The Marion daily mirror. (Marion, Ohio) 1892-1912, 1910-11-22
TELLS HOW TO
MANAGE ROADS
BrandeiS Says They Can
Save $l,OO0,OOO a Day.
ARGUES FOR SHIPPERS

Attorney Who Conducted Clifford Pin
ehots Case Appears Before Inter
state Commerce Commission With
Alternative Plan to the Proposed
Boost In Freight Rates - In
troduces Expert Testimony From
Managers Of "Model Plants"
Washington, Nov 22. - Scientific
management" of railroads is the
means that Louis ID. Brandels Of
Boston suggested to the carriers for
meeting increased expenses due to
advanced wages. higher cost of ma.
terial and improvements. Mr. Bran
deis, who was speaking before the
interstate commerce commission on
behalf of the shippers. contended
that there will be no necessity for
increased freight rates If the rail
road officials will only give this kind
of management a trial He declared
the saving 10 the railroads of the
100000 per day if their operation
were based on this system.
In opening his statement for the
shippers Mr. Brande!s said that the
contentious of the railroads were
substantially: That greater act in
come is necessary I'm order thai res.
ent dividends may be maintained o.
be increased; that certain additions
and improvements are nece ssary;
that the need OF greater Income
arises from the fact that the ratio of
the operating expenses to gross oper-
ating revenues has risen mainly by
recent advances in wages. Mr. Bran.
dels said the shippers took ISSUE
with the carriers.
Even if the railroads do neu1 ad-
ditional net income" said he "lt
should be secured through greater eff
ficiency and economy of operation in
stead of resOrting to the dangerous
expedient of raising freight rates"
Mr. BrandeIs referred to the state
ments made by President McCrea OF
the Pennsylvania and President Will
lard of the B. & o. as declarations
of despair, involving a vicious circle
Of ever-increasing freight rates and
everincreasing cost of living
Continuing Mr.. Brandeis said "As
an alternative to the practice of
combining to raise rates and hence
to increase prices, we offer coopera-
tion to reduce costs and hence to
lower prices. This can be done
through the introduction of cientifc
management, resulting in greater ef-
ficiency and greater economy III oper-
alton In so saying we offer / con.
structive policy of management, not
personal criticism of these to whom
the management of railroads is not
intrusted. This greater efficiency in
operation which will follow the intro
duction into railroads OF scientific
management must result in eCono-
mics which will far more than com
pensate for all recent or expected in.
creases in wages and other ex-
penses."
M. Brandeis said that through ex.
perts and otherwise the shippers
would show how scientific manage
ment when applied to the single OPP
Grafton of leading a car with dig iron
increased the performance of tire in
dividual worker from 12h to AZ
tons; when applied to coal shoveling,
1t doubled or trebled the performance
OF the shoyeler.
"And finally" said Mr.. Brmdeis,
1--WE propose to show the huge field
for the application of scientific man
agement in American railroad opera
tion and the rich fruit in economies
and improved service which NAV be
expected to result, economies which
have been estimated as aggresqting
in amount more than a million dol
lars a day"
Mr.. Brandeis called to the witness
stand the officers of two model
plants" and both toEd the commits
sion In detail how they got things
done in a scientific manner. II. X.
Hathaway vice president of the Ia
ber Manufacturing company of Phlla.
delphia, was one OF the experts, and
James Mapes Dodge, chairman OF
the board of directors OF the Link
Belt company, was the other.