quently be canceled or repeat orders, at least, will not be received
by the manufacturer. It was due to the distrust created among
prospective purchasers, through giving evasive answers to in-
quiries about dates of shipment, and failure to keep promises,
which led to the development of this follow-up system. This
system is, with some modifications, in use in one of the largest
factories of its kind in the United States, and it has proved ade-
quate in eliminating the evils which previously existed, and in
improving manufacturing conditions, so that the work of the
sales department has been made far more efficient.
Benefits of a Follow-up System. The benefits derived from
this system may be outlined as follows:
1. It enables the management to tell the date on which any
order will be finished and ready for shipment, without having to
go out into the different manufacturing departments, and with a
minimum expenditure of time.
2. To systematically follow up all work promised and un-
promised from one department to another, and thus receive
warning of any delays or mishaps which may occur.
3. To tell at short notice in which department any order is at
any time.
4. To tell at equally short notice how long an order has
been in any department at a given time, thus making it pos-
sible to investigate causes of delay and take steps to remedy
them.
5. To find out how many orders a department has on hand,
thus making it possible to trace congestion and investigate the
cause, i.e., shortage of help, equipment, etc.
112 SHOP MANAGEMENT
6. To afford a means of creating watchfulness on the part of
department heads in regard to the time taken in the execution of
orders.
As a result, it is impossible for men who are responsible for de-
lays to avoid censure by excuses. As the foremen know that the
follow-up system affords a sure method of placing responsibility
for any delay that may arise in the execution of an order, they are
quite careful to make investigations on their own account before
their superiors have been advised in regard to any delays that
may have occurred in their respective departments.
To those who are in touch with the details of operating a
modern plant, it may seem that any follow-up system is a needless
expense, especially if the goods manufactured are of a standard
kind (not necessarily size). In most lines of manufacture, how-
ever, even standard articles consist of several parts, and, in order
to turn out the finished product, these parts must be finished and
made ready for the assembling department long before the sup-
ply of finished product has been exhausted. In such cases, a
follow-up system is necessary for tracing the parts of the com-
pleted product through the different departments of the factory.
Under these conditions, the system can be reduced to its simplest
and most inexpensive form, its chief function being to follow up
orders, consisting of a limited number of either parts or complete
articles, finishing them before the supply is exhausted.
The system is particularly useful in establishments manufac-
turing small products of many sizes and many kinds, where a
great variety of stock must be kept on hand at all times. It will
also prove itself of more than ordinary value to an establishment
where the departments have been grouped according to opera-
tions. The advantage of this method is that each department is
run by an expert who has the machines used in his department
operated according to the most economical method, thus making
them produce more and better work than would be possible if the
product were made complete in a single department. The saving
effected by this method may be limited by the loss of time which
is involved in moving the work from one department to another,
in getting started in each department, and by such necessary
FOLLOW-UP SYSTEM 113
operations as counting, inspecting, etc. Where a factory is run
without the use of an efficient follow-up system, trouble will be
encountered from failure to keep promises in regard to shipment
dates, through finding the supply of raw material suddenly
exhausted, etc.
Causes of Delay in Finishing Orders. Among the important
features governing deliveries in any manufacturing plant are the
stock and store-rooms for either finished parts or the complete
product, and it will be well to investigate some of the causes which
are responsible for failure to supply these departments with goods
in the required quantity and at the specified time. The causes
may be outlined as follows :
1. Non-anticipation of large orders and the receipt of a num-
ber of small orders at the same time.
2. Shortage of raw material and failure to obtain a fresh supply
in time to meet existing requirements.
3. Failure to obtain additional equipment in time to meet
existing requirements.
4. Lack of system in ordering stock, resulting in failure to issue
orders to the factory in time to allow them to be completed before
the stock on hand has been exhausted. The department having
this work in hand should have intimate knowledge of the capacity
of each department, as well as of the entire factory, so that it is
possible to foretell exactly the amount of time required to com-
plete any order which is issued.
5. Delays resulting from resetting automatic machinery to
adapt it for a new class of work.
6. Delays caused by premium or contract systems where de-
partment foremen evade changing machines from one kind of
work to another, in order to secure the greatest possible financial
gains for themselves and their men.
7. Failure of the management to see the advantage of invest-
ing money in finished material, blanks, castings, and raw ma-
terial. This condition is most pronounced in times of depression,
which are best suited for " stocking up," as labor is cheapest at
such times and manufacturing can progress unhampered by
special orders that must be completed by a specified time.
