The Kennewick courier-reporter. [volume] (Kennewick, Wash.) 1914-1938, 1922-10-05
WHAT'S THE MATTER
WITH THE RETAILER,

= Il
Roger Babson proposes con-
structive program.
Wellesley Hills, Mass. Sept. %,
1922.-"Any reduction in the cost
Of living must come thru better
distribution rather than cheaper
production" says Roger w. Bah
son in discussing the business OUT
look.
cts strange how we concentrate
on saving the pennies and let the
dollars slip thru our fingers. The
officials Of every manufacturing |
company in the country are hunt |
ing frantically for new ways to
cut down the cost Of production.
They lie awake nights over q few
cents an hour on labor, or an ex-
ira dollar or two on ton OF Goa,
or any other factor which may at
feet the cost of making this pro-
duct. Once the goods are made
and out of the factory their eff
forts cease. The job OF getting
their product to the ultimate con-
sumner belongs to someone else.
"All Of us have become so en-
crossed with the problem OF cut
ting down the cost Of production
that we have let distribution take
care of itself. We have saved
millions at the bung but we are
losing millions at the spigot. In
the past fifty years the amount OF
goods produced in the United
States has increased probably ten
t;rces over. The number Of work
ers necessary to produce those
goods have increased only about
two and q half times. This means
that. owing to new machinery and
better methods, the average work.
er today is able to turn out ABOUT
four times as much goods IN elgnt
hours as the workers fifty years
ago did in ten or twelve hours. Ale
low for the cost of the machinery,
fnel. etc. and even then you find
the average unit producing cost
todav is less than half of what 1T
used to be. In production we
have made wonderful progress, be-
cause we have given most OF our
thought and effort to it. !,
sSTurn to distribution and we ma
no such progress, in fact, the per-
centape cost Of distribution pro-
hablv has not been reduced at all.
With twice the production per
worker we should expect tnaI tne
wages for days work would buy
as much goods as it used to. II
distribution had been improved as
much as production, days wages
would buy four times as much as
f. did fifty years ago. We Will
know that no such increase has
taken place. In fact, it is debat-
able ii the average family today
= even half again as well off as
it used to be.
"This does not mean that the re-
taller or the jobber or the carrier
are hogging the difference. II
means to a large extent that we
have not developed our tastes sc
ne to get the most for our money
Ia means that we have not educat.
ed the retailer and other distribut.
ors to most efficient methods o.
handling merchandise. IL shor'
we have not made the same pro
gress in distributing goods as WI
have in their actual production. !.
eve have been devoting our Ell
forts to building better factories
to getting q greater output from
labor, to putting out more ant
better goods. -. .
1--WE have done very little to
ward the equally important pro
blem Of getting those goods to TN
intimate consumer. The govern
mont is .pendinp over 500, 600 90
= wear in research to help tn
manufacturers and farmers, bu.
has never even taken census o
the retailers. Hundreds Of me
are employed gathering informa
t;on on the crops. Hundreds NOR
are experimenting in chemical re
search for means Of fighting pest
and blights which destroy crop:
and instructing the farmer IN tnel
use.
tho manufacturer to help him I'm
more efficient methods of produ'
t;on. A complete census OF mani
facturers is taken every NV
wears. which shows the number
Arms in each industry, their pr
Eviction. costs and profits. Thes
things. of course, cost money o,
they are worth it. They a. a
largely responsible for the fa.
that the United States stands nes
and shoulders above any !. o n.
country in the efficiency OF ITS pr
duction. Is there any reason y.
we should not spend at least. least
much to help the Tet dane u,d'i to :
on whom we must oepeno - 8
those goods to use! h,va he,
$50 far most peoP PIE . ornwth
content to point 70 me y s ooerati,
the chain stores .nu ;ndicatiI
selling %ord%s1s q the individ !,
r ree iI but the crying need a;e q :
hour !, ma "a help him: Il I
rs stSods re wrong it i our our M o.
1..s.. and It il up to the IS