certain sum or at a certain rate per piece in the case of duplicate
manufacturing operations. All materials and tools are provided
by the employer, but the hiring of men and the system of paying
them is controlled entirely by the contracting foreman. Ap-
parently, with this system, labor difficulties are shifted from the
employer to the contractor and a definite manufacturing cost is
obtained. This system, however, is liable to cause unsatisfactory
labor conditions unless the contracting foremen are disposed to
deal fairly with the men under them. The chief difficulty has
been that the men ordinarily do not receive uniform treatment
because they work under different foremen, and, in some cases,
different wage systems are in use in the same plant. As a rule,
the tools are also used more severely and carelessly under the con-
tract system than in a shop where the employer is in more direct
control. A cooperative plan whereby profits over a certain
amount are divided with the workmen has proved successful in
connection with the contracting system.
Profit-sharing Methods. The history of profit-sharing has,
on the whole, been disappointing. Companies engaged in profit-
sharing have been no more free from labor troubles than com-
panies not so engaged. Many firms have given up the idea after
a lengthy experience with it. There are some cases in which
profit-sharing has been a conspicuous success, but they are few in
number. The simplest method of apportioning profits, and one
which has often been used, is to pay each employe sharing in the
profits the same per cent of his year's wages as is paid to the stock-
holder in the form of a dividend. Thus, if a six-per-cent dividend
is declared on the stock of the concern, every employe partici-
pating in the profits receives at the end of the year an amount
equal to six per cent of his wages for that year. The division of
profits is not necessarily deferred until the end of the year, but
may be made quarterly or semi-annually.
A second method of profit-sharing divides the net profits of the
business into two equal portions, one going to the stockholders
and the other to the employes. The half apportioned to the em-
WAGE SYSTEMS 269
ployes is usually divided in proportion to their earnings. Sup-
pose that a firm having a capital stock of $500,000 has a wage roll
of $1,000,000, and that the net profits for the year are $100,000.
$50,000 of this is apportioned to capital, and the stockholders
receive a dividend of 10 per cent. The other $50,000 is appor-
tioned to labor, the employes receiving a dividend of 5 per cent of
their wages.
A third method of profit-sharing is quite different from either
of these. It is assumed, first, that labor is entitled to the current
wage, and second, that capital is entitled to the current interest
rate. After labor has received its wages and capital its interest,
a surplus may remain. This surplus is then apportioned between
the stockholders and the employes in proportion to their earning
power. Thus if the current interest rate is 5 per cent, a man who
receives wages amounting to $1000 per year has the same earning
power as $20,000 worth of stock. (Strictly speaking, this is not
true, if it is considered that a man, like a machine, has a limited
life and is, therefore, subject to depreciation. Allowance for
depreciation reduces the value of a man's earning power by
almost one- third. The introduction of this element of depre-
ciation complicates the matter so greatly, however, that it gives
the method an appearance of unfairness in the eyes of the average
employe, and is best avoided.) The following case will illustrate
the application of this method of profit-sharing. Assume that
the wage roll for the year is $1,000,000, that the capital stock is
$2,000,000, and that the total profits of the business are $320,000.
Labor has already received the current wage. Assuming an
interest rate of 5 per cent, the $2,000,000 of capital stock is
entitled to $100,000 in interest. The earning power of the em-
ployes, i.e., their annual wages capitalized at 5 per cent, is $20,-
000,000. Adding the earning power of the employes to the
amount of the capital stock gives $22,000,000, upon which a
dividend of $220,000 will be declared. This amounts to i per
cent and, accordingly, the stockholder will receive a dividend of 6
per cent upon the par value of the stock, and the workmen will
receive a dividend of i per cent upon their earning power, which
will be 20 per cent of their annual wages.
