Latest / SECRETS OF SUCCESS & WEALTH: Hidden Laws of Money, Power & Success / CHARLES M. SCHWAB — SUCCEEDING WITH WHAT YOU HAVE: Timeless Principles of Success, Leadership & Personal Achievement

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CHARLES M. SCHWAB — SUCCEEDING WITH WHAT YOU HAVE: Timeless Principles of Success, Leadership & Personal Achievement · SECRETS OF SUCCESS & WEALTH: Hidden Laws of Money, Power & Success

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Speaker 1: Succeeding with what you have. By Charles M. Schwab. Chapter 1,
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Speaker 1: Thinking Beyond Your Job. When old Captain Bill Jones, perhaps
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Speaker 1: the greatest leader of men the steel business has ever known,
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Speaker 1: had charge of the Braddock plant for Mr. Carnegie, a
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Speaker 1: call came for a specially capable young man to handle
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Speaker 1: an important piece of engineering at Scotia. Captain Bill knew men.
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Speaker 1: He picked high-grade assistants with marvelous surety. Which one of
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Speaker 1: your draftsmen shall we send up to Scotia? He asked
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Speaker 1: a superintendent. Why, any of them will fill the bill, Captain.
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Speaker 1: But there must be one more capable than the others,
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Speaker 1: commented Captain Bill, who is he? I don't know, and
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Speaker 1: the superintendent shook his head, they are all bright, hustling youngsters.
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Speaker 1: Captain Bill stood and thought as his keen eyes ran
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Speaker 1: down the red lines of furnaces. At last he said.
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Speaker 1: Tell every man to stick on the job until seven o'clock.
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Speaker 1: I'll pick out Scotia's chief for you. The order was
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Speaker 1: a surprise. It was the slack season when the draftsmen
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Speaker 1: were not pressed to get through their work in regular hours.
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Speaker 1: But they all kept on cheerfully. As seven o'clock drew
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Speaker 1: near Captain Bill noticed that the men kept looking up
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Speaker 1: to see how much more time they had to put in.
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Speaker 1: All save one. Over in the corner a young man
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Speaker 1: was so absorbed that he seemed to have forgotten there
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Speaker 1: was a clock in the room. When the hour finally
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Speaker 1: came the others hustled for their coats and hats. This
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Speaker 1: chap was still bending over his desk. He was the
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Speaker 1: man whom Captain Bill sent up to Scotia. One hardly
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Speaker 1: needs to add that later he became a most valued engineer,
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Speaker 1: a high-salaried man. For 36 years I have been moving
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Speaker 1: among workingmen in what is now the biggest branch of
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Speaker 1: American industry, the steel business. In that time it has
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Speaker 1: been my good fortune to watch most of the present
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Speaker 1: leaders rise from the ranks, ascend step by step to
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Speaker 1: places of power. These men, I am convinced, are not
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Speaker 1: natural prodigies. They won out by using normal brains to
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Speaker 1: think beyond their manifest daily duty. American industry is spilling
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Speaker 1: over with men who started life even with the leaders,
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Speaker 1: with brains just as big, with hands quite as capable.
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Speaker 1: And yet one man emerges from the mass, rises sheer
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Speaker 1: above his fellows, and the rest remain. The men who
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Speaker 1: miss success have two general alibis, I'm not a genius,
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Speaker 1: is one. The other, there aren't the opportunities today there
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Speaker 1: used to be. Neither excuse holds. The first is beside
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Speaker 1: the point, the second is altogether wrong. The thing that
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Speaker 1: most people call, genius, I do not believe in. That is,
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Speaker 1: I am sure that few successful men are so-called, natural geniuses.
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Speaker 1: There is not a man in power at our Bethlehem
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Speaker 1: Steel Works today who did not begin at the bottom
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Speaker 1: and work his way up, round by round, simply by
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Speaker 1: using his head and his hands a little more freely
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Speaker 1: and a little more effectively than the men beside him.
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Speaker 1: Eugene Grace, president of Bethlehem, worked in the yard when
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Speaker 1: I first knew him. Mr. Snyder was a stenographer, Mr.
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Speaker 1: Matthews a draftsman. The fifteen men in direct charge of
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Speaker 1: the plants were selected not because of some startling stroke
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Speaker 1: of genius but because, day in and day out, they
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Speaker 1: were doing little unusual things, thinking beyond their jobs. When
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Speaker 1: I took over the Bethlehem works I decided to train
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Speaker 1: up its managers as Mr. Carnegie trained his boys. So
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Speaker 1: I watched the men who were already there, and picked
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Speaker 1: out a dozen. This selection took months. Then I set
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Speaker 1: out to build an organization in which we should be
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Speaker 1: bound together in harmony and kindly cooperation. I encouraged my
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Speaker 1: managers to study iron and steel, markets and men. I
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Speaker 1: gave them all small salaries, but instituted a system whereby
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Speaker 1: each man would share directly in the profits for which
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Speaker 1: he himself was responsible. Every one of those boys came through.
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Speaker 1: They are wealthy men today, all are directors of the company,
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Speaker 1: some are directors of the corporation. Most talk about super
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Speaker 1: geniuses is nonsense. I have found that when stars drop out,
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Speaker 1: successors are usually at hand to fill their places, and
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Speaker 1: the successors are merely men who have learned by application
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Speaker 1: and self-discipline to get full production from an average, normal brain.
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Speaker 1: The inventor, the man with a unique, specialized talent, is
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Speaker 1: the only real super genius. But he is so rare
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Speaker 1: that he needs no consideration here. I have always felt
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Speaker 1: that the surest way to qualify for the job just
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Speaker 1: ahead is to work a little harder than anyone else
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Speaker 1: on the job one is holding down. One of the
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Speaker 1: most successful men I have known never carried a watch
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Speaker 1: until he began to earn $ 10, 000 a year. Before that
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Speaker 1: he had managed with a nickel alarm clock in his bedroom,
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Speaker 1: which he never forgot to wind. Young men may enjoy
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Speaker 1: dropping their work at 5 or 6 o'clock and slipping
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Speaker 1: into a dress suit for an evening of pleasure. But
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Speaker 1: the habit has certain drawbacks. I happen to know several
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Speaker 1: able-bodied gentlemen who got it so completely that now they
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Speaker 1: are spending all their time, days as well as evenings,
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Speaker 1: in dress suits, serving food in fashionable restaurants to men
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Speaker 1: who did not get the dress suit habit until somewhat
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Speaker 1: later in life. Recently we have heard much about investments.
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Speaker 1: To my mind, The best investment a young man starting
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Speaker 1: out in business can possibly make is to give all
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Speaker 1: his time, all his energies, to work. Just plain, hard work.
