Document 4vEvGp0oa04r8kNG7MjrO8NBe
May 9, 1940
ER. K. A. KSH32
Dear Dr. Keboes
Since our conversation la New
have o\ed the
greater part of my time to a study of
ier^t^ons. 3eca>*a^ division
office activities center upon field c^&^ations apdyfeustomer relations, this
report is confined to the component par^\j^iio8e two phases.
I have trisd/io prepaj
rdgort in the same spirit in
// \\ \V
which it was assigned aha i* is my sincere hobs*that any statement I have
II 'made will not be regarded\ae s criticisfo of Company policy or personnel*
That tho/r
may appearNlpjpmvtricxls largely due to a desire on my part
to *5liis/ipa
1\
tireao4e\ repetition of ttI believe" and "I think.* ?To attempt
II
has beep wade to esfce^lsh a connected report since I believe that the \
various pl^See-nssT^fst be discussed in separate fora and that agreement
in detail ia essential before the pattern can be assembled as a whole.
The Establishment of a Definite Sales-Sefety Management Policy
In the establishment of a safety organisation, complete
recognition must be given to the interlocking nature of our sales and
safety programs. Directly or indirectly, the actions of one affect the
other since both Involve customer relations. Because of this fact, co
KF 0022865
Dr. R. A* Kehoe
>/9/40
It is, therefore, suggested that a small working committee
be appointed for the purpose of coordinating sales and safety activities
for the best interest of the Company. The formation of a two-man board
is essential to division offices. It centralizes control, affords prompt
action on any question raised in the field, and, at the same time, assures
division office staffs that their problems are clearly presented to both I
departments. The working committee should definitely be lijkited. to two men for the elasticity of a larger group would defeat its Jtjsmry purposes,
centralization of responsibility and con
For the purpose of illuetri
a committsVN^ould
consist of Mr. Kalcy, representing t&e 'Sales
aent, and Mr. Lewis,
representing the Safety Dep&rtmeiit^, Alts
activities would be reported
by division offices to tp^/Lewis, as\uuder
esent system. Copies of
/ ' \\ \ y
all safety correspondences, except that! of a purely technical nature, would
\\ //
be sent to^Mri_Xaley. Division offices* should bo instructed that the Sales
Departas^/'isTto be kept ihforme^Cof a 11 matters that sight influence sales,
safety/ok corporation|pplicisa. Such information would include*
U ij
1. lie regi3tytyred by customers because of excessive costs due to
enforc^^nt--uf^gafety regulations.
2. Pressure brought upon customers in securing agreement to safety suggestions.
3. Violations by customers of manufacturing license agreements. 4. Progress of work toward establishment of tank cleaning control, plant
supervision, and education of customer personnel. 5. Reports concerning increased or ourtalled lead requirements.
Kg' 0022866
Dr. H. A. Hehoe
-3-
5/9/40
6. Developments of new refinery technique.
7. Detailed reports of all contacts with executive customer personnel.
8. Heporta on all cases of alleged lead poisoning.
9. Field suggestions on improved safety technique.
10. Heporta on ability and conduct of safety engineers.
11. Copies of safety engineers* weekly letters. .I
! jtinder the committee system, the actual detail^ fof safety
work would be handled by the Safety Department woptking throfigh division
offices. The interests of the Sales Department-would beT'gtng^ed by contact
with division offices and through the ntfnad't ayatihd suggested\Yve,
<< Jl "
regular meetings between Hr. Kaley and Hr, Lewis/ agreement could be
\\ //
At
reached upon most of the pro>lems^srisinlsX^k%n agreement cannot be
reached or where doubt ari^ea^as^to^W:* prows, course of action, provision
/ / V\ \Y
should b made to carr^f the matter to ^sr. ?aylt>r and Dr, Kefcoe,
\\ //
^^^ha^^ggeati^on of a dual/board control system is not an
iafernc4^hat either denaflMajanfTI^l/ft to itself, would fail to recognize
aertald Conditions asliplmical to the other - it i3 rather a basic plan to
uh
coordinate the activities of the Sales and Safety Departments along lines
acceptablV^^botl^a^d in so doing set up a more efficient safeguard for
our corporate existence.
Because the nature of safety work necessitates the establish
ment of close control, safety engineers must work directly under the authority
of division offices. Any effort to control field operations from the safety
headquarters in Mew York would be detrimental to corporation interests. It
would not only prove inefficient from a cost standpoint, but it would defeat
the essential feature of safety - rigid control.
KH 0022867
Dr* A* K6&0
-4-
-5/9/40 .