270 SHOP MANAGEMENT
If the profits realized in different industries were apportioned
between capital and labor by any of the three methods which have
been outlined, it would be found that, in some industries, the por-
tion available for labor would be exceedingly small, probably
only two or three per cent of the annual wage roll. In other in-
dustries, the profits would be very great, sometimes being suffi-
cient to double the employes' incomes. Unfortunately, as a gen-
eral rule, the profits are the smallest in those industries where the
wages are the lowest. There are a few industries of special
character or in newly established lines of manufacture where the
margin of profits is large, and where it is possible to pay unusual
profits to the employes. The Ford Motor Co. of Detroit makes
a highly standardized product in enormous quantities, and sells it
at a relatively low price for a good profit. In consequence, the
profits of this company have been so great that an enormous
plant has been created out of the surplus profits of the business,
and, at the same time, an unusually liberal profit-sharing system
has been installed.
In testifying before the Federal Commission on Industrial
Relations, Henry Ford stated that the regular wages received by
the men working in the Ford plant were about 15 per cent above
the usual wages paid for similar services by other manufacturers.
In addition, anyone who qualified under certain rules was entitled
to a certain part of the profit so that the minimum daily income
under the plan (wages plus profit) would be $5.00. The profit-
sharing rate which is added to the wages is so arranged as to give
to those receiving the lowest daily wage the largest proportion of
the profits. For example, a man receiving 34 cents an hour re-
ceives a profit of 28 \ cents an hour in addition, making a total
income of $5.00, while a man receiving as his regular wage 54
cents an hour receives a profit-sharing rate of 21 cents an hour
only, making the total daily income $6.00. The wages and the
profits are paid in currency every two weeks. Those qualified for
participation in the profits are of three classes: i. Married men
living with and taking good care of their families. 2. Single men
over twenty-two years of age who have proved to be of thrifty
habits. 3. Young men under twenty- two years of age and
WAGE SYSTEMS 271
women who are the sole support of some next of kin. In order to
be entitled to profit sharing, six months' employment with the
company is required.
From one point of view, the Ford profit-sharing system is a
great success. The money distributed to the employes has, for
the most part, been wisely used by them and has procured for
them a much larger measure of social welfare than they could
otherwise enjoy. However, there are many industries which,
like the Ford plant, are efficiently operated but which would find
it impossible by the most careful management to divide among
their employes profits that would increase the wage rate 15 per
cent above the normal. These industries are so thoroughly
standardized and so keenly competitive that there is a sharp and
definite limit to their profits.
CHAPTER XV
DRAFTING-ROOM SYSTEMS
THE relation between the drafting-room and the manufac-
turing department of a machine-building plant varies greatly.
In some drafting-rooms the work is confined almost exclusively
to originating new or improved designs, whereas other drafting
departments are so organized that they not only plan new de-
velopments but have considerable to do with the control of manu-
facturing operations, the aim being to relieve men in the shop
from the work of planning, so that they are able to concentrate
their efforts on the actual work of production. The drafting-
room really bears a double relation to the shop. When con-
sidered as a place where designs are originated, it is the head of
the shop, furnishing it with the ideas which are reproduced into
concrete forms of iron and steel. On the other hand, the draft-
ing-room may also be regarded as the " servant " of the entire
works, because it is here that the preliminary planning, calculat-
ing, and similar work is done. In conjunction with the organi-
zation and work of the drafting department, some system is
essential, since, in large drafting-rooms especially, there are
thousands of tracings and records which must be cared for and,
in addition, considerable routine work that must be done in a
systematic way. The exact details of a drafting-room system
must conform to the conditions existing in each plant and may
vary considerably according to the type of plant and its size.
Some of the more important features common to drafting-room
systems will first be outlined.
