and in trade. The general mer-
chant of the country store, who buys and sells
everything, quickly gives place, as the town
grows, to the man who sells dry goods, the man
who sells groceries, the man who sells hats,
the man who sells boots and shoes the man who
sells hardware, the man who buys products, and
so on. The iron worker originally had
his own rude forge, and then shaped
the iron as best he could. Now
hundred different kinds of manufacture
ing establishments take each some distinct part
of the work, and in each of them different
rooms, and again different individuals, sub
divide the labor. Each Of these establishments
is under the personal direction of man trained
TO that particular occupation, who gives his
whole time and thought to that and no other,
and whose livelihood and hope of profit depend
upon his care, economy, organizing force, en-
terpnse and skill.
The work is infinitely better done when thus
subdivided, and also done far more economical
w. But the trust has for its very object the
consolidation of many distinct branches and
kinds Of work under single manag cement and
control One man can superintend and man
age finances for many establishments, It is
argued which is true. But can he do it as well
as the work would be done by many men, each
perfectly familiar with the details of one par
ticuar branch? All experience teaches that
it is impossible. The trust organization is at
war with natural laws and with human prog
ross when it attempts to bring many distinct
kinds of production or of trade under the per-
sonal responsibility and management of the
same man or men.
It needs but little examination of the matter
to see that these objections apply to many
of the organizations Of this nature. The COM
pensating gain Is expected to come through the
exaction of a higher price for products. But
that puts the organization at war with the in
terests of civilized society also.