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Speaker 1: After a man's position is assured, he can indulge in
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Speaker 1: pleasure if he wishes. He will have lost nothing by waiting,
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Speaker 1: and gained much. He will have made money enough really
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Speaker 1: to afford to spend some, and he will know that
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Speaker 1: he has done his duty by himself and by the world.
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Speaker 1: The man who has done his best has done everything.
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Speaker 1: The man who has done less than his best has
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Speaker 1: done nothing. Nothing is more fatal to success than taking
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Speaker 1: one's job as a matter of course. If more persons
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Speaker 1: would get so enthused over their day's work that someone
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Speaker 1: would have to remind them to go out to lunch
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Speaker 1: there would be more happiness in the world and less indigestion.
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Speaker 1: If you must be a glutton, be a glutton for work.
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Speaker 1: A trained ear can do tremendous business in the obstruction line.
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Speaker 1: Sometimes it listens so intently for the toot of the
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Speaker 1: quitting whistle that it quite loses the sense of spoken orders.
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Speaker 1: I have yet to hear an instance where misfortune hit
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Speaker 1: a man because he worked overtime. I know lots of
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Speaker 1: instances where it hit men who did not. Misfortune has
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Speaker 1: many cloaks. Much more serious than physical injury is the slow,
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Speaker 1: relentless blight that brings standstill, lack of advancement, final failure.
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Speaker 1: The man who fails to give fair service during the
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Speaker 1: hours for which he is paid is dishonest. The man
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Speaker 1: who is not willing to give more than this is foolish.
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Speaker 1: In the modern business world, pull is losing its power.
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Speaker 1: Soft snaps have been sponged off the slate. In most
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Speaker 1: big companies a thousand stockholders stand guard over the cashier's window,
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Speaker 1: where formerly there were ten. The president's son starts at scratch.
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Speaker 1: Achievement is the only test. The fellow who does the
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Speaker 1: most is going to get the most pay, provided he
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Speaker 1: shows equal intelligence. Captains of industry are not hunting money.
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Speaker 1: America is heavy with it. They are seeking brains, specialized brains,
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Speaker 1: and faithful, loyal service. Brains are needed to carry out
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Speaker 1: the plans of those who furnish the capital. The man
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Speaker 1: who attracts attention is the man who is thinking all
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Speaker 1: the time and expressing himself in little ways. It is
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Speaker 1: not the man who tries to dazzle his employer by
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Speaker 1: doing the theatrical, the spectacular. The man who attempts this
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Speaker 1: is bound to fail. Chapter 2 How Men Are Appraised
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Speaker 1: When I took charge of the Carnegie works at Homestead
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Speaker 1: there was a young chap employed there as water boy.
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Speaker 1: A little later he became a clerk. I had a
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Speaker 1: habit of going over the works at unusual hours to
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Speaker 1: see how everything was moving. I noticed that no matter
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Speaker 1: what time I came around I would find the former
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Speaker 1: water boy hard at work. I never learned when he slept. Now,
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Speaker 1: there seemed to be nothing remarkable about this fellow except
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Speaker 1: his industry. The only way in which he attracted attention
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Speaker 1: was by working longer hours and getting better results than
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Speaker 1: anyone else. It was not long before we needed an
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Speaker 1: assistant superintendent. The ex-water boy got the job. When we
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Speaker 1: established our great armor plate department there was not the
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Speaker 1: slightest difference of opinion among the partners as to who
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Speaker 1: should be manager. It was the youth with the penchant
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Speaker 1: for overtime service. Today that ex-water boy, Alva C. Dinky,
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Speaker 1: is head of a great steel company, and very wealthy.
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Speaker 1: His rise was predicated on his willingness to work as
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Speaker 1: long as there was any work to be done. If
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Speaker 1: a young man entering industry were to ask me for advice,
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Speaker 1: I would say, Don't be afraid of imperiling your health
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Speaker 1: by giving a few extra hours to the company that
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Speaker 1: pays your salary. Don't be reluctant about putting on overalls.
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Speaker 1: Bare hands grip success better than kid gloves. Be thorough
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Speaker 1: in all things, no matter how small or distasteful. The
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Speaker 1: man who counts his hours and kicks about his salary
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Speaker 1: is a self-elected failure. It may be in seemingly unimportant
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Speaker 1: things that a man expresses his passion for perfection, yet
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Speaker 1: they will count heavily in the long run. When you
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Speaker 1: go into your customary barber shop, you will wait for
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Speaker 1: the man who gives you a little better shave, a
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Speaker 1: little trimmer haircut. Business leaders are looking for the same
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Speaker 1: things in their offices that you look for in the
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Speaker 1: barber shop. The real test of business greatness is in
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Speaker 1: giving opportunity to others. Many businessmen fail in this because
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Speaker 1: they are thinking only of personal glory. Several years ago
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Speaker 1: I was in conference with a New York banker when
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Speaker 1: a newsboy entered the room to deliver a paper. After
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Speaker 1: the boy had left the banker said to me, For
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Speaker 1: two years that boy has been bringing me papers every weekday.
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Speaker 1: He comes exactly at the time I told him to come,
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Speaker 1: three o'clock. He sells me a paper for just one cent,
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Speaker 1: and neither asks nor expects more. Now a boy who
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Speaker 1: will attend to his business in that fashion has got
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Speaker 1: the right kind of stuff in him. He doesn't know
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Speaker 1: it yet, but I'm going to put him in my bank,
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Speaker 1: and you may be sure he will be heard from.
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Speaker 1: Andrew Carnegie first attracted attention by using his head to
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Speaker 1: think with. It was when he was a telegraph operator
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Speaker 1: on the Pennsylvania Railroad under Colonel Thomas H. Scott. One
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Speaker 1: morning a series of wrecks tangled up the line. Colonel
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Speaker 1: Scott was absent and young Carnegie could not locate him.
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Speaker 1: Things looked bad. Right then Carnegie disregarded one of the
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Speaker 1: road's strictest rules and sent out a dozen telegrams signed
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Speaker 1: with Colonel Scott's name, giving orders that would clear the blockade.
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Speaker 1: Young man, said the superintendent a few hours later, do
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Speaker 1: you realize that you have broken this company's rules? Well, Mr. Scott,
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Speaker 1: aren't your tracks clear and your trains running? Asked the
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Speaker 1: young telegrapher. Colonel Scott's punishment was to make Carnegie his
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Speaker 1: private secretary. A few years later, when the colonel retired
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Speaker 1: from office, he was succeeded by the former telegrapher, then
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Speaker 1: only 28 years old. There is a young man in
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Speaker 1: Bethlehem whom I expect to move up. This is the reason,
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Speaker 1: last winter there was an agitation at Washington which, if successful,
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Speaker 1: would have smashed American shipping and wounded American business. We
11:56
Speaker 1: wanted to lay the matter before the President in its
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Speaker 1: real significance. While we were pondering over ways to accomplish
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Speaker 1: this we got a message from the young man I
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Speaker 1: have mentioned, saying he had seen the President, that the
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Speaker 1: President understood the situation and had come to agree with us.