Standard Drawing Sizes. In order to simplify the handling
and indexing of drawings, it is desirable to have a single standard
size for the sheets. The blueprints that are used in the shop,
however, should not be larger than is necessary, for reasons ap-
parent to anyone who has had occasion to use the unwieldy barn-
272
DRAFTING-ROOM SYSTEMS 273
door sizes. The requirements of both the shop and office may be
met by making the tracings of standard size and cutting the print
up afterward into as many smaller sheets as may be necessary
when the tracing has on it two or more separate drawings. While
there is no generally accepted standard, tracings measuring 24 by
36 inches are very common. This standard sheet may be divided
into 18- by 24-inch half-sheets; 12- by i8-inch quarter sheets; or
9- by 1 2 -inch eighth sheets; the latter are sometimes referred to
as " sketching sheets," and are especially suitable for drawing
small parts made on the screw machine, etc. If an extra large
sheet is needed for an assembly view, a 36- by 48-inch sheet, or
larger, may be made and folded to the standard sheet size for
riling.
Numbering the Parts and Drawings. In numbering parts
and drawings, each type of tool may be given a distinctive letter.
For instance, in a plant building machine tools, " A " might rep-
resent a universal milling machine ; " B," a plain milling machine ;
" C," a vertical type; " D," a shaper; and so on. The size of
the machine would be indicated by a number accompanying the
letter. Thus, " A3 " is a No. 3 universal milling machine, and
" Li 6 " might represent a 1 6-inch engine lathe. Each separate
part is also given a serial number. Thus, L 16-3 2 might represent
the cone-pulley for a 1 6-inch lathe. This symbol would also be
marked on the pattern in order to identify it.
The title of the drawing is placed in the lower right-hand cor-
ner, usually in a ruled off space 2 or 3 inches high and 4 or 5 inches
wide. The exact arrangement of the title varies considerably,
but, as a rule, it contains the symbol of the machine, the lot num-
ber, which is filled in on the blueprint, the part number or num-
bers, a title descriptive of the part drawn, the name of the ma-
chine to which the part belongs, the firm name, the date, the
initials of the draftsman and of the one who checked the drawing,
and a space for recording changes that may subsequently be made.
In the margin at the lower right-hand corner of the sheet, it is well
to place the numbers representing all the details on that sheet for
convenience in filing the tracing. In assigning numbers to parts,
it is also advisable to omit a few numbers in the beginning so that
274
SHOP MANAGEMENT
these omitted numbers can be given to the assembly drawings
when they are made.
Lists of Machine Parts. There should be accurate lists of all
machine parts for which drawings are made. The parts may be
classified according to the materials of which they are made, the
different classes being listed on separate sheets. Fig. i shows a
form used for listing castings. This same form may also be used
for forgings by substituting the word " forging " for " casting."
The form shown in Fig. 2 is intended for parts made from bar
stock. Another list should be made up for purchased parts, such
as bolts, nuts, screws, and similar articles. These part lists may
be traced and blueprinted, but, if the machines are a regular
Mac
CA
LIST OP PARTS
ihine Name Size No.
Date
Svmbol
STTNGS, Material
Part
No.
Part Name
Number
Wanted
Weight,
each
Date
Ordered
Order
Completed
^J
,
Fig. i. List of Parts, as arranged for Castings
product, it may be advisable to print the forms since quite a num-
ber will be required. From these part lists, orders for materials,
lists of materials, and similar records may be compiled. When a
new lot of machines is to be constructed, the stock-keeper can
use the part list in order to see that every purchased part such as
screws, washers, etc., that will be needed, is in stock. The man
who orders the castings can also check the supply on hand with
the number that will be required according to the part list. These
lists are also of value to the shop foremen who have a record of
just what is required.
Dimensioning Drawings. A drawing like a machine may be
efficient or inefficient. As the purpose of a drawing is to show by
lines and dimensions the form and size of the required part, it is
DRAFTING-ROOM SYSTEMS
275
important to make the drawings clear and self-explanatory as far
as possible. In placing the dimensions on drawings, it is well for
the draftsman to keep in mind the operations that will have to be
performed on the piece. The dimensions should be given in such
a way that the workman will not have to add or subtract or make
other calculations in order to obtain the necessary dimensions.
Notes are frequently of considerable assistance in indicating
exactly what is required. The determination of limits requires
good judgment and experience on the part of the draftsman.