Primary control at division offices is necessary for the
following reasons*
1, It serves as a centralization point for work assignment and insures
a primary check of work progress.
S'. It serves as a centralization point for contacts by customers.
5. It insures immediate and constant supervision of personnel, particularly
from a customer relation standpoint.
Tfca recommendations concerning the direct con jfol of safety
engineers is in no way motivated by any personal, desire
jxtein control
over this group. They are based entirpiyX past \fl=ld experf <QO whioh
has proved that rigid control end coal
supervision offer the only
approach to safety. It is a
that the same control and
supervision be maintained ,,by the co:
the operations of division
offices.
'hd, Necessity fof/oomplote frankness - \ X in Cuetojfer Contacts
The complete cooperation of oar customer companies cannot be I( \) expected! until we make blear the seriousness of tank cleaning operations. I
\ am auggestr-iag haloj/b/fo procedure to be followed*
1. Since it'Tl'our desire to give tc the meeting its full share of
importance, preliminary arrangements should be made by Mr. Webb
in a latter addressed to the presidents of our customer companies.
2. ?ho customer attendance at conferences should include responsible
executives of the sales, manufacturing end safety departments. This
would serve as a check on any later shifting of responsibility.
K J? 0022868
Dr. R. A. Keho
5/9 ^0
D. Facts should b presented by an executive nemfcbr of our Medical
Department who would b accompanied by an executive of the ^ales
Department. Any deviation front this plan ?5uid detract from the
importance of our message.
4. Dueh statements sa are made should be devoid of inference and establish
In unmistakable terms tha exact facts.
rt
5. Since the direct purpose of the meeting to to develop and maintain
closer control over tank cleaning operations,^it^i3^e3^! tiel that we
secure the agreement of our customers t o^|ucc^eriy~Btrtrit in all persona
X/---\\
\\
in their organisation who have autlprrity to approve work o^N^hio nature.
Such a bulletin must be ao stron'
be disregarded by the ntnip.ga2|9nt
A letter of confirmation ahonldNbk addWhsed to all executives attend-
// V\ Yv
ins each eonforsncd |.n which the aupject setter diseussad should be
stated In general ttermo. ?. ProvJ^^S^^S^ld be
/ - sriodically the continued employment
of^t^je seeutives|at tha conference and the men receiving tb original bulletin. Prompt/ action should be taken to instruct new personnel*
4bll3haent of e Tank Cleaning Control System.
Bffootive control of tank cleaning in the field is dependent upon a complete knowledge of all points where authority for such work is issued. This information can be secured in only one way - direct field contacts. To accept, as final, information obtained from general or head offices has proved unsound. Duch a course permits too many unknowns, in cluding misinformation based upon lack of detailed knowledge and intentional
0022869
T5r. K. A. Kekoe
-e-
/}/40
or unintentional atataments of fact. This approach further weakens our
program by affording our own man an excuse in failing to cover a particular situation.
It is suggested, therefore, that an accurate field study be
made of each customer company and covering the entire marketing aTea of
that company. Every customer division office should be contacted and
n
information secured as to the source of tank cleaning authority in their
particular sales field* If it is found that such authority! is delegated
'artker down the line to district offices5., thfi__urveyrot>4:J sn begin
from that point. In every case, the
Lgation pmst incluft^\the names
/'X i }
of men authorizing the work, the numban of tanks/feVeaned each quarter, and
tbs procedure followed in cleaning the
The data sedred"l^
ebp'kdinated at each of our own
( ( \ \ \\*
division offices. Bouqdiries of individual t&Wketing areas, together with
U II
the location, of local polite of authority and tank cleaning data, must be
> Prov^sign Bus^-'be made for a periodic check-up of
this d^tjk to determin^ireas not reporting tank cleaning activities. In such cdsVs, an investigation should be made to ascertain whether this
conditions^*>caiiM^^' a lack of activity or a failure to report tanka cleaned.
A separate chart should be kept for each customer company (See Chart I). Where a division of authority exists within a company because
of the overlapping activities of different departments, separate cherts must be made. This would include terminal and refining points within a sales field (See Chart II).
0022870
Dr* H A. Itehoe
5/9/40
At first glanea, this program might appear to present certain
difficulties because of the scope of the surrey* Actually, the difficulties
are not insurmountable, In the Chicago Division, covering seven states,
the data oan be secured in about one hundred and fifty contacts. This
would include not only basio contacts made at customer division offices,
Tfbut also systematic check-up calls incifcuding regional and head office
contacts. This data can be assembled within a reasonably sljoht time if the
calls are made by both the division staff and saf
I believe it will be agfeed thai^-in tank cleaning operations in the field iX^l^rgoly^ba^ed on varying estimates.