114 SHOP MANAGEMENT
Nearly all of these causes of delay were remedied in less than
eighteen months by the follow-up system to be described. This
was due to the fact that the system automatically calls attention
to conditions responsible for delays, and keeps everyone, from
the manager and superintendent to the foreman and his assistant,
informed of the conditions that have to be met in order for ship-
ments to be made at a specified time. After a careful investiga-
tion of the causes of delay outlined in the foregoing, it may be
stated that the failure to keep an adequate supply of materials on
hand is responsible for the greatest amount of trouble. The
other reasons outlined suggest methods of avoiding them, so that
little comment is necessary. It is advisable to keep a few surplus
machines and a reserve quantity of finished parts, blanks and
raw material on hand. This will make it possible to take care of
large orders that come in unexpectedly or a number of small
orders received simultaneously, without impairing the operation
of the factory in any way.
Value of Surplus Stock and Equipment. There is no excuse
for any plant manufacturing a product for which there is a con-
tinued demand not providing itself with a surplus supply of
finished product. The growth of any industry is dependent upon
its ability to meet the demands of its customers, both as regards
quality and prompt service. The customer scarcely considers
whether his order is too large for the establishment or whether
there are other orders on hand which must be filled before his re-
ceives attention. The result is that the factory which is able to
fill orders promptly usually gets the business. The question of
quality is taken for granted, and the manufacturer who neglects
this feature will find himself unable to meet the keen competition
that exists in practically all lines.
The preceding may be summarized by stating that, in order to
meet possible demands of customers for immediate delivery, one
of two conditions must exist in the factory. The stock-room
must either be well filled with finished product or finished parts
of which the product consists, so that it is merely a matter of
assembling them for prompt shipment, or else the factory must
have an equipment large enough to take care immediately of
FOLLOW-UP SYSTEM
large orders and finish them without delay. The first condition
may be fulfilled by issuing orders to the factory in sufficient
quantity and far enough ahead to enable the parts to be finished
before the supply of stock on hand is exhausted. (It is suggested,
in this connection, that, when the supply on hand has been re-
duced to an amount equal to the number of pieces sold during
any previous year, another order for an equal quantity should
be issued immediately. The machine and tool equipment should
also be large enough to produce such a number of pieces in a year.)
While most manufacturers are willing to invest in reserve equip-
ment, they are unwilling to keep a surplus stock of product on
CUSTOMERS
ORDER NO.
OUR
ORDER NO.
NO. PIECES
WANTED
KIND OF TOOLS
WANTED
WILL FINISH
DATE
1
2
3
4
5
FILLED IN
BY OFFICE OR
(STOCK DEPT.)
*
FILLED IN
BY FOLLOW-UP
DEPT.
AND RETURNED
TO OFFICE WITH
ORIGINAL LET.
OF INQUIRY.
Machinery
^F
BEFC
ILLED IN BY !
RE BEING SENT T
TOOK DEPT>
) FOLLOW- UP DEPT.
Fig. i. Form used to Follow up an Inquiry Regarding Date of Shipment
hand. It is reasonable to assume that the capital invested in
extra equipment provided to meet emergencies is equal at least
to that necessary for keeping a sufficient quantity of finished
product on hand to meet such emergencies. In most cases,
however, the capital invested in finished product is less than that
required for a sufficient reserve equipment, and this advantage
is further emphasized by the fact that shipments can be made
immediately upon the receipt of orders, when the product is on
hand in the store-room. In addition, the capital will be turned
over more rapidly, as it is not necessary to wait while the product
is being made before it can be shipped on a given order. It
seems impossible that this fact can escape the attention of the
n6
SHOP MANAGEMENT
management of so many manufacturing establishments, especi-
ally when the product so " stocked " can generally be produced
at less expense than when made under average conditions. The
solution is seemingly found in the fact that equipment does not
show up on the books in the same way as finished product. In
considering this subject, it should also be borne in mind that
immediate shipment is a means of adding to the list of satisfied
customers who will send in repeat orders.
Follow-up System. Having outlined some of the more im-
portant reasons for the use of a follow-up system, and the con-
CUSTOMER
ADDRESS.
CUSTOMERS
NO.
OUR
NO.
NUMBER AND KIND OF TOOLS
WANTED
DATE
SHIPPED
Machinery
Fig. 2. Card index kept by Stock Department
ditions over which it has control, a system which has many origi-
nal features, and which has proved very efficient will be described.
In order to make the explanation readily understood, certain
minor details such as shipping and factory order forms will be
omitted, as the forms in general use for such purposes can be
adapted to almost any system with satisfactory results. In
explaining the workings of this system, it will be assumed that
any inquiry as to the date of shipment of an order is received by
FOLLOW-UP SYSTEM 117
the office. This inquiry usually carries the customer's order
number, and is generally given a factory order number by which
it is known until the order has been completed and shipped. The
inquiry is immediately turned over to the stock department with
the tag shown in Fig. i attached to it. The customer's order
number is generally filled in by the office, but, in certain cases,
where the customer's original order number is on file in the stock
department, the tag is filled in when it reaches that point.
Stock Department Card Index. The stