INDUSTRIAL MANAGEMENT

a science which has developed with the growth of large-scale industry. Formerly the manufacturer set up his manufacturing plant under his personal management and sold his goods on the open market, the result being largely a matter of chance, With increased output, personal supervision became le po ible on the part of the individual owner, and scientific system became as imperative as in the administration of a state or municipality. There thus developed the ‘efficiency engineer,’ whose busine it is to serve the large busine enterprise in @ consultative capacity, making periodical surveys of the busine organization as an accountant examines the books. The science is divided into four main phases: (1) finance; (2) production; (3) selling; and (4) personnel, the latter being the human and most uncertain element. The first and second elements belong more properly to banking and applied science, and it is therefore that 6 marketing of goods and the personnel of the organization concern the efficiency engineer more deeply. The first, selling, has develo into a specialty involving @ profound knowledge of the distributive proce es of the economic system, as well as the psychology of the purchasing public, including that important aspect of it, advertising. In this latter fleld large, separately, taking full charge of this phase of their busine for many large corporations. Here the study of organs for publicity is conducted with the same intensive effort that the geologist studies rock formations. The other chief aspect of selling is salesmanship, which is usually carried on by each manufacturing corporation directly, but under the supervision,of experts commanding large salaries. ' Art, or the personal equation, enters into this phase of the administration, rather science, since it is the personality of the salesman which counts. The head of the sales force, therefore, requires a profound knowledge of human character, not only in picking out the best salesmen, but in choosing the proper raw material from which qualified salesmen may be trained. It is in the fourth phase of Industrial Management, personnel, that the efficiency engineer has the widest scope for the exercise of his profe ion. This phase may again be divided into two aspects; the psychology of the workers, from the office boy up to the factory foreman; and the arrangement of their labor to the highest point of economy. In the employment bureau of the large corpora at i on which has adopted the up-to-date methods of industrial management, applicants for positions are subjected to long series of psychological tests, from which it is po ible, first, to judge whether the applicant is fitted for the work, and, secondly, for what kind of work in the establishment he is most fitted. Studies are also made of the many you sands of movements made on the part of the workers, with the object of eliminating unnece ary effort. This latter phase has at times been carried to such extreme as to defeat its own object, the workers themselves reacting against the system. Another contributing element is the initiation of welfare work among the employees of large establishments, for the psychological effect it has on the efficiency of their labor.