INDUSTRIAL EFFICIENCY.

Waikato Times, Volume 102, Issue 17224, 6 October 1927, Page 4

INDUSTRIAL EFFICIENCY.

FACTORS THAT COUNT. IMPORTANCE OF RESEARCH. In an interesting address at the annual meeting of the Wellington Employers' Association Dr. E. Marsden, secretary of the Department of Scientific and Industrial Research., dealt with "Some Factors in Industrial Efficiency. '

The ratio of the country's imports to exports, especially in view of the burden of the war debt, and a study of the individual ilems of the imports, he said, gave ample reason for greater efforts towards individual and commercial efficiency and for the development of the country's industrial energy along right lines. Probably the most important factor in modern industrial and commercial success was that of marketing. Other factors were (1) the scale of business undertakings; (2) recruitment of labour and training; (3) general and technical education; (i) standardisation; (5) industrial art; (G) scientific management; (7) scientific and industrial research. An important factor influencing the efficiency of an industrial undertaking was the scale on which it was carried on. Among the forces operating to increase the scale of production were the extended possibilities of specialisation, sub-division of processes, and use of mechancal power and elaborate machinery, and all the other well-known advantages which tended to make mass production cheaper than production on a small scale. In general, increased scale of business meant higher efficiency, reduced cost of production, and greater output per unit of labour. In America it was claimed one man now produced as much as four men did 37 years ago. This should not mean increased unemployment, but increase in production should mean a general increase in the standard of living. In view of what was happening in America and in England, it would appear that some form of combined action in the interests of efficiency of production might be justified in New Zealand enterprises, apart from marketing.

Training and Standardisation

Skill was an important factor in efficiency, and the problem of creating and maintaining Skill was one of the crucial problems of industry. The New Zealand people, by reason of their special selection from the world's best stock, were- of higher average intelligence and of as good physique as any in the world. The Dominion's success would depend on how these special qualities were trained and utilised. Undoubtedly manufacturing methods could be adopted to take full advantage of and develop this capacity and initiative.

Dr Marsden cited the development of the Dominion's dairy factories as an example. Such standardisation of materials and specifications in New Zealand as obtained in America and Britain, and to a less extent in Australia, .would, he said, undoubtedly be an important factor in securing the local market for our own manufacturers. Many standard specifications could be adapted to local conditions by agreement between the trade associations, the Department of Industries and Commerce, and scientific nominees of the Council of Scientific and Industrial Research. 'The ultimate court as lo compliance with standards could well be the Dominion Laboratory.

An important question'in the development of local industries was that of design, the popular conception being that Uie New Zealand-made arlicle was often more crude and less artistic than the imported one. In the national interest it was necessary that art and design should be encouraged under schools and technical institutions. For many articles a characteristic national design might well be developed.

Industrial and Scientific Research. After dealing with the vital importance of scientific management, which aimed at a maximum output by careful study and co-ordination of the different factors in production, especially the human factor, Dr Marsden passed to the problem of scientific and industrial research, lie referred to what was being done in Germany, Britain, and \merica. It was estimated that in the United States 75,000,000 dollars was spent annually on industrial research. He outlined the problems to be faced by the Department of Industrial and Scientific Research in New Zealand, and said that the council was endeavouring to arrange in certain industries for co-operative research associations controlled by representatives of the industry concerned and scientists nominated by the Research Council. The rights of contributors to such scientific services were (1) to receive regularly information from ■i technical bureau; (2) to put questions to the stall and have them answered as fully as possible Withm the scope of the research programme and organisation; (3) to recommend specific subjects for research, and through the council to have a voice ir (he selection of the programme; (4) lo ask for a particular research for their sole benefit at cost price; (5) to use without charge any patents resultin.- from research; (0) to have their regular subscriptions to the research fund recognised as business costs, and therefore not subject to income tax.