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Speaker 1: I wired for this young man to come on to Bethlehem.
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Speaker 1: I wanted to see him. He had initiative, he had
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Speaker 1: been thinking, he had arranged an interview with the president unprompted.
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Speaker 1: In short, he was just the type of man that
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Speaker 1: gladdens the heart of every employer. Not long ago a
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Speaker 1: man was promoted in our works. How did you happen
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Speaker 1: to advance this fellow? I asked his boss. Well, he explained,
12:38
Speaker 1: I noticed that when the day shift went off duty
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Speaker 1: and the night shift came on, this man stayed on
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Speaker 1: the job until he had talked over the day's problems
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Speaker 1: with his successor. That's why. I used to have a
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Speaker 1: school friend in Philadelphia who had always impressed me as
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Speaker 1: a forward-looking chap. So I was mightily surprised when he
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Speaker 1: went into the manufacture of smoking pipes, his father's business.
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Speaker 1: It seemed to me like a blind alley choice. To
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Speaker 1: my surprise, this fellow made an astonishing success. When I
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Speaker 1: met him, several years later, I asked how he had
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Speaker 1: done it. Well, he said, I found that ever so
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Speaker 1: many people were making smoking pipes, all doing it in
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Speaker 1: about the same way. If I wanted to make any
13:22
Speaker 1: dent I had to do something different. I pondered ways
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Speaker 1: and means. Finally, I decided that instead of having the
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Speaker 1: stem run into the bottom of the bow, I would
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Speaker 1: raise it to the top, making it more sanitary, as
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Speaker 1: well as novel. The idea caught on at once, it
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Speaker 1: has made me hundreds of thousands of dollars. All I
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Speaker 1: did was climb out of the rut into which other
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Speaker 1: manufacturers had slumped. A man will succeed in anything about
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Speaker 1: which he has real enthusiasm, in which he is genuinely interested,
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Speaker 1: provided that he will take more thought about his job
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Speaker 1: than the men working with him. The fellow who sits
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Speaker 1: still and does what he is told will never be
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Speaker 1: told to do big things. Jimmy Ward, one of our
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Speaker 1: vice presidents, used to be a stenographer. But he kept
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Speaker 1: doing things out of his regular line of duty. He
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Speaker 1: reminded me of appointments and suggested little things that helped
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Speaker 1: me get through my work. He was thinking beyond his job,
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Speaker 1: so I gave him a better one. And he has
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Speaker 1: gone up and up. Chapter 3, Seizing Your Opportunities Eugene
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Speaker 1: Grace is a striking example of what may be accomplished
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Speaker 1: by the man with his eyes fixed further than his
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Speaker 1: pay envelope. Grace's ability to outthink his job, coupled with
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Speaker 1: his sterling integrity, lifted him to the presidency of our corporation.
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Speaker 1: Eight years ago he was switching engines in the yards
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Speaker 1: at Bethlehem. Last year he earned more than a million dollars,
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Speaker 1: and I predict that before long he will be perhaps
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Speaker 1: the biggest man in industrial America. Even in the humble
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Speaker 1: job of switching engines Grace made himself felt, there is
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Speaker 1: no job too commonplace to express the individuality of an
15:01
Speaker 1: uncommon man. So he was put to operating an electric crane.
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Speaker 1: Then he passed to the open-heart department, at $ 15 a week.
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Speaker 1: I watched the fellow, I saw that he was seething
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Speaker 1: with the stuff of which big men are built. He
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Speaker 1: was not strong physically, but that body housed a dynamo
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Speaker 1: of enthusiasm. He was made yard foreman, then yard superintendent.
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Speaker 1: When we wanted to reorganize the Jaragua iron mines in Cuba,
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Speaker 1: Grace got the job. His success was so solid that
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Speaker 1: on his return he was made assistant superintendent to the
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Speaker 1: general manager who had charge of building the $ 20 million
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Speaker 1: Saucon plant at South Bethlehem. Soon he became general superintendent and,
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Speaker 1: only a year later, general manager. It is a pleasure
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Speaker 1: to do business with Grace. His splendid enthusiasm goes hand
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Speaker 1: in hand with absolute integrity. If he makes a statement
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Speaker 1: you can bet a million on it. You know he
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Speaker 1: is right. This integrity has gone far toward winning him
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Speaker 1: the position he holds today. Integrity, incidentally, is one of
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Speaker 1: the mightiest factors in salesmanship. If you have a reputation
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Speaker 1: for stating facts exactly, for never attempting to gain momentary
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Speaker 1: advantage through exaggeration, you possess the basis of all successful salesmanship.
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Speaker 1: Next to integrity comes personality. That indefinable charm that gives
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Speaker 1: to men what perfume gives to flowers. Many of us
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Speaker 1: think of salesmen as people traveling around with sample kits. Instead,
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Speaker 1: we are all salesmen, every day of our lives. We
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Speaker 1: are selling our ideas, our plans, our energies, our enthusiasm,
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Speaker 1: to those with whom we come in contact. Thus, the
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Speaker 1: man of genial presence is bound to accomplish much more,
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Speaker 1: under similar conditions, than the man without it. If you
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Speaker 1: have personality, cherish it, if you have not, cultivate it.
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Speaker 1: For personality can be cultivated, although the task is not easy.
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Speaker 1: Nothing is so plentiful in America as opportunity. There are
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Speaker 1: more jobs for forceful men than there are forceful men
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Speaker 1: to fill them. Whenever the question comes up of buying
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Speaker 1: new works we never consider whether we can make the
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Speaker 1: works pay. That is a foregone conclusion if we can
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Speaker 1: get the right man to manage them. All successful employers
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Speaker 1: of labor are stalking men who will do the unusual,
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Speaker 1: men who think, men who attract attention by performing more
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Speaker 1: than is expected of them. These men have no difficulty
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Speaker 1: in making their worth felt. They stand out above their
17:38
Speaker 1: fellows until their superiors cannot fail to see them. Winnie, D. Mixell,
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Speaker 1: one of our vice presidents, died a few months ago,
17:48
Speaker 1: everyone knew instinctively that his place would be taken by
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Speaker 1: a man named Lewis, an assistant in the auditing department, making, perhaps,
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Speaker 1: $ 200 a month. Both Mr. Grace and I picked him
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Speaker 1: out before either had consulted the other. He simply stood
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Speaker 1: out head and shoulders above everyone else. It is a
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Speaker 1: grave mistake to think that all the great American fortunes
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Speaker 1: have been made. That all the country's resources have been developed.
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Speaker 1: Men make opportunity. Every great industrial achievement has been the
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Speaker 1: result of individual effort, the practical development of a dream
18:23
Speaker 1: in the mind of an individual. I know a young
18:26
Speaker 1: New York fellow who has built himself a big business.
18:30
Speaker 1: He used to be a poorly paid clerk in a
18:32
Speaker 1: department store. One rainy day, when customers were few, the
18:36
Speaker 1: clerks had gathered in a bunch to discuss baseball. A
18:40
Speaker 1: woman came into the store wet and disheveled. The baseball
18:44
Speaker 1: fans did not disband, but this young fellow stepped out
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Speaker 1: of the circle and walked over to the woman. What
18:50
Speaker 1: can I show you, madam? he asked, smiling. She told him.
18:56
Speaker 1: He got the article promptly, laid it out before her,
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Speaker 1: and explained its merits courteously and intelligently. In short, he
19:04
Speaker 1: treated the woman just as his employer would have treated
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Speaker 1: her under similar circumstances. When the woman left she asked
19:11
Speaker 1: for his card. Later the firm received a letter from
19:15
Speaker 1: a woman ordering complete furnishings for a great estate in Scotland.
19:19
Speaker 1: I want one of your men, Mr Schwab, she wrote,
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Speaker 1: to supervise the furnishing, personally. The name she mentioned was
19:27
Speaker 1: that of the clerk who had been courteous that rainy day. But, madam,
19:31
Speaker 1: said the head of the firm, a few days later,
19:33
Speaker 1: this man is our youngest and most inexperienced clerk. Now,
19:38
Speaker 1: hadn't we better send Mr., I want this young man,
19:41
Speaker 1: and no other, broke in the woman. Large orders impose
19:45
Speaker 1: their own conditions. So our courteous young clerk was sent
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Speaker 1: a the Atlantic to direct the furnishing of a great
19:52
Speaker 1: Scotch palace. His customer that rainy day had been Mrs.
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Speaker 1: Andrew Carnegie. The estate was Skibbo Castle. Chapter 4 The
20:02
Speaker 1: College Man in Business The relation of higher education to
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Speaker 1: industry always has interested me. Several years ago I spoke
20:10
Speaker 1: to a little group of New York boys from the
20:12
Speaker 1: east side on the subject of business success. These youngsters
20:17
Speaker 1: were spending their evenings in hard study after working all
20:19
Speaker 1: day for a living, a splendid indication that they had
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Speaker 1: the right stuff in them. I told these boys that
20:26
Speaker 1: if they kept to their course they stood as good
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Speaker 1: a chance of success as any boys in the world,
20:30
Speaker 1: a better chance, in fact, than many boys entering college
20:34
Speaker 1: at their age instead of stepping out into the world
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Speaker 1: of practical affairs. The higher education for which these boys
20:40
Speaker 1: were giving up three or four of their best years,
20:43
Speaker 1: I said, holds no advantage of itself in the coming
20:46
Speaker 1: business battle. It will be valueless industrially unless it is
20:50
Speaker 1: accompanied by a capacity for plain, hard work, for concentration,
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Speaker 1: for clear thinking. These qualities are not learned in textbooks.
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Speaker 1: To my utter surprise, the newspapers the next day quoted
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Speaker 1: me as being opposed to a college education, indeed, to
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Speaker 1: education in any form. They declared that I despised learning
21:10
Speaker 1: and believed the time spent in getting it was wasted.
21:14
Speaker 1: This false impression has had a long life. Even today
21:18
Speaker 1: it crops up occasionally. I am not against a college education.
21:23
Speaker 1: I have never been. Whatever may have been true in
21:26
Speaker 1: the past, there is no doubt that today industrial conditions
21:30
Speaker 1: favor the college man. Old crudities are disappearing, science is
21:34
Speaker 1: dethroning chance. Business is conducted on so vast a scale
21:39
Speaker 1: that the broadening effects of higher education, gained through proper application,
21:43
Speaker 1: write a large figure. But the college man who thinks
21:47
Speaker 1: that his greater learning gives him the privilege of working
21:50
Speaker 1: less hard than the man without such an education is
21:52
Speaker 1: going to wake up in disaster. I regret that some
21:55
Speaker 1: college men enter industry with an inflated notion of their
21:58
Speaker 1: own value. They want to capitalize at once their education
22:03
Speaker 1: and the time they spent getting it. They feel it
22:06
Speaker 1: is unfair to begin at the bottom, on the same
22:08
Speaker 1: basis with a boy of 17 or 18 who has
22:11
Speaker 1: never been to college. A college man, entering industry, is
22:16
Speaker 1: worth no more to his employer than a common school
22:18
Speaker 1: or high school boy, unless he happens to be taking
22:21
Speaker 1: up some position in which higher education is directly applied.
22:25
Speaker 1: Even then he has to adjust himself. Neither knowledge of
22:29
Speaker 1: the classics nor mathematical proficiency can be converted overnight into
22:33
Speaker 1: a marketable commodity. Higher education has its chance later, when
22:37
Speaker 1: the college boy has mastered all the minor details of
22:40
Speaker 1: the business. Then, if he went to college with serious purpose,
22:45
Speaker 1: and studied hard and systematically, he has the advantage of
22:48
Speaker 1: a thoroughly trained mind to tackle larger problems, a mind
22:52
Speaker 1: which should be broader and more flexible because of its
22:54
Speaker 1: greater powers of imagination and logical reasoning. Real success is
22:59
Speaker 1: won only by hard, honest, persistent toil. Unless a young
23:03
Speaker 1: man gets accustomed to that in school he is going
23:05
Speaker 1: to have a very hard time getting accustomed to it outside.
23:09
Speaker 1: The chap who goes to college only because it suits
23:12
Speaker 1: his parents to send him, and who drifts dreamily through
23:15
Speaker 1: his classes, gets a disagreeable jolt when he lands a
23:18
Speaker 1: job outside with a salary attached to it. Furthermore, if
23:22
Speaker 1: the college man thinks that his education gives him a
23:24
Speaker 1: higher social status, he is riding for a fall. Some
23:28
Speaker 1: college men, too, not the average ones, fortunately, have a
23:33
Speaker 1: pride in their mental attainments that is almost arrogance. Employers
23:37
Speaker 1: find it difficult to control, guide and train such men.
