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Show 'public is pleased with the frankness of tho companies and BympathrSc with their difficulties. Pergonal In-Jury In-Jury settlements are no heavier U anything arc lighter under this policy1 pol-icy1 " KRUTTSCHNITT TELLS OF SYSTEM SUCCESS. Salt Lake. May 27,-At a meeting of the New York Railroad club, held in New York City May 21. Julius Krutt-Bchnitt, Krutt-Bchnitt, director of maintenance and operation of the Harriman line told of the "Harriman way'- of dolng things. Mr. Kruttschnltt read a paper pa-per describing in detail the operating Organization of the Union Pacllic and Southern Pacific systems. Ho said in part: "In reconstructing tho Union Pacific to make it not simply a good line, but the best that could be built from the Missouri river to the Salt Lake valley, val-ley, and later In making the Southern raclfic the best lino that, could bo built from the Salt Lake valley to tho Pacific coast. Mr. Harriman was a pioneer. In designing an organization organiza-tion to meet the extraordinary conditions con-ditions then confronting these great systems he was likewise a pioneer. "Mt Harriman solved his problem or organlatlon by the creation of two unique positions, of traffic director and director of maintenance and operation locatedinadpolnlng offices in Chicago, end both reporting to himself as president presi-dent In Now York. To these two staff officers, each within his defined sphere Df.duty, he delegated the administrative administra-tive control and supervision of the Atlantic steamship lines and of all completely owned rail lines save thoso In Texas, where the law requires a lo-ral lo-ral vice president to report directly s to the president. 1 "Mr. Harriman Is a firm believer in team work, and in turning over the management of the properties to his iwo co-ordinate representatives In Chi-rago Chi-rago with the injunction that, on them rested the responsibility for net re- suits, ho struck the keynote of the entire organlatlon. From tho Chicago office down to the division offices, the traffic officers co-operate as loyally to secure low operating results as the operating officers do to promoto business busi-ness and secure new traffic. "The management of the properties Is vested in seven operating vice presidents, pres-idents, each of whom with his corps of assistants is working out solutions of problems on his linos, which aro common to all. A study of seven solutions solu-tions of the samo problem must necessarily neces-sarily demonstrate that one of the solutions so-lutions is tho best." - Mr. Kruttschnltt said that the general gen-eral superintendent, the superintendent superintend-ent of motive power, the chief engineers engi-neers and signal engineers met in semiannual conference to work out details for standard practices and uniform devices. He continued: "It must not bo understood that the standards aro so inflexibly maintained as to check Improvement and initiative.. initia-tive.. Every officer and employe concerned con-cerned knows that suggestions and criticisms are welcome, but as soon as proof can be offered that a new device de-vice or practice is better than the old its adoption quickly follows. Our plan requiring all officers concerned to vote on the adoption of a new device certainly cer-tainly curbs cosily and ill-considered experiments. "A weekly report of crop conditions in contiguous territory is made by the Chicago office for the Information of tho president and the board of directors. direc-tors. The primary data, showing conditions con-ditions and prospects, orlglnato with the station agent after consultation with the farmers and other local persons. per-sons. ' After final consolidating and editing in the Chicago office, the weekly week-ly report of perhaps 2.000 to 3.(.hio words, is ready for New York. A much brleger telegraphic report Is made showing traffic possibilities as reflected reflect-ed by tho condition of staple crops. "Each general v manager receives current issues of practically all newspapers news-papers and periodicals published in his territory. A competent person iu his offico.after careful scrutiny of editorial edi-torial and other matters," tabulates and compiles a record showing the general gen-eral attitude toward railways and other corporations, of each publication. publica-tion. Twice a month each general manager telegraphs the director or maintenance and operation a brief synopsis of public sentiment reflected in the press, showing number of publications pub-lications examined, percentage favorable, favor-able, neutral and antagonistic, quoting quot-ing criticisms, complaints and expressions expres-sions of special interest, and commenting com-menting upon the general trend of opinion as voiced from political and commercial centers. . The Chicago office of-fice briefs and consolidates these reports re-ports for telegraphic transmission to New York. These reports are of great benefit in detecting causes of friction and enabling the application of prompt corrective measures." ' Mr. Kruttschnltt said that the regular regu-lar reports were supplemented by spe-slal spe-slal telegrams covering items or incidents inci-dents of more than usual importance or significance, and that in addition numerous newspaper clippings were currently forwarded by mail through the Chicago office. He added: "The equipment of the associated lines ls pooled. The Harriman treight car pool Is not unlike those or the Pennsylvania and tho New York Central. Cen-tral. When the principle is extended to the pooling of car pools, the car efficiency ef-ficiency and traffic capacity of American Ameri-can railways will be appreciably Increased. In-creased. The 6amo methods that brought about a reduction of 54,000,- 000 miles movement of empty cars in the two years after their inauguration would make a proportionate reduction of 447,000,000 annually on tho rall-j rall-j roads of the United States. "The policy of the Harriman lines i Is to be frank with the public in company com-pany matters. When a serious accident acci-dent occurs an open board of inquiry is promptly convened by the division superintendent, consisting of himself, the master mechanic, the division engineer en-gineer nnd two or more prominent representative citlens. This board, a high class jury, hears eldence and publishes its findings in the local press. Not Infrequently a newspaper mm is a member of the board. If this board does net get to the bottom of facts, a second is convened, composed com-posed of general officials and or prominent prom-inent citizens of tho state; for example, exam-ple, an ex-governor, a well known DanKer, a leading editor, a retired general gen-eral officer of the army, etc. This policy pol-icy has greatly Improved discipline snd educated public sentiment. Tho men are eager to avoid the public cen-euro cen-euro of their fellow citizens. The |