INDIVIDUALISM.

Press, Volume LXVIII, Issue 20610, 28 July 1932, Page 10

INDIVIDUALISM.

ITS PLACE IN MODERN INDUSTRY. The following are extracts from an address given by Mr Prank Goldberg, Governing Director of the Goldberg Advertising Agency, Ltd., in Sydney, last week: — Individualism was once defined as the ability to think for oneself and to act in accordance with logic instead of taking the line of least resistance. "Crowd thinking,'' on the other hand, represents the acceptance of the popular ideas of the moment without analysis and without regard to the facts which relate to tlie situation. In my every-day commercial experience, recently I have been astonished at the frequency with which I encounter one of the most popular ideas of the moment —tho belief that although Australia as a nation has turned the corner, businessmen, as individual executives, can do little until our respective Governments develop their plans for reconstruction and unemployment relief. One man says: "I cannot proceed with any expansion plans until I know what the Government is going to do about unemployment." Another states that his company will engage more staff when they are satisfied that public purchasing power has been increased. When they are analysed, it will be seen that all these ideas are purely the result of "crowd thinking." Business managers and leaders meet at lunch and discuss current trading problems. It becomes habitual to criticise Government activity. Tho general opinion is con- | stantly advanced that much has yet to be done before Australia's recovery is an absolute fact. These men return to their offices convinced that the time is not yet ripe for courageous reconstruction effort within their own businesses. They decide to "wait and see." "Wait and see" may have been an excellent plan in political circles, but, 1 have yut to know the commercial undertaking which lias progressed as a result of such a managerial policy. "Wait and see" is not an idea istic of youth and it is youthful, adaptable and energetic minds , that are needed to carry out and complete our national reconstruction. Solution of Problems. The plain fact of the matter is that business men who accept the "wait and see" policy and recommend it, have forgotten to think for themselves and have failed to analyse tlie present situation correctly. It is quite obvious to everybody that much has to be done to solve our existing problems, but this fact does not exempt, any responsible executive from doing his part of tlie work needed to restore national prosperity. When we take the broad view, we must admit, that Australia is in a much better position than many older and, more highly developed nations. Contrast everyday Australian conditions with the chaos now existing in Germany. Compare our problems with the magnitude of those confronting the United States of America. Remember at all times that the whole economic-history of the world tends to prove that primary-producing countries aro the first to recover from trade depression, then . . keeping these factors in mind . . analyse the loeal conditions which affect your business and you will find that there are still many opportunities for individual enterprise and advancement. Individualism lias always been the keynote of outstanding human endeavour. It was individualism which enabled the WrightDbrothers to design a machine that would leave the ground when the crowd said it was flying in the face of Providence. It was individual initiative that brought Sir Charles Kingsford-Smitli safely across the Pacific Ocean when the crowd said he must crash at Suva. It was the individual pioneering of electrical improvements that brought Marconi fame while the great mass of people thought he was attempting tho impossible'. The list of individualistic leaders is almost limitless, and the significant fact is that in practically every instance the decisions of the crowd were ill-founded. And so it is in business. Tho majority believe that they must wait for a paternal Government to restore, as if by magic, the prosperity they enjoyed in 1928-29. The individualistic managers, on the other hand, accept the present situation as it is and plan and strive to win profits from available markets, and these aro the men who are contributing most to national recovery. Enterprising Management Needed. AVho can say that this is a time for inaction nad for restricted enterprise? Who honestly rtnd sincerely can state that there is nothing that can be accomplished to-day—right at this moment? I think every business man will admit that there is not a single commercial enterprise in Australia which could not be made more efficient and more profitable by keener and more enterprising management which would make its force felt in every section of the business. When we get down to essentials, we must realiso that every business represents the practical expression of the ideas of the man at the top. If the mangaging director or tho general manager has the fixed idea that the safest thing to do is to suspend reconstruction plans until there is greater stability in the political sphere, then it is reasonably certain that the other members of tho organisation will not exert themselves to display enterprise and initiative in their ordinary routine work. Thus, the acceptance of the premise that nothing can be done at the moment becomes a poison which very quickly filters through every department of the business and which, if unchecked, can result in the complete failure of the business. The general manager who, ou the other hand, welcomes a period of depressed trade and fierce competition as a time when he can prove his mettle and who enters the fight enthusiastically with a fixed determination to exploit to tho full every opportunity which may present itself to his company, inspires the whole staff and paves the way to commercial leadership. Such a manager is not content to wait for better times to come, but works all day and every day to win the last penny of profit that is available to his company by means of better salesmanship, more effective merchandising, and highly organised manufacture. Managers of this type are needed today as they have never been needed before, and, in spite of the reductions in salaries which have been found necessary in every industry, the rewards are still big enough to make their constant effort well worth while. The Claims of Youth. While speaking on tho need for individualism and optimism in responsible executives, T should like to draw particular attention to the value of employing young men in important positions. Young men have qualities which are needed in reconstruction efforts. They are not daunted by work which lies ahead of them. They like to think for themselves. They do not grow wearv of the struggle, but, with their careers in the making, they are alive to every opportunity, and with their capacity for high pressure work make particularly efficient assistants for the