23:41
Speaker 1: Their spirit of superiority bars the path of progress. Most
23:46
Speaker 1: college men are free from this false pride. But occasionally
23:50
Speaker 1: employers come in contact with one who has it, and
23:53
Speaker 1: judge all college men by him. In business we buy
23:57
Speaker 1: by sample. and sometimes the wrong sort of sample from
24:00
Speaker 1: an institution of higher learning makes an employer feel as
24:03
Speaker 1: Robert Hall felt when he wrote of Kippies that, he
24:05
Speaker 1: might be a very clever man by nature, for aught
24:08
Speaker 1: I know, but he laid so many books on top
24:10
Speaker 1: of his head that his brains could not move. While
24:14
Speaker 1: I have no sympathy with this occasional prejudice against college men,
24:17
Speaker 1: yet I have found frequently that the very fact of
24:20
Speaker 1: having been denied a higher education works in favor of
24:22
Speaker 1: the common school boy. He has to labor after hours
24:26
Speaker 1: for his education, nights and holidays he has hammered at
24:29
Speaker 1: the forge of ambition. Success is built on such habits.
24:34
Speaker 1: College men are likely to think their evenings are meant
24:37
Speaker 1: for music, society, the theater, rather than for study that
24:41
Speaker 1: will add to their business knowledge. For some college men
24:44
Speaker 1: it is a hard descent from the heights of theory
24:46
Speaker 1: to the planes of everyday facts and common sense. Sometimes
24:51
Speaker 1: years of book learning come to grief before a problem
24:53
Speaker 1: that is disposed of out of hand by men whose
24:55
Speaker 1: wits have been ground to an edge by practical everyday experience.
24:59
Speaker 1: Thomas A. Edison, who never saw the inside of a
25:04
Speaker 1: college as a student, once had in his laboratory a
25:07
Speaker 1: man fresh from one of our great universities, where he
25:09
Speaker 1: had been graduated at the head of his class. Soon
25:13
Speaker 1: this young bachelor of arts met much that upset his
25:15
Speaker 1: pet theories. But he would not readjust these theories. When
25:20
Speaker 1: things were done contrary to rules laid down in the books,
25:23
Speaker 1: he looked on with indulgence. One day Mr. Edison unscrewed
25:28
Speaker 1: from its socket an incandescent electric light bulb. Find the
25:32
Speaker 1: cubic contents of this, he said to the college graduate.
25:36
Speaker 1: To work out the problem by mathematical rote was about
25:39
Speaker 1: as difficult as squaring the circle. But the college student
25:42
Speaker 1: went at it boldly. Reams of paper were figured and
25:46
Speaker 1: disfigured by his energetic pencil during the next few days.
25:50
Speaker 1: Finally he brought to Mr. Edison the result of his calculations.
25:54
Speaker 1: You're at least 10% out of the way, said the inventor.
25:58
Speaker 1: The graduate, sublimely confident, disputed this. All right, said Edison calmly.
26:06
Speaker 1: Let's find out. The graduate took out his pencil, ready
26:10
Speaker 1: for another siege at mathematics, but the inventor quietly picked
26:13
Speaker 1: up a small hammer and knocked the tip off the
26:15
Speaker 1: blown end of the bulb. Then he filled the bulb
26:19
Speaker 1: with water, weighed it, and in about a minute had
26:21
Speaker 1: arrived absolutely at the result. It showed that the complex
26:25
Speaker 1: mathematical calculations of the college man were at least 10%
26:29
Speaker 1: out of the way. Fortunately, the lesson went home, and
26:33
Speaker 1: afterward the star student became an excellent practical electrician. Chapter
26:38
Speaker 1: 5 What Your Employer Expects Bethlehem's biggest asset is not
26:43
Speaker 1: its rolling mill plants, its gun shops, its armor works,
26:47
Speaker 1: its rail mills, it is the men who make up
26:49
Speaker 1: its enthusiastic organization. For more than 30 years I have
26:53
Speaker 1: been superintending the manufacture of steel, and I can say
26:56
Speaker 1: that my men at Bethlehem are the most energetic, competent
26:59
Speaker 1: and lovable young men with whom I have ever worked.
27:03
Speaker 1: To no small extent the success of Bethlehem has been
27:05
Speaker 1: built up by our profit-sharing system. But coupled with this
27:10
Speaker 1: individual incentive to extra effort is a core loyalty, a
27:13
Speaker 1: friendly rivalry, without which no great business can reach the
27:16
Speaker 1: maximum of production. I love to appeal to the American
27:20
Speaker 1: spirit of conquest in my men, the spirit of doing
27:23
Speaker 1: things better than anyone has ever done them before. There
27:26
Speaker 1: is nothing to which men respond more quickly. Once when
27:30
Speaker 1: I was with Mr. Carnegie I had a mill manager
27:33
Speaker 1: who was finely educated, thoroughly capable and master of every
27:36
Speaker 1: detail of the business. But he seemed unable to inspire
27:40
Speaker 1: his men to do their best. How is it that
27:43
Speaker 1: a man as able as you, I asked him one day,
27:46
Speaker 1: cannot make this mill turn out what it should? I
27:49
Speaker 1: don't know, he replied, I have coaxed the men, I
27:53
Speaker 1: have pushed them, I have sworn at them. I have
27:56
Speaker 1: done everything in my power. Yet they will not produce.
28:00
Speaker 1: It was near the end of the day, in a
28:02
Speaker 1: few minutes the night force would come on duty. I
28:06
Speaker 1: turned to a workman who was standing beside one of
28:08
Speaker 1: the red-mouthed furnaces and asked him for a piece of chalk.
28:12
Speaker 1: How many heats has your shift made today? I queried. Six,
28:18
Speaker 1: he replied. I chalked a big six on the floor
28:22
Speaker 1: and then passed along without another word. When the night
28:25
Speaker 1: shift came in they saw the six and asked about it.
28:29
Speaker 1: The big boss was in here today, said the day men.
28:33
Speaker 1: He asked us how many heats we had made, and
28:35
Speaker 1: we told him six. He chalked it down. The next
28:40
Speaker 1: morning I passed through the same mill. I saw that
28:44
Speaker 1: the six had been rubbed out and a big seven
28:46
Speaker 1: written instead. The night shift had announced itself. That night
28:52
Speaker 1: I went back. The seven had been erased, and the
28:55
Speaker 1: ten swaggered in its place. The day force recognized no superiors.
29:02
Speaker 1: Thus a fine competition was started, and it went on
29:04
Speaker 1: until this mill, formerly the poorest producer, was turning out
29:08
Speaker 1: more than any other mill in the plant. The Bethlehem
29:12
Speaker 1: profit-sharing system is based on my belief that every man
29:15
Speaker 1: should get exactly what he makes himself worth. This is
29:18
Speaker 1: the only plan I know of which is equally fair
29:21
Speaker 1: to the employers and every class of employee. Someday, I hope,
29:25
Speaker 1: all labor troubles will be solved by such a system.
