22 



HARDWOOD RECORD 



The superintendent of the Bureau of In- 

 formation read a very exhaustive report 

 which is presented herewith: 

 Eeport of Superintendent of Bureau of 

 Information. 



A more intimate knowledge of the bureau's 

 methods of communicating and compiling credit 

 information is causing more extended use of this 

 department of the association. It stands today 

 as the point of contact between its subscribers 

 add questionable trade, either as regards tinan- 

 cial responsibility or unbusinesslike methods, in 

 that it transmits valuable information which 

 cannot be secured through ordinary commercial 



sources. . , , < ,, 



The statistical features ot the bureau are fully 

 covered in the report of the Board of Managers 

 of the Bureau of Information and presents as 

 fair an idea of what vour association is doing 



in the way of disseminating as much cr i 



information as is possible in a short report, 

 although no figures can be submitted to illus- 

 trate "the magnitude of detail correspondence 

 and special investigation necessary to keeping 

 the records and reports up to date, and within 

 the prompt reach of all its subscribing members. 

 \11 are agreed that the abnormal conditions 

 of the past few years have combined to keep the 

 trade more than usually alert for facts and 

 information regarding credits and business 

 methods. This extraordinary volume ot trade, 

 coupled with the unusual delays in shipment and 

 transit, have necessitated most careful Inquiry 

 and insight into conditions affecting both selling 

 and buying trade. Ordinarily this might indicate 

 a situation more easy to contend with, but com- 

 bined with a stringent money market has caused 

 concerns in many quarters to curtail their buy- 



M. M. WALL OF BUFFALO. 



ing ; in fact, the past year or so has been so 

 much a sellers* market that many of our theories 

 regarding credits and fairly well-rated concerns 

 have changed, and caused more than the usual 

 periodical revision of reports. I am happy to 

 state that, with slight exceptions, the situation 

 has been easily met, either by careful foresight 

 or diligent work through our usual sources of 

 information. 



The bureau is so well established that it seems 

 needless to go very far into detail : but its 

 constantly growing influence, systematic method 

 of disseminating credit information, unquestion- 

 ably places It at the head of lumber credit 

 agencies. Slight reference made to its special 

 Features will give a better idea of what has been 

 accomplished. 



A couple of years ago, as you will recall, the 

 Board of Trustees decided to make a radical 

 change in the legal or collection department, and 

 instead of having claims and disputes, or. in fact, 

 any matter of a legal nature handled .by outside 

 parties, they are now handled through the asso 

 rial ion. where they receive the proper persona] 

 supervision that is' in direct line with the plans 

 as at first outlined at the organization of the 



::ition. 



This work was undertaken willi some misgiv- 

 ings as to our ability to carry out the scheme 

 as laid out by our Board of Managers, and while 

 last year's reports were quite optimistic as to the 

 success of the plan, the results this year have 

 amply proven the wisdom of the change, and 

 today we claim for the collection department 

 the fullest measure of your co operation : for. it 



has really proven that it can handle your over- 

 due and "disputed accounts far better than any 

 other agency. This may seem to be putting it 

 too strong, but the successful negotiation of so 

 many accounts, and the very satisfactory- 

 acknowledgments we have received from our 

 patrons allows us to make this strong claim. 

 In addition the collection department has proven 

 its ability to act successfully an arbiter, as will 

 probably be stated to you by the arbitration 

 committee, especially iD reference to the many 

 cases that have been reported to the committee, 

 but which have been eventually settled before 

 being officially considered by the arbitration 

 committee. 



The figures submitted in Chairman Parker's 

 report show a very substantial increase in the 

 claims collected or settled, and while the 

 pecuniary results to the association have been 

 gratifying, it is not the intention of the Board 

 of Managers to make this department a money- 

 making feature ; rather it is expected and be- 

 lieved that the services rendered and information 

 and experience received through the claims 

 handled will be of such value to the bureau as 

 to justify conducting this work on a basis of 

 nearly cost. The Collection Department per- 

 forms a double function, makiug it well worth 

 while on that basis, even though not at a large 

 profit, for while it handles your past-due and 

 disputed claims at a minimum charge, much 

 lower than through individual attorneys, it at 

 the same time assists very materially in supply- 

 ing the bureau members with important facts 

 that cannot otherwise be obtained. 



Numerous letters on file testify to the value of 

 the department in collecting claims, while many 

 other communications indicate the desirability of 

 our reports containing the data made possible 

 from the experience in handling claims. Fur- 

 thermore, our attorneys all over the country, 

 who are of the very best class and who are 

 protected to us through the bonding system of 

 the United States Fidelity & Guarantee Com- 

 pany, are interested in our class of business, 

 because our claims usually run large, and they 

 are always alert to advise us by wire or mail 

 of any information bearing on the affairs of 

 parties in whom our members are interested, 

 inn are undoubtedly aware that all attorneys 

 prefer to receive collectable accounts than 

 accounts against bankrupts ; therefore, they 

 sometimes seem overanxious to advise of any 

 seeming weakness. 