Dimensions that may be required by the patternmaker should
not be on shop drawings, since they are used but once and are
Mac
BA
LIST OF PARTS Date
ihine Name Size No. Syml
101
B STOCK PARTS.
Part
No.
Part Name
Length,
One Piece
Number
Wanted
Material
Form of
Section
Total
Lengtb
Fig. 2. List of Parts made from Bar Stock
objectionable in that they complicate the drawing. The extra
pattern dimensions may be placed on the paper drawing from
which the tracing is made or they may be marked with a yellow
pencil on a blueprint made especially for that purpose. If it is
necessary for a finished surface to be located relative to a rough
surface, a dimension line should, of course, extend from the rough
surface, but otherwise the shop drawing should show only the
dimensions of finished surfaces.
Checking Drawings. The checking of drawings to ascertain
whether or not they are accurate should be done after the tracings
are finished and preferably by someone other than the man who
made the drawing. It is well in checking to make out a list of
the possible errors and always refer to this list. The general de-
sign represented by the drawing should be examined to see that
276 SHOP MANAGEMENT
it is well-proportioned, adequate as to strength, and, in the case
of a part, in general harmony with the remainder of the machine.
Changes that might reduce the cost of molding in the case of"
castings and of machining should also be carefully considered.
All surfaces that require finishing should be so marked that there
will be no confusion regarding this point. It should be possible
to obtain directly from the drawing and without calculation each
dimension that will be required by the machinist. In checking
a detailed drawing its dimensions should be compared with those
of every related part in the machine, whether the related part is
detailed or given in the list of stock parts. Titles and stock di-
mensions should be compared with entries in the list of detailed
parts. If the drawing is not self-explanatory, notes should be
added so that it will not be necessary for the workman to ask
questions. The title of the drawing should also be checked to see
that it is correct in regard to the name, part numbers, etc.
Changes in Design. In shops where the product is in a con-
stant process of improvement, it is necessary to make provision
for changes in design in a good drafting-room system. The men
in the shop should never be allowed to make an erasure or addi-
tion of any kind to the shop prints and drawings. If an error is
discovered or an improvement found advisable, it should be re-
ported at once to the drafting department. In general practice,
however, it will be found best from the drafting-room standpoint,
and that of cheapness of production as well, to delay radical
changes until a new lot is begun. In some places, the foremen
and other prominent men are furnished with books of forms on
which they write suggestions for the improvement of the different
lines of machinery. The form is filled out in duplicate with a
stub in the book, and is sent to the drafting-room, where it is
considered either immediately or when a new lot is ordered, ac-
cording to the urgency of the case. This method gives the drafts-
man the advantage of having all the suggestions in a tangible
form, for ready reference, and also gives the credit to the men who
hold the duplicate stubs.
It will be found advisable to make out a list of everything which
might require attention in making alterations of any kind. The
DRAFTING-ROOM SYSTEMS 277
following outline would cover about everything: Detail tracings;
assembly tracings; list tracings; all prints (detail, assembly, and
lists); patterns; special tools; and record of changes.
In making a change, if it is at all elaborate, it is best to sketch
it out on detail paper before making changes on the tracing.
Cases sometimes occur in which a comparatively simple change,
like shortening the overall length of a complicated casting, would
entail a considerable amount of labor. To avoid this, the dimen-
sions only may be changed, and a small heavy circle be drawn
around the dimension. This gives notice that the dimensions
are out of scale, so that the drawing will not measure correctly.
The assembled drawings should be kept up-to-date if they are
to serve any purpose at all. In some cases it might be permissible
to introduce circled dimensions on these tracings as well, where
an otherwise small change would require much erasing.
Patterns and special tools must be looked up for each individual
case, and duplicate written orders made out for changes, one to
go to the toolmaker or patternmaker, and the other to be kept in
the office as a record until the work is reported finished.
