HARDWOOD RECORD 



17 



Battlefields and growing grain do not flourish in the same area 

 at the same time. Europe will grow less grain. It must buy more. 

 The grain will come from Canada, the United States, and Argentina, 

 but most from our country. Sales and prices will both increase. 

 Farmers know that and are getting ready to grow the grain. The 

 editor of an agricultural paper has just completed an automobile 

 trip of three thousand miles among farmers, and reports that not 

 one farmer in ten is talking about the war, but talks about crops. 

 That is the way to talk at this time. 



Are lumbermen talking war or talking sawmill? Are they follow- 

 ing Micawber 's advice and waiting for something to turn up, or follow- 

 ing Lincoln 's example, by getting ready to take advantage of the first 

 chance that comes? A phenomenal chance is coming. There will be 

 chances for export trade, but those pass undiscovered for the present. 

 A remarkable opportunity is opening at home. Farmers will coin 

 money from their crops. They will spend it on their farms and in 

 their homes. They will build fences, barns, silos, and better houses. 

 Fprniture, wagons, and agricultural implements will be purchased. 



That opportunity means business for the lumberman. It is a market 

 of enormous possibilities. There are seven million farms in the United 

 States. Suppose each farm increases its lumber purchases one thou- 

 sand feet, at the low price of $15.35, which was the average millyard 

 value for the whole country in 1912. At that very low increase, the 

 total increase of domestic sales would exceed by $24,000,000 the 

 whole export of lumber from the United States last year, with all the 

 furniture and all the square and round timbers thrown in. 



That market is no dream. It can be secured. Farmers will have 

 the money for buying, and the lumbermen should provide the product 

 for selling. "Begin at Jerusalem," was the wise advice given a long 

 time ago to enthusiasts who were thinking of capturing the world. 

 It is still wise atjvice. It means begin at home, and afterwards 

 spread over the world. There was no hesitation then; there should 

 be none now. The pessimist never wins. He is eternally on the de- 

 fensive, and a coward at that. Success conies to the man who uses 

 good judgment, works with an eye to an end, and has an abiding faith 

 in himself and in his business. 



A Fair Policy as Well as Good Business 



TIE POLICY OF SOUTHERN MANUFACTURERS to shut 

 down their operations even for a temporary period brings up 

 problems which must be faced squarely not only from the stand- 

 point of altruism, but because of the business principle involved. 



One of the most hazardous results of general cessation of indus- 

 trial activity is the elimination of the revenue and hence of the 

 buying power of the working population directly affected. It is 

 ardently hoped, and the hope is entirely justifiable, that those 

 mills -which have shut down will not remain idle for any long 

 period. In the meantime, however, an immense army of men is 

 thrown out of employment, organizations are broken up, and in 

 short an effect is created which it will be difficult of overcominj; 

 when the renewal of business makes possible the starting up of 

 present idle plants. In laying plans for closing down operations, 

 the question should not be decided with snap judgment, but should 

 be given deep consideration from all its angles. 



While evident conditions indicate strongly that the closing down 

 policy is wise, the entire wisdom of this policy has not yet been 

 demonstrated as there are equal arguments oii the other side. In 

 fact, some of the biggest lumbermen of the country are aligned 

 ■with those who believe that shutting down at present is not wise. 

 Be that as it may, a great many of the southern operators are 

 now shut down or are planning to suspend operations in the near 

 future. 



After having come to a definite decision on this question, the 

 problem is not entirely solved as there are other features to be 

 considered which cannot be hastily passed over. 



Manufacturers cannot be blamed for being influenced more by 

 their business judgment than their altruistic movements, although 

 the latter should not be ignored and should be given all the con- 

 sideration that good business sense and circumstances will permit. 

 Nevertheless, considering the proposition purely from a business 



standpoint, it is absolutely imperative that organizations be main- 

 tained as coherently as it is possible to maintain them, without 

 suffering a direct business loss. It should be borne in mind that 

 the actual loss resulting from the maintenance of operations with 

 an entirely new organization when manufacturing is renewed, wiU 

 more than offset any outlay necessitated by the carrying over of 

 such men as have proven themselves invaluable to any organi- 

 zation. It is not of course feasible to consider carrying commoB 

 laborers, as it would be difficult to draw a fair line if the point 

 were carried that far. However, there are certain men about an_y 

 manufacturing plant whose general aptitude, loyalty and experi- 

 ence make them difficult of replacement. 



The policy of one big southern manufacturer could well bfl 

 emulated by others, and probably is being to a considerable ex- 

 tent. His company has been operating in the southern hardwood 

 territory for a considerable period and has built up an organiza- 

 tion of very high standing. It has in its employ several men who 

 are doing more or less special work, who have been broken into 

 the company's methods and with whom it was very loath to part 

 Therefore in a directors' meeting, at which the decision to shut 

 down was arrived at, it was also determined that these men should 

 be retained if possible. Hence the company is making them the 

 proposition of carrying them on half pay during the period of in- 

 activity, they to perform such work about the factory and in the 

 woods as can be found for them; inspectors to alternate at full 

 pay during the time they are working. That is, one group of 

 inspectors works one week and the other group works the next. 

 This, of course, will not mean any great revenue for them, but it 

 will at least give them sufficient funds to tide them over during 

 the time when the mill is not running, and will retain them in the 

 organization, thus making it possible to start up within two days' 

 notice when it is decided to again resume operation. 



At the same time the company has the satisfaction of feeling 

 that it is really doing an humanitary service and that it is not 

 going to lose any money through this decision. 



While the men thus favorably affected will represent only about 

 twenty per cent of the total force employed at this plant, it can 

 bo readily seen that if this policy were pursued by the majority 

 of manufacturers in all lines, who are curtailing or shutting down, 

 the result to the purchasing power of the laboring class would not 

 be nearly as keen as if all were cut off summarily and left to shift 

 for themselves without any resources whatsoever. 



This company's altruism and good business sense are to be com- 

 mended and should be approved by others to the extent at 

 emulation. 



Indications for Increase in Steel Exports 

 Already Active 



ALREADY THE BAROMETER OP BUSINESS, the steel indus- 

 try, is begin ing to feel beneficial effects from the European strug- 

 gle. As noted elsewhere in this issue, English consumers are showing 

 an active int.3iest in American steel and its products, which is a 

 development TuU of distinct significance. When English steel mills 

 cannot take care of their home requirements it is pretty evident that 

 trade in this country wiU feel a very substantial benefit. 



The latest favorable word, however, comes from Italy. If is re- 

 ported from Rome that, owing to the fact that all steel material for 

 the ordnance on the ships under construction for the Italian Navy 

 is being held up in France and Germany, authorities are looking to 

 the United States to furnish the material and investigations are al- 

 ready being made among American steel plants. One hundred and 

 fifty thousand tons of steel are wanted. Aside from this enormous 

 quantity, it would indicate without much room for doubt that Italy as 

 well as England is going to continue in the market for American 

 steel and products. With the assured fact that English mills will 

 not be able to compete to any extent for export trade, leaving large 

 markets practically open to the United States, the outlook is, to say 

 the least, distinctly hopeful 



