Julv. 1930] 



Operating Costs of Grain Stores 



13 



Labor Expense 



Over half the expense of grain stores is for labor. Even though this 

 item is flexible and easily changed, there are many instances where 

 too much help is maintained. The labor requirements vary between 

 stores because of dissimilar conditions. One store may be a mile or 

 so from the railroad siding, or it may be in a community where small 

 purchases are frequently made, or the building and equipment may be 

 poorly arranged so that more labor is required for operation. Only by 

 checking up on this problem as to sales and amount of idle time is a 

 manager alile to guage efficiency. 



Yearly labor costs of 41 stores are compared with total sales in Ta- 

 ble 9. The extent of variation is not so apjiarent as when a similar 

 comjiarison was made with fixed costs; but it will be noted that many 

 stores have shifted relative positions. 



Number Employed 



There were 151.7 persons employed on a full-time basis in the 41 

 stores, or an average of 3.7 persons per store. Seven stores employed 

 1.5 persons daily, twelve 2.5, twelve 3.5, three 4.5, three 5.5, and one 

 store employed over 19 persons. 



Sales per Man 



Dividing total sales by number of persons employed in a store gave 

 the average yearly sales per man. The average for all stores was 



Table 9 — Variation of Store Sales Compared with Labor Costs 