29:29
Speaker 1: Chapter 6, My 20,000 Partners I am not a believer
29:34
Speaker 1: in large salaries. I hold that every man should be
29:37
Speaker 1: paid for personal production. Our big men at Bethlehem seldom
29:42
Speaker 1: get salaries of over $ 100 a week, but all of
29:45
Speaker 1: them receive bonuses, computed entirely on the efficiencies and the
29:49
Speaker 1: economies registered in their departments. Approximately 80% of the 22,000
29:54
Speaker 1: men in our plants at Bethlehem come under the operation
29:57
Speaker 1: of the system. The only ones not included are certain
30:01
Speaker 1: kinds of day laborers, whose work is of such a
30:03
Speaker 1: nature that it does not fall readily into the scheme,
30:06
Speaker 1: and the men in a few special or too complex departments.
30:10
Speaker 1: Take the case of a mechanic, he is given a
30:12
Speaker 1: certain piece of work, and he knows that the allotted
30:15
Speaker 1: time for doing this work is, say, twenty hours. Perhaps
30:19
Speaker 1: he has a regular wage of forty cents an hour,
30:22
Speaker 1: irrespective of his production. If he finishes the job in
30:26
Speaker 1: the allotted 20 hours, he gets a bonus of 20%,
30:30
Speaker 1: bringing his total pay for the work up to $ 9. 60.
30:34
Speaker 1: But if he does the work in 12 hours, he
30:36
Speaker 1: still receives the $ 9. 60 and is ready forthwith to tackle
30:41
Speaker 1: another piece of work. In other words, the man gets
30:45
Speaker 1: bonus pay for the job on the basis of the
30:47
Speaker 1: entire schedule time, regardless of the actual time it takes
30:50
Speaker 1: him to do it. Any shortcuts a man may devise
30:54
Speaker 1: or any unusual energy he may show are thus capitalized
30:57
Speaker 1: into profit for him. With this stimulus, our men are
31:01
Speaker 1: always giving their best efforts to their work, and the
31:04
Speaker 1: result has been that the production per man in some
31:06
Speaker 1: departments has more than doubled since the plan was put
31:09
Speaker 1: into effect. We have complete schedules of time and bonus
31:13
Speaker 1: rates for many kinds of common labor, and our statistics
31:16
Speaker 1: show that such labor has been averaging nearly 40%. Above
31:20
Speaker 1: the regular rate per hour Such jobs as wheeling a
31:24
Speaker 1: wheelbarrow or handling a shovel have been put under the
31:27
Speaker 1: profit-sharing system. There are some departments in which the work
31:31
Speaker 1: is of such a nature that time enters very slightly
31:33
Speaker 1: into calculation, in open hearth work or treating of armor plate,
31:37
Speaker 1: for example. Here we are more concerned with the quality
31:41
Speaker 1: of the work than with the quantity turned out in
31:43
Speaker 1: a given time. In these cases we give a bonus
31:46
Speaker 1: for quality, basing our computations on tests of the steel.
31:51
Speaker 1: If we had the regular system in operation here, workmen
31:54
Speaker 1: might be tempted to hurry their work and a lot
31:56
Speaker 1: of steel would have to be thrown out. In still
31:59
Speaker 1: other departments we give bonuses for efficiencies. If a man
32:04
Speaker 1: handles his machine so that the item of repair is
32:06
Speaker 1: very low or if he gets equal results with less
32:09
Speaker 1: than the regular amount of fuel, he is paid accordingly.
32:13
Speaker 1: We try to take into calculation every element that depends
32:16
Speaker 1: on the initiative or originality or energy. or manual dexterity
32:20
Speaker 1: of a worker. In many departments we use $ 1 as
32:24
Speaker 1: a unit cost standard. The manager or superintendent gets 1%
32:29
Speaker 1: of the reduction down to 95 cents, 2% of the
32:32
Speaker 1: total from 95 cents to 90 cents, 3% of the
32:36
Speaker 1: total from 90 cents to 85 cents, and so on.
32:40
Speaker 1: This holds out every inducement for economy and efficiency. We
32:45
Speaker 1: say to the superintendent of blast furnaces, for example, This
32:50
Speaker 1: is your normal operation cost, the amount we charge up.
32:54
Speaker 1: Everything you save from this standard cost you will share,
32:57
Speaker 1: and the more money you make the more money we
32:59
Speaker 1: will make, and the better satisfied everybody will be. If Mr. Grace,
33:04
Speaker 1: the president of Bethlehem, who made a million dollars last year,
33:07
Speaker 1: were working on a salary, he would have been very
33:09
Speaker 1: well paid if he had got thirty or forty thousand dollars.
33:13
Speaker 1: But I am delighted to see him make a million.
33:17
Speaker 1: If he had made two millions the corporation would have
33:19
Speaker 1: made that much more. We have to have a very
33:22
Speaker 1: elaborate and very costly statistical department to carry out the system,
33:26
Speaker 1: but it pays for itself a hundred times over. There
33:30
Speaker 1: is at Bethlehem a minimum wage below which no man's
33:32
Speaker 1: salary shall fall. But most of what each worker earns
33:36
Speaker 1: is made up of bonuses. We find that if a
33:39
Speaker 1: man has not ambition enough to earn bonuses he is
33:42
Speaker 1: not likely to remain with us long. I am very
33:46
Speaker 1: happy to know that my Bethlehem employees are the best
33:49
Speaker 1: paid body of men in the steel industry in America.
33:52
Speaker 1: Last year, from superintendents to boys, they averaged $ 990 a piece.
33:58
Speaker 1: Systems of general profit sharing have certain disadvantages from which
34:02
Speaker 1: ours is free. One disadvantage is that the lazy man
34:06
Speaker 1: shares the reward of the smart man's work. General systems
34:10
Speaker 1: give employees uniformly bigger wages in times of general prosperity
34:14
Speaker 1: and furnish a good excuse to reduce wages at other times.
34:18
Speaker 1: My system, I believe, can be fitted to any branch
34:21
Speaker 1: of industry. A banker once told me that there was
34:25
Speaker 1: no way in which it could be worked out for banks.
34:28
Speaker 1: I told him I thought there was a way. And
34:31
Speaker 1: to prove it I devised a system which has been
34:33
Speaker 1: put into successful operation in a dozen banks. Profit sharing
34:37
Speaker 1: works well almost anywhere. I use it in my own home.
34:42
Speaker 1: Not long ago the expenses of running my New York
34:45
Speaker 1: house got exorbitant. I called in the steward and said
34:48
Speaker 1: to him, George, I want to strike a bargain with you.
