The Utility Of Efficiency-Records In The Manufacture Of Iron.

(Cleveland Meeting, October, 1912.) Iv taking up this subject it is first necessary to define our terms. Efficiency, in its engineering usage, means the ratio between actual and theoretical results, and efficiency-records thus involve the use of scientifically determined standards with which all results are compared. Scientific management is the methods used in increasing efficiency, and includes the use of efficiency-records. Effeciency-records do not alone constitute scientific management, but they are necessary to it, and any so-called system of management which is not based upon standards and standardization is fundamentally wrong. An efficient management and efficiency-methods in management are not the same thing. There are some people who have an instinctive genius for management and accomplish results without exactly knowing how they do it. Such a manager may obtain a very high efficiency without the aid of scientifically determined standards. On the other hand, it sometimes happens that poor results will accompany the use of efficiency-records, clue to a weak or indifferent management, which fails to make use of the information acquired. Efficiency-records are only a tool, and like other tools are worthless unless used. The ordinary cost, sheet and production-statement do not go far enough. They tell what has been done, but give no information as to how well it has been done. It is true that the man who is familiar with the industry and the plant in question may draw inferences and form a general idea of good work or bad work, but it can only be a very general and hazy idea. Comparisons with previous records or records of other plants are unsatisfactory, since there is nothing to show the cause of the differences.