Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-02-07
OUTPUT WATCHED
IN CLEVELAND AREA
Cost Cutting to Meet Com
petition Main Concern
at Big Factories.


CLEVELAND, February Indus
trial concerns of this keystone district
are regulating production to demand
with the beautiful accuracy of an air
pilot flying in squadron formation.
They are keeping output just far
enough ahead of consumption so that
they will neither be run down nor
leave their markets behind them. Con-
sequently they are in a position to
take full advantage of the business
improvement which excellent judges
say will come inside the next month.
Since this territory has a most di-
versified line of industries, some have
to move faster than others to keep
ahead of sales. The paint manufac-
turers-and producers of nearly so
per cent of the paint output Of the
country have headquarters here-are
moving at top speed and anticipate
a remarkable year, according to execu-
tives. The slump in automobile man
ufacture which took place earlier did
not weaken their position, since they
anticipated losses there would be made
up in materials for house painting
and refurbishing and in the increased
demand for lacquer enamels
Auto Parts Trade Better.
Specifications to the auto parts
makers have shown decided improve
ment in the last fortnight. Access
sorry men are planning for a year al
most equal to 1926. Millions of dol
lars worth of work on the railroad
terminals, the new produce market,
new Office buildings partly completed
and on pavements and roads remains
to be done in 1927 even If new build
oh ErTI1i oh is
by no means certain or likely.
This territory is located close not
only to the center of population of
the country, but to the center Of pro-
duction, the center of consumption
and the center of markets. 1t is
therefore a nerve center of business,
responsive to impulses given from
widely different directions. Conse-
quently the opinion on the prospect
for the year all over the country, as
expressed today by A. S. Rodgers,
president of the White Sewing Ma
chine Co., is deserving of strict atten-
ton.
1--WE carry 10000 open installment
Diego, Calf, and from Miami to
Seattle" he said. 1--WE will not dis
count a cent of this paper. We will
carry it, and it amounts to over
81 100000, ourselves. We have al
ready increased output and we antici
pate doing a business which will show
as remarkable an advance over 1926
as the latter year did over 1925. l
have just returned from a trip to the
Pacific Coast and found things going
splendidly throughout that section
and the intermountain country, as
well as in the Midwest and East"
Supplies Mail Order House.
The White Co, not only receives
constant reports from it's own dealers
and agents, but supplies one of the
large mail order houses with ma
chimes and feels the reflection of their
trade.
The majority of the industrial plants
in this territory, especially the steel
and automobile concerns and the tex
tile and clothing companies, have one
lesson down SO pat they can repeat
it backwards. That is that with com
petition what it is and the trend of
buying as it stands, profits this year
must be made inside the plant instead
of outside it. They are cutting costs,
not raising prices, and they do not
hesitate to scrap equipment of execu-
tives either If requirements are neces-
sary.
Here is an example. The Industrial
Fibre Co., maker of rayon, has just
installed a new executive head. He
is Hiram Rivitz. Mr.. Rivitz never
has made rayon. His success has
come in the manufacture of plumbing
supplies. But he was known as a
watchdog" on costs, and he was put
in his present job to stop the leaks"
and that is not confined to a jocular
sense either