After each change is completed and checked up, the person
making the change should enter his initials and the date in a space
provided on the drawing. A " Record of Changes " book should
be kept. Under the date in the " Changes " column, there should
be entered a brief description of the alterations, giving exact
dimensions, and perhaps the reason for them as well. A separate
book should be kept for each line of machines manufactured. By
comparing the last change date on a print with that on the trac-
ing, it can immediately be determined whether or not the print
is up-to-date. By referring to the given date in the " Record of
Changes," the exact scope of the alteration can be found at any
time. This will be found a great convenience.
In cases where an error has been made in the shop on a machine,
and a deviation from the drawings in that particular case will
save a large amount of costly labor and material, such change
may be made ; but it must be recorded for convenience in making
future repairs and attachments. The machines of a given kind
and size should be numbered serially, beginning, for instance, by
278 SHOP MANAGEMENT
numbering the first 20-inch lathe built, No. i, the next one, No. 2,
and so on, as long as the machines are built. This number should
be stamped in a prominent place, and attention called to it in the
catalogues and other printed matter of the firm.
Record of Machines Shipped. A book for a " Record of Ma-
chines Shipped " should be kept, with a page for each individual
machine. This page should be numbered with the serial number
of the tool, and contain the name of the firm to whom the ma-
chine was sold, a record of the inspector's tests, a description of
any change from the standard drawings used on other machines
hi the same lot, and a record of all attachments furnished, repair
parts sent, complaints from user, etc. It is easy to see the value
of such a record as this in furnishing new parts, remedying de-
fects, and estimating the values of various designs. After each
lot of machines has been approved ready to ship, all the blue-
prints detail, assembly, and lists should be returned to the
office.
Drawings and Lists of Tools. Drawings of tools should be
numbered with the symbol and part number of the detail for the
manufacture of which they are used, adding a serial number as
well. This serial numbering should be common to all tools made,
no matter for what purpose, and is to be given them in the order
the drawings come from the office. Thus, if 1,22-75 is the part
number for the spindle of the No. 4 vertical milling machine, the
finishing taper reamer for the hole in the spindle might be num-
bered L,2 2-7 5-1 93. These numbers should be stamped or etched
on the different tools as soon as they are made.
All special tools should be listed in a suitable book, the tools
being entered serially as fast as drawn. With one arrangement,
the first column of the tool-list book gives the date of the tool
drawing, the name and number of the tool, and symbols repre-
senting a list of parts for which this tool is used other than the one
for which it was made. These tool and jig sheets should be filed
in a drawer of their own, divided into compartments of suitable
size, and all arranged with serial numbers in order, the lowest at
the bottom. The jigs and tools themselves are best arranged
with the serial numbers in order, since this will avoid constant
DRAFTING-ROOM SYSTEMS 279
rearranging as the stock increases. To find them readily, an
index list should be prepared, giving the standard machine parts
in numerical order, and listing under each one all the special tools
used in its production, whether those tools were originally used
for it or not. Much of this system of keeping track of special
tools is required only in shops where such tools are used in large
numbers.
In cases of special machines or outside work of any kind, which
does not come under the head of standard product, the system
previously described may be followed as a whole, with the excep-
tion of the symbol for the machine, which should be given a serial
number instead of the letter and size number of the regular prod-
uct. A record of these serial numbers should be kept in the
office, and the drawings filed away, if the job is important, in the
same manner as the standard blueprints. Attachments to regu-
lar machines, made up separately, may follow the entire system
for standard parts. The symbol describing them may be formed
by adding a letter to the symbol letter of the machine. Thus
AA~3 would be " Vertical Milling Attachment for No. 3 Univer-
sal Miller."
In place of record books, it might be better to use loose leaves,
with punched holes, and held in suitable binders. These leaves
could then have proper entries made on them with a typewriter,
and thus save hand work.
Index System for Drafting-room. The greatest difficulty in
devising a satisfactory index system is met with in shops having
to deal with a great variety of work. For drafting-rooms in
shops where the product is limited to only a few standard ma-
chines, or articles, which are turned out in great quantities, the
problem is a comparatively easy one. The main factor to be
taken into consideration when planning a system is the rapidity