34:53
Speaker 1: I will give you 10% of the first thousand dollars
34:56
Speaker 1: you save in house expenses, 25% of the second thousand,
35:00
Speaker 1: and one half of the third thousand. The expense of
35:03
Speaker 1: operating the house was cut in two. Men are pretty
35:07
Speaker 1: keen judges of their employers. You cannot make workmen think
35:11
Speaker 1: you are interested in them unless you really are. They
35:14
Speaker 1: realize at once whether your interest is real or assumed.
35:19
Speaker 1: The man who gets the loyalty of his employees is
35:21
Speaker 1: the man who has, first of all, a reputation for
35:25
Speaker 1: fair dealing. Men gauge fair dealing quickly and respond to it.
35:30
Speaker 1: There has never been so much sentiment in business, so
35:33
Speaker 1: close a spirit of cooperation between employers and men, as
35:36
Speaker 1: there is today. It is time for Americans to realize
35:40
Speaker 1: the falseness of the cry that we are a nation
35:42
Speaker 1: of money grabbers. The difference between us and other nations
35:47
Speaker 1: is that we know how to earn money, while they,
35:49
Speaker 1: in the main, know how to save it. The sordid,
35:53
Speaker 1: hoarding miser, who makes every sacrifice to accumulate, is so
35:57
Speaker 1: scarce with us as to cut no figure, while abroad
35:59
Speaker 1: he is everywhere. Chapter 7 Men I Have Worked With
36:04
Speaker 1: Whenever problems of managing men come to my mind I
36:07
Speaker 1: think of my old master, Captain W. R. Jones, the
36:11
Speaker 1: man who, Henry Bessemer said, knew more about steel than
36:14
Speaker 1: any other man in America. Old Captain Bill started in
36:18
Speaker 1: at Johnstown as a monkey wrench mechanic back in 1874
36:22
Speaker 1: or 1875, and then went with Mr. Carnegie to Braddock, Mr.
36:26
Speaker 1: Carnegie's first steel venture. He was manager of the Braddock
36:31
Speaker 1: Works when I entered the steel business under him in 1880,
36:34
Speaker 1: and I have never felt a deeper and more lasting
36:36
Speaker 1: affection for any man than I had for old Captain Bill. Uneducated, unpolished, outspoken,
36:43
Speaker 1: old Captain Bill was one of the most magnificent leaders
36:45
Speaker 1: of men America has ever produced. Everybody who worked for
36:49
Speaker 1: him idolized him, and this idolatry made it possible for
36:52
Speaker 1: him to break all previous records in steel production. Captain
36:57
Speaker 1: Bill could never understand the chemistry of the steel business,
37:00
Speaker 1: which was just then beginning to reform the old hit
37:03
Speaker 1: or miss programs. I remember very well the first time
37:06
Speaker 1: the Pennsylvania Railroad specified that the rails we furnished should
37:10
Speaker 1: be of a certain chemical composition. This alarmed the old captain.
37:15
Speaker 1: He had never heard such names as carbon and manganese. Charlie,
37:19
Speaker 1: he said to me one day, this damn chemistry is
37:22
Speaker 1: going to ruin the steel business yet. In those days,
37:26
Speaker 1: of course, the steel business was in its infancy. Our
37:30
Speaker 1: expansion since then has passed belief. In 1880 the whole
37:35
Speaker 1: country produced less than a million tons of steel. In
37:38
Speaker 1: 1890 the amount had risen to 5 million tons, in
37:42
Speaker 1: 1900 about 13 millions, in 1910 over 20 millions, and
37:46
Speaker 1: this year we shall produce over 40 million tons of
37:49
Speaker 1: steel in America. Once I wrote to Mr. Carnegie about
37:54
Speaker 1: a rail mill which we had designed at Braddock, and
37:57
Speaker 1: announced enthusiastically that when the mill was completed it would
38:00
Speaker 1: roll over a thousand tons of rails a day. I
38:03
Speaker 1: see no objection to the amount of money you want
38:05
Speaker 1: to spend, Mr. Carnegie wrote back, but I want to
38:08
Speaker 1: exact one promise from you, that you will never tell
38:11
Speaker 1: anyone we were foolish enough to suppose that this country
38:14
Speaker 1: would ever require a mill to make 1000 tons of
38:16
Speaker 1: rails a day. Now, think of us, after this short time,
38:21
Speaker 1: making from 12,000 to 15,000 tons of steel rails a day.
38:26
Speaker 1: In 1886 it fell to my lot to roll the
38:29
Speaker 1: first steel girder that ever went into a skyscraper. At
38:32
Speaker 1: that time the business promised little. But today more than
38:36
Speaker 1: 5 million tons of steel are used annually for buildings.
38:40
Speaker 1: In 1901 I built the first steel railway car, now
38:44
Speaker 1: more than 5 million tons of steel a year are
38:46
Speaker 1: used for that purpose. Old Captain Bill Jones was a
38:50
Speaker 1: man of many original notions. For instance, he would never
38:55
Speaker 1: take the partnership that Mr. Carnegie offered him repeatedly. He
38:59
Speaker 1: said he didn't want the men to think he was
39:01
Speaker 1: sharing the profits of the company. After trying in vain
39:04
Speaker 1: to change his manager's mind, Mr. Carnegie declared that he
39:07
Speaker 1: would always pay Captain Bill as much as the President
39:10
Speaker 1: of the United States was getting. And he always did.
39:14
Speaker 1: The Captain, I remember, used to characterize Mr. Carnegie as
39:19
Speaker 1: a wasp that came buzzing around to stir up everybody.
39:23
Speaker 1: One hot day in early summer, Mr. Carnegie sought out
39:26
Speaker 1: Jones in the works. Captain, he said, I'm awfully sorry
39:30
Speaker 1: to leave you in the midst of hot metals here,
39:33
Speaker 1: but I must go to Europe. I can't stand the
39:36
Speaker 1: sultry summer in this country. You have no idea, Captain,
39:40
Speaker 1: when I get on the ship and get out of
39:42
Speaker 1: sight of land, what a relief it is to me. No, Andy,
39:46
Speaker 1: flashed the captain, and you have no idea what a
39:49
Speaker 1: relief it is to me, either. On one occasion I
39:52
Speaker 1: was talking with Herbert Spencer, Mr. Gladstone, and Mr. Carnegie
39:56
Speaker 1: in England. Each of us was supposed to contribute something
40:00
Speaker 1: entertaining to the conversation, and for a while I was
40:03
Speaker 1: rather puzzled to know what to say that would interest
40:05
Speaker 1: these famous men. Finally, I decided I would tell them
40:09
Speaker 1: some stories about the old captain, and I told them many.
