Assuming the desirability for more frequent payments, the day, the trip, the piece, would seem the best unit. Railroads have comparatively few credit lists. The ability to force patrons to pay cash is a business asset, and should give us the benefits of a cash basis. Our present system of payments is slow and cumbrous. In our desire to guard every avenue to fraud we have gone too far and retarded administration. The bonding company gives us a check which should enable us, under a proper system of inspection, to have the timekeeper practically the paymaster. I confess that I have not yet been able to work out all the details to my own satisfaction. I have gone far enough, however, to be convinced that there are men in our business bright enough to solve the problem. When given proper attention it will be found that for the same or less expense we can pay daily, improve the service and render a better account of our stewardship to the stockholders.
An agent remits daily. Why not let him turn in as cash a receipt or a deduction to cover his own pay? If he can do this, it is an easy step to accept as cash the time slips of his force, of the operators and sectionmen at his station. The time slips of shopmen, roundhousemen, yardmen, trainmen, enginemen, etc., when countersigned by the proper chief clerk, should become cash at a certain designated agency or local bank. It might be found practicable to use a form of time slip similar to a postal note or a street car transfer which could be punched and then authenticated with a stamp. An advantage of this would be that these original data would be available for tabulation in electrical integrating machines in the auditor's office. The plan followed in compiling statistics would be similar to that in use for many years in the census office in Washington.
Such a system of payment presupposes fewer checking clerks but more traveling auditors and inspectors. It does things first and talks about them afterward. It is predicated upon the belief that checks and balances must begin to work nearer the foundation, that true centralization of results demands a full measure of local autonomy.
Affectionately, your own
D. A. D.
LETTER XXI.
MILITARY ORGANIZATION.
August 7, 1904.
My Dear Boy:—While in Washington last week I dropped in to see some old cronies at the War Department. The iconoclasts have been at work there, too, with gratifying results. The military secretary's office has superseded the former adjutant-general's department. Under the new dispensation every letter must receive definite action, not a mere acknowledgment, the very day of its receipt; every telegram must be answered within two hours. An emergency request came in for some equipment for a militia encampment. In three hours the Philadelphia clothing depot acknowledged the order, reported loading and shipment, and advised that bill of lading had been mailed. This means better supply, less suffering, more effective movements when real war comes. It means a saving in blood and treasure.
We of the railroads are inclined to scoff at the slowness of government methods. Are we doing as well as the rejuvenated War Department? Of course, when there is a wreck, a washout, a fire, we do some great stunts. Day in and day out we are sadly lacking in promptness with our telegrams and our letters. The pulse of business is so quick that these delays cost us money. The remedy is simple. Get the departments in line. A diplomatic censor with rank enough, say, that of assistant to the president, should be able to show even the highest officials where they are falling down, where they are duplicating work, where their telegrams have no business on the company's wires, where their letters are too lengthy, where their offices are lame. The departments on a railroad correspond to the bureaux of the War Department.
The Spanish war showed the weakness of the departmental system under modern conditions. It has been corrected by the creation by Congress of a general staff, with a chief of staff, usually a general officer detailed from the line, who, as next in rank to the Secretary of War, controls all departments, thus insuring unity of action. He has help enough to enable the general staff to give attention to details. The president of a railroad is often too busy and seldom has assistance enough to hold his departments in check. They do not always maintain a proper proportion to each other. If he appoints a committee to consider a question, the tendency is for such committee to leave the transportation part to its transportation man, the mechanical question to the mechanical member and the traffic problem to the traffic representative. The results of such work are likely to be narrow or one-sided. Each member should consider every phase of the matter and not minimize his own versatility. Remember that the layman may discover a radical inconsistency in professional practice. Give each man due weight in his specialty, but do not let him be absolute. A minority report from a committee should always be welcome as affording more information for the parent body or the appointing power. A little careful consideration, a little lively debate on a committee report, may be a healthy check.