On the other hand, we have found by es 

 perience that when our department can handle 

 all the claims of our members against bankrupts, 

 or those financially embarrassed, we can give 

 better service and realize more on an adjust- 

 ment than can be accomplished by each member 

 acting individually. Much of the information 

 secured through this department frequently pre 

 vents a loss and a probable claim, and it is this 

 operation in a deal capacity that permits the 

 bureau and its Collection Department to stand 

 so prominently before the members as a special 

 association privilege. I believe the department 

 is entitled to your support and this lengthy 

 reference. 



A substantial part of the special information 

 contained in our weekly List A. & B. comes 

 through our Collection Department, which list is 

 looked for by our members as a regular visitor. 

 This enables you to promptly secure important 

 information, either as to questionable financial 

 v risks, delinquent settlements, business changes, 

 tires or court record items, and with this data 

 before you. you ought frequently to be able to 

 determine if the facts are sufficiently important 

 to make sales, stop lumber in transit, start 

 suit, or make further inquiry of us. 

 . It is the invariable rule of the bureau, after 

 obtaining information of the character above 

 referred to, to carefully investigate and revise 

 our reports, with a view of keeping our informa- 

 tion for you up to date, and include all possible 

 subsequent details pertaining to the affairs of 

 the party listed. 



The little pink sheets which you receive each 

 week are given very careful consideration by the 

 members, and are most important to the bureau 

 in determining the advisability of putting the 

 name of any concern on List A. & B. The 

 present condition of trade necessitates prompt 

 and concise reports from you as to renewals, 

 delayed payments, unjust claims, protested paper, 

 etc.. and much valuable information comes to us 

 from the pink sheets, which are promptly 

 scrutinized immediately they arrive at the office. 

 I notice a few members rarely send us any of 

 this voluntary information. Gentlemen, this is a 

 mistake on your part. Be fair to your fellow 

 members, give as much as you hope to get, and 

 keep this department fully posted. 



Occasionally, a member will overlook the fact 

 that under a ruling of the Board of Managers 

 of the bureau it is necessary to have at least 

 three separate complaints of slow pay, making 

 unjust deductions, or not settling in accordance 

 with terms, before we can list a name, although 

 it is always possible, and usually desirable, to 

 use this information in our reports, and they 

 always have our most careful attention, and a 

 large measure of the success of the bureau must 

 be attributed to the voluntary information that 



comes to us through these weekly reports, as 

 well as by personal letters, etc. 



Our members, however, are becoming more 

 adept each year in this scheme of furnishing 

 information, and one of the features of the 

 organization is the personality which enters into 

 the make-up of its special reports, and makes 

 them more reliable and more valuable than those 

 secured through the ordinary commercial 

 agencies. 



We continue to lay stress on the importance 

 of signed statements of assets and liabilities, 

 and I am pleased to again report increased 

 co-operation by your customers in sending .us. 

 voluntarily, annual statements. This, together 

 with the numerous requests mailed each day 

 from the office, has resulted in obtaining a very 

 large percentage of statements, and instances 

 are not rare where the bureau gets a statement 

 from parties who are otherwise averse to sub- 

 mitting anything but general facts to commercial 

 agencies. This is as it should be — because your 

 Bureau of Information is conducted entirely as 

 a specializing agency and on a mutual basis, 

 and its reports are exclusively for lumbermen, 

 who are just as desirous of selling a safe man 

 as to avoid selling an unsafe man. 



In accordance with the plan adopted by the 

 board two years ago the matter of adequate fire 

 insurance continues to receive careful considera- 

 tion, and where statements show what appears 

 to be insufficient insurance in comparison to 

 value and liability of the risk and probable result 

 in case of fire loss, attention is called to the 

 discrepancy and suggestion made that more in- 



111:111. e he had in protect h Ij the creditoi 



but the buyer as well. - 



Too much importance cannot be placed on the 

 matter of keeping on file with, the bureau a 

 revised list of your customers, which are held 

 strictly confidential and in no way can they 

 possibly get into other hands. Filing these lists 



W. KNIGHT OF INDIANAPOLIS. 



with us enables a prompt notification, particu- 

 larly if you have failed to ask for a report. 

 This feature cannot be too strongly emphasized 

 and most members are familiar with the advan- 

 tage of keeping these customers' lists up to date. 



Reports on band at present aggregate over 

 22,000, covering all sections of the country. 

 Their value to the wholesale trade five or ten 

 years ago, when only half or one-third that 

 number were accessible, is a good commentary on 

 what its value must be today, and it should not 

 require one-half the argument to increase our 

 membership in the association or bureau, or to 

 retain its present membership as was necessary 

 eaiiier in our history. In order to keep pace 

 with this growth the working force in the office 

 has been increased largely, and additional office 

 space is again necessary. 



The Board of Managers of the bureau and its 

 chairman have been untiring in their efforts to 

 improve the service wherever possible, and as 

 the bureau is under their direct supervision, 

 criticisms or suggestions are given careful con- 

 sideration and are solicited, and if warranted 

 any modification in the existing plan will be 

 gladlv adopted. 



This report has been, in part at least, but a 

 repetition of former reports, although you have 

 all seen each year a constant and systematic 

 growth. It seems to me that if ten years ago 

 the members gladly paid $50 per year extra for 

 1 Ins,, bureau reports, present members could well 

 afford to pay double, and outside of a personal 

 interest. I riinst say that I wonder often why 

 every wholesaler does not quickly avail himself 