40:13
Speaker 1: One of the things I prize most is a letter
40:15
Speaker 1: from Mr. Spencer recalling those stories. While my mind is
40:19
Speaker 1: running back over those first days of the steel business,
40:22
Speaker 1: I think of William Borntrager, who did much for rolling
40:25
Speaker 1: mill development. While on a vacation William fell in love
40:29
Speaker 1: with a handsome, rather stout German girl. When he came
40:33
Speaker 1: back he told Mr. Carnegie that he wanted another vacation,
40:36
Speaker 1: so that he could get married. Mr. Carnegie was delighted.
40:40
Speaker 1: Tell me about the fortunate lady, he asked, is she
40:43
Speaker 1: tall and slender and willowy? Well, no, Mr. Carnegie, replied Bontrager. Indeed,
40:51
Speaker 1: if I had had the rolling of her, I think
40:53
Speaker 1: I would have given her a few more passes. Mr.
40:57
Speaker 1: Carnegie was the first big American businessman to inaugurate a
41:00
Speaker 1: real profit-sharing system. He was the epitomization of unselfishness. Perhaps
41:06
Speaker 1: the way in which Mr. Carnegie differed from many employers
41:09
Speaker 1: could be illustrated by calling up the picture of two
41:11
Speaker 1: boys about to feast. One says, I have a nice pie.
41:16
Speaker 1: Come and watch me eat it. The other says, I
41:20
Speaker 1: have a nice pie. Come, let's eat it. Mr. Carnegie's
41:26
Speaker 1: personality would enthuse anybody who worked for him. He had
41:30
Speaker 1: the broad views of a really big man. He was
41:33
Speaker 1: not bothered with the finicky little things that trouble so
41:36
Speaker 1: many people. When he made me manager, Mr. Carnegie said, Now, boy,
41:42
Speaker 1: you will see a good many things which you mustn't notice.
41:46
Speaker 1: Don't blame your men for trivial faults. If you do
41:49
Speaker 1: you will dishearten them. When I want to find fault
41:52
Speaker 1: with my men I say nothing when I go through
41:54
Speaker 1: their departments. If I were satisfied I would praise them.
41:59
Speaker 1: My silence hurts them more than anything else in the world,
42:02
Speaker 1: and it doesn't give offense. It makes them think and
42:05
Speaker 1: work harder. Many men fail because they do not see
42:09
Speaker 1: the importance of being kind and courteous to the men
42:12
Speaker 1: under them. Kindness to everybody always pays for itself. And, besides,
42:18
Speaker 1: it is a pleasure to be kind. I have seen
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Speaker 1: men lose important positions, or their reputations, which are more
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Speaker 1: important than any position. by little careless discourtesies to men
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Speaker 1: whom they did not think it was worthwhile to be
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Speaker 1: kind to. Chapter 8, Woman's Part in Man's Success There
42:37
Speaker 1: are a good many things to be considered in selecting
42:40
Speaker 1: men for important positions. One of the things that I
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Speaker 1: always take into account is their family relations. If a
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Speaker 1: man's wife takes the part of a discreet helper or
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Speaker 1: co-director with him, he is that much the more valuable
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Speaker 1: to us. It is a common enough saying that it
42:56
Speaker 1: is harder to save money than to earn it. The
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Speaker 1: women of the United States have more to learn about
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Speaker 1: their husband's money than the men have to learn about
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Speaker 1: getting it. That is, men are getting more out of
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Speaker 1: their earning capacities than their wives are getting out of
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Speaker 1: managing the money which their husbands provide them. I can
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Speaker 1: never express the wonderful help Mrs. Schwab has been to
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Speaker 1: me from the very start. Not long ago a group
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Speaker 1: of men offered me a large sum, sixty million dollars,
43:23
Speaker 1: I believe, for half of Bethlehem. I told my wife
43:27
Speaker 1: about it that evening. This is a big sum, I said.
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Speaker 1: Half of what I have is yours. What shall we do?
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Speaker 1: If we sell, your share, invested at 5%, will bring
43:40
Speaker 1: you an income of over $ 100, 000 a month for the
43:43
Speaker 1: rest of your life. We wouldn't sell for five times that,
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Speaker 1: my wife said. What would I do with the money?
43:51
Speaker 1: And what would you do without your work? I have
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Speaker 1: seen more men fail in business through the attitude taken
43:57
Speaker 1: by their wives in their younger days than from all
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Speaker 1: the vices put together. A nagging wife, or one who
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Speaker 1: is not in sympathy with a man's work, who expects
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Speaker 1: impossible things of him, and is incapable of taking a
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Speaker 1: general intelligent interest in his work, is one of the
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Speaker 1: worst handicaps he could have. If a man works with
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Speaker 1: his mind clogged by domestic troubles he is of no
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Speaker 1: use to himself, his employer, or the world at large.
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Speaker 1: I don't suppose that a wife, ordinarily, should try to
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Speaker 1: tell a man how to conduct his business, but she
44:28
Speaker 1: should be interested in it, and it will pay him
44:30
Speaker 1: to keep her educated about it. I believe in people
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Speaker 1: marrying young, for a happy married life is one of
44:36
Speaker 1: the best inspirations a man can have. The question of
44:39
Speaker 1: recreation is being considered more in modern business than ever before.
44:44
Speaker 1: All men need periods of relaxation, changes of environment, mental rest.
44:50
Speaker 1: I never care how long a vacation any of my
44:52
Speaker 1: managers takes, provided that he has his end of the
44:55
Speaker 1: business up to the general level at the time he leaves,
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Speaker 1: and so energized and systematized that it will stay there
45:00
Speaker 1: while he is away. Travel broadens a man, if he
45:04
Speaker 1: keeps his eyes open. And he is sure to see
45:07
Speaker 1: many things which will help him in business. In Europe,
45:11
Speaker 1: several years ago, I went through some steel plants in Austria.
45:15
Speaker 1: Later I was talking with Emperor Francis Joseph. What can
45:20
Speaker 1: you find in our small and comparatively unproductive establishments to
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Speaker 1: interest you, asked the emperor, when you have such large,
45:26
Speaker 1: splendid steel plants in America? At least, your majesty, I replied,
45:32
Speaker 1: I can see what to avoid. Some of those nations
45:35
Speaker 1: across the Atlantic have very definite divisions of aristocracy. Men
45:40
Speaker 1: in whose veins flows tidal blood are vested with the
45:43
Speaker 1: right to sit in high places. I have always believed
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Speaker 1: that the aristocracy of any country should be the men
45:49
Speaker 1: who have succeeded, the men who have aided in up-building
45:52
Speaker 1: their country, the men who have contributed to the efficiency
45:55
Speaker 1: and happiness of their fellow men. If America is to
45:59
Speaker 1: have an aristocracy, let it be so build it. And
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Speaker 1: our future will be safe. The End