Evening star., 1943-03-17

ago t1aL DON &SS*UH#%$ S$azl
ald Nelson had David Lawrence,
had made a grave mistake in dis
missing Ferdinand Eberstadt-th
man who had brought the controlled
materials plan to fruition-and that.
BY removal of the people who un-
derStood the plan, a crisis would be
forthcoming.
The latest development is a let
ter 10 Charles E Wilson, vice chair
man of the WPB. from the prinCi-
pal autOmotive manufacturers.
copies of which have been sent to
500 defenSe-plant companies and
news Of which became known to-
day.
In that letter which is signed
by executives of the Borg Warner
Corp. General Motors, Ford, Chrvs-
Ter. Houdaille- Hershey. Clark EQUIP
ment. Spicer Manufacturing Corp,
Federal Mogul Corp, Vinco Corp,
Eaton Manufacturing Co. and the
Studebaker Corp.-the prediction is
made that. unless the operating
practices Of the Controlled Mate
rails Plan are brought into har-
mony with the plan, there will oe
serious difficulties.
We believe" say the signers of
the letter that continuation of
such practices will seriously up
set second and third quarter pro-
duction and undermine industrial
confidence in and cooperation with
the CNP program"
Four Serious Situations.
The letter goes to disclose that
A telegraphic survey Of the au-
tomotiye industry this week re-
veals the prevalence Of four serious
situations:
l. Lack Of balance between au-
thorized schedules and quantities
Of materials allotted for these end
product schedules,
2. Split preference ratings issued
with allotments
3 A1lOtments delayed bevond
practical time limits for placing
delivery orders for the second quar-
ter.
4. AllOtments being received fer
only the second quarter whereas the /
rest of 1943 and even the first
quarter Of 1914 are needed now for |
items of long time procurement.
1T is obvious from these replies"
saws the communication, that most |
of the plants of the industry will !
find 1t impossible, without major and /
immediate adjustments in allot- !
ments and ratings. to complete the |.
second quarter schedules
I'VE appreciate that the officials |
responsible for CMP in WPB and |
the Claimant Agencies are aware Of !
these general problems but may not
realize their widespread effects. We
want TO emphasize the acuteness of ,
present difficulties and the necessity
for immediate corrective measures.
In addition to these immediate
problems Of GIMP operation, the
committee, rejecting the experiences
and opinions Of the automOtive in
duStry. has definite views on the
need for further basic improvements
to make CMP procedures work effec-
lively"
Conference Called.
The immediate result Of the send
ing Of the letter was the calling of
q conference for THURSDAY of this
week by Mr.. Wilson to learn what
the automotive industrvs slgges-
tons are and to give them con-
EderatiOn.
II should not be inferred that the
auto industry was in sympathy with
Mr.. FberstadtS views. On the con-
trary, the CMP plan was promul-
gated by him over the protests of
some Of the automobile executives
but IN line with the desires of the
representatives Of the War and NAVY
Departments Mr.. Eberstadt had
faculty however, Of getting the
claimant agencies to work together
but In the MIDST Of the critical days
Of the operation Of the CMP plan.
Mr.. Nelson removed HIM and then
there were other organizational
changes in the course of which some
important key men resigned.
The CMP plan is difficult and
complicated idea and seeks to en-
force discipline in the use Of ma
terialS which large manufacturers
have n some extent. criticised as
Impractical The auto men are
furnishing evidence of p ScrIou,
breakdown IN the operation Of the
plan They think control Of ma
terla'e is fmdamentalIv sound bur
they want some method, changed
Mr Wilson is face 70 face now
WITH 4 major crisis that should
never have been permitted to arise
and the consequences OF 1t Will be
apparent in slowed down production
unless people who understand the
CMP are given authority 70
operate j..
tReproducuons Rights Reserved