<s Ti
Therefore, the scope of our safety prhgham, particularly from a personnel
standpoint, is unknown and will--papaliinn unkherwn/unt i1 a ffact developing
survey has been made.
/X
>' ,/
f`
\\
\
w
\\\ '
I Safety Conferences-'
U iI
...Xh-JUs recommended that gsouferencea be held periodically for
J> ' ' _
division/^taff and safety pbrscsnaal*' The arrangement for such conferences
would vUo into consignation the aetive nature of safety work going on in
1 the field'.
JJ^ j
%Vs^x^*Sg6$^^Terences would serve as a refresher course for
present safety engineers and a basic training course for new men who would form a reserve group upon which to draw in the event of emergency or expansion. Through group conferences, individual approaches and solutions can be exchanged and the representatives of each division oan profit by the experience of others.
Such meetings should be of great value to the management not ouly because it gives them the opportunity of clearly establishing their
KE 0022871
;.enoe
5/9/40
views, but also because it permit a them to know bettor, bot h technically and personally, the .men responsible for safety operations in the field.
Instruction. .Manual
Thors is an immediate need for a loose-leaf book of instruc tions on safety. Such a manual would facilitate the training of new men. It would insure a source of ready reference at division off^ee, particularly
|j
when long distance phone conversations with customers requi|r4 irnmediate answers. It would eliminate the possibility of patin^vxLdJrj instructions
issued in the past and later superseded. It--^ould 3arve^aBva\constant
/VXr^\\\
\\\\
rei'reshsr course for safety engineevajettu^airi^iofy office perfihsrKel.
Lest, but not least, it 'soula eneole \aXVty
to travel without the
large file of circular letttearjsce-4-'-htheyy no \Xsa&esfdtv^xWiitth them on the road.
Z Z " ~ ^\\
'v
/ / Customary Hela'ti^na
// \ A
It must tfe borne in mind fhat the safety operations of our
\\ j
company are largely associated in thsr^dinds of our customers witn the word,
" Expensedj ^ is t'eooasmendied-JthaSr^consideiration be given to plans to
/f A
eradicate that feeling.i The recent purchase of the i'ire Prevention Film
ia an e^hjapla of aot^oji desirable on our part. M those points where this
film has BeajT'Stsria'f' our safety engineers report a noticeable improvement in tha attitude of certain individuals.
Medical Hepresentatlvee
An effort should be made to impress upon executive personnel at refineries the true status of our medical representatives* I sincerely
hope that what I am about to say will not be misinterpreted or, worse still.
K 0022872
Dr. R. A. Kehoe
-9-
5/9/40
considered as applied to our own doctors. The fact remains, however, that
to many industrial representatives, a "company doctor" is a first aid man
selected from a field limited for the most part to young aspiring or old
despairing doctors. Since, by no stretch of the imagination, could our
doctors be placed in that category, it would seem wise to establish their
true status. There are, of course, many ways in which this .dbuld be accom-
ir
plished, but probably the most effective would be definite Contacts between
our doctors and executive refinery personnel. iSe-ar? aware that our doctors
n*' V
are under pre33ure and that the increasing jsasben,.of inapeCYlbn points
'\ \ does not lighten, their burden, yet wejrelieve that time shouloVb^ spent
with refinery executives. Our doctor)^ could he>p^iafety engineers by
\\
pointing out the necessity fer^ertein ih^wyements, they could explain
the medical aspects of h4ak cle&niag}/4nd a"bo^e all, they could develop
/ / \ \ "O
a close relationships with refinery xechtiives that would prove invaluable
l\
to the corporation.^
//
BivisAed office Suoervision
It is zjcjommended that in those divisions where refining
operations are extendifre, the division managers spend at least twenty-five
per cent ofMUjajjMfime on safety work. This would include frequent field
trips with safety engineers. In divisions where tank cleaning represented
the chief activity, time could be devoted to a lesser degree.
In all safety operations, knowledge of conditions and rigid
control are essential. It is my thought that time spent in the field will
accomplish our purpose.
KE" 0022873
Li- K* A. K&hoe
-10-
5/9/40
io reduce the report to a minimum, I have retrained from citing case histories to prove a point, !he tacts given, however, can be fully supported, fh suggestions made are baaed on considerable study but not with the point of view that they are Infallible.
Since all reports leave something to b desired, I shall
K 0022874