man at tlie top, who may otherwise become overworked. While, however, I advance the claims of youth in modern business, I want to make it perfectly clear that I am not attempting to decry tho value of the wisdom, the confidence, and the ability which comes with long experience. The perfectly-balanced business is the business which combines the vigour of youth with the stability of established executives, and it is apparent that there are m'any commercial organisations in Australia which have been thrown out of balance with a consequent loss of initiative by too great a preponderance of older men in positions where tliev influence the general policy. As business men so frequently point out the time has come for definite action in political undertakings, but I would venture to say that the need for action is even more imperative in the industrial field. Every company, every commercial organisation should evolve a healthy and vigorous policy of reconstruction and expansion, and, if necessary, engage younger men of high qualifications to help to carry it out. Without an individual policy which makes due allowance for local conditions and markets, and which ignores current Tumours, no company can bo said to be contributing to our national recovery. • The final responsibility lies with the men in the high places of industry. Tf managing directors and general managers are content to await new developments and make little effort to increase employment by fostering new markets, the task of the Government will be made increasingly difficult. In every walk of life, the men who succeed are those who plan their activities and carry out their plans without heed of what the crowd does or thinks, and I believe that businessmen would have no better slogan for the future than the old saying. "Providence helps those who help themselves." ROYAL INSURANCE CO. DIVIDEND OF 63 PER CENT. With a world-wide business involving assets of over £SO millions and a premium income of nearly £ls millions, the Royal Insurance Co., Ltd., has naturally felt the effect of the universal financial and trading disturbance. Nevertheless, the company is able to show a not trading surplus in all departments, and a total profit not much less than the 1930 figure. In the main, the story presented is the familiar one of a fall in premium income, and a greatly increased claims' cost, particularly in the United States of America, though the marine department is exceptionally a bright spot. The dividend, which has been maintained at 015 pr-r cent., involves a disbursement of £1,375,000, which is met as to £l,r>.*>o,ooo out of interest income, so that virtually the whole ot' the net trading surplus is available to increase the company's surplus assets. In the course of his speech at the annual meeting the chairman entered a spirited protest against the abuse by certain countries of the system of deposits, which are the pre-requisite of transacting business in foreign countries. While it is clearly reasonable that a moderate amount of deposit should bo lodged as a guarantee of bona fides, the universal adoption of the system, and particularly the recent tendency towards raising deposits, and to restrict their form, has greatly handicapped British companies in keeping their funds liquid for the purpose of meeting catastrophes. A new menace has recently appeared, wherein certain countries have resorted to the device of levying increased deposits on insurance companies for the purpose of tiding themselves over an internal financial crisis.

NATIONAL BEE-KEEPERS* ASSOCIATION. ANNUAL CONFERENCE. (PBESS ASSOCIATION TBLEGSAIt.) WELLINGTON, July 27. Reference to the problems of marketing confronting honey-producers was made by the president, Mr P. A. Hillary, of Tuakau, in opening the 19th conference of the National Beekeepers' Association of New Zealand. He dealt with overseas and local markets, and spoke of the failure of competitive open marketing, which he said was so serio'us that bee-keepers were almost unanimous in their determination to organise marketing on sound economical lines and to endeavour to stabilise prices at a reasonably payable level. The economic position had improved as a result of a shortage of the crop last season, and next season should open without any carry-over and only onough honey overseas to last until the 1933 crop arrived in England. The following resolution, moved by Mr R. 11. Nelson, Otorohanga, was carried unanimously: "That this conference of honey-producers expresses its complete confidence in the Export Marketing Board and we call upon the Board to exercise its full powers provided by the, Act to protect our overseas market." A deputation subsequently waited on the Minister for Agriculture, the Hon. C. E. Macmillan, and placed before him the views of the conference on the marketing question. Remits were carried requesting that sugar bo supplied duty-free, when used for feeding bees in bad winter seasons, and also asking the Government to maintain the number and status of inspectors and to reinstate the part-time inspection system as soon as possible. FOREIGN EXCHANGES. (jfeUTISU OFFICIAL WIIVELESS.) (lloceivcd July 27th, 5.5 p.m.) KUGBY, July 2C. Par. July 25. July 2G. Paris, ir. to £1 •• 124.21 90£ 90 7-16 New York, dol. to £1 4.800 3.55$ U.54g Montreal, dol. to £1 4.860 4.08 1.07 Brussels, belgasto£L 35 26.65 '25.55 Gtneva., l'r. to XI .. 25.2215 18.25 18.25 Amsterdam, fl. to £1 12.107 8.53 8.82 Milan, lire to £1 .. 93.43 G9J 69i Berlin. leichmarken to J6l .. •• 20.48 14 31-32 14.95 Stockholm, kr. to £1 18.159 19.47* 1915-32 Copenhagen, kr to £1 IS.IS'J 18 9-16 18 9-16 Oslo, kr. to £1 ■■ 18.150 20 19.95 Prague, kr. to £1 • • 164.25 120 119J Vienna, scligs. to £1 31.585 3U 311 (nom.) (nom.) Lfetsingfors, maris to • £1 .. .. 193.23 235 235 Madrid, pesetas to £1 .. .. 25.2215 44 7-16 44g Athens, drach to £1 375 550 000 Lisbon, escudos to £1 .. ..110 110 310 Bucharest, lei to £1 813.6 697f 595 Belgrade, dinars .. 25.2215 222 i 222J I,'io de Janeiro, pence to milreis 5.899 5 1-32 5 1-32 (nom.) (nom.) Aires, pent* to dol. •• 47.577 nom. nom. Montevideo, pence to dol. ■ ■ .. 51 30 30 (nom.) (nom.) Dsilavm, guilder .. 12.107 8.87 Botnbav, i once lo rupee •• .. 18 18 1-16 18 1-16 Shanghai, pence lo tael .. * 20 3-16 20i Hone Konp, pence to dol * ISi 181 Yokohama, pence to yen -. 24.56 184 18 11-16 * Determined by price ot silver.