This brings us to another phase of the problem. Frequently a railroad as a plant is adequate to manufacture more transportation than it can sell. The other fellow is getting too much of the competitive business. Investigation often shows that railroad solicitors can sell a shipper no freight or passenger transportation, because his salesman receives no orders from the railroad's purchasing agent. The industrial bureau of a traffic department works to create new business which is fostered by discriminating freight rates. Yes, I stand up and use the word "discriminating," because, when properly understood, it implies intelligence and science, and is therefore one of the finest words in the language. This good work of the traffic department in creating wealth and developing industrial communities in territory local to a particular road may be largely lost to that road because its purchasing agent, consciously or unconsciously, fails to exercise proper and legitimate discrimination in the performance of his important function.

At first blush, in these days of doubting insinuation and hysterical aspersion, when a railway official is often denied the presumption of possessing common honesty, when the burden of proof is to show him as having average rectitude, such a statement may be construed by distorted minds as a plea for subtle forms of rebating. Tenuous as may seem the line here between right and wrong, it can in a given case be readily determined. Too often apparent complexities are only the result of an abstruse contemplation of abstract possibilities. Give honest, fearless, practical treatment to each concrete case as it arises, indulge more in inductive reasoning which predicates laws upon facts, not facts upon laws, and complexity gives way to common sense. Transportation is the most exacting, the most diversified, the most far-reaching of commercial and industrial activities. It follows then, under the law of the survival of the fittest, that those who can survive in the art and science of transportation must be the fittest of the fit. In their hands can safely be left the solution of these difficult problems.

After three years of satisfactory experience with division accounting bureaus, the Harriman Lines have extended such activities to include the division stores. This is done by moving the division storekeeper, his accounting and correspondence clerks, to the division superintendent's office in order that division records may be consolidated in one file and division accounts in one bureau. A division material-on-hand account is included. The necessary issue clerks, foremen, etc., are left at the storehouse, which is often a mile or two from the superintendent's office. Another avowed object is to get the division supply people closer to the train sheet, to give propinquity a chance to develop love, and to counteract that we-are-so-different feeling which comes on many railroads, not only in the spring, but under all signs of the zodiac. The logical development on divisions of considerable volume of supply business will be to make the division storekeeper an assistant superintendent. This method of store accounting is relatively closer to real transactions, especially where the division supply train is used, than might be supposed. On the Hill lines, the store accounting is done in the general auditor's office, perhaps one or two thousand miles from the store itself, a decidedly long range proposition. Which policy is better is of course a question of opinion. A man's views on organization and methods are largely a matter of temperament and association, just as his politics and religion depend usually upon heredity and environment.

Affectionately, your own,

D. A. D.

LETTER XVII.
CORRESPONDENCE AND EXPLANATIONS.

Portland, Ore., July 29, 1911.

My Dear Boy:—The man who is successful in the exercise of authority soon learns to be something of a buffer between his superiors and his subordinates. He learns to temper justice with mercy. In this little railroad game of ours there has often been an unconscious departure from this rule of conduct. The word "why" should ask for an increased overtime rate in its next working schedule. Somebody at the top is peeved because a train comes in late. He asks the next man below, "Why?" Down goes the inquiry through the baskets of offices whose files contain the desired information, because it is so much easier to write another man a letter than to dig up one of our own. The final inquiry is to a man who has already rendered one report or explanation. It would be a pretty poor sort of recording angel that would register against this underling the more or less justifiable profanity in which he then indulges.

Up in this part of the country, where they do some mighty good railroading, is a big hearted general officer, who once, during a blizzard, directed his superintendents to order train and engine crews to disregard block signals forced out of commission by the elements. A section foreman went out to change a rail with the traditional one man who could not flag both ways. So the section foreman, with the rail out, relied upon the [automatic] block signal for protection. Along came the train with orders to disregard the signal—and the engine landed in the ditch. There was some official talk of discharging the section foreman. The big general officer faced the music and said, in effect, that if any enforced vacancies were to occur he himself must be the man. "Furthermore," he added, "we have learned something; if we are ever again tempted to disregard block signals, we will first notify everybody on the railroad, including the section foremen." Such manliness is the rule rather than the exception among railroad officers. It is a practical kind of honesty which counts in the great art of handling men.

The lesson to be drawn is that we should all be just as honest and considerate for the man below in the conduct of our offices as in the face to face contact of outside activities. The first thought of an official and of his chief of staff should be to avoid humiliating a subordinate. A letter demanding an explanation accumulates much momentum of censure while traveling, perhaps from the general offices, through the channels to an agent, a yardmaster, a conductor, or a foreman. The tendency of each office is to unbottle a little more of a never-failing supply of suppressed indignation. By the time the return explanations and apologies have trekked back across the plains to the starting point, the whole incident is often as much ancient history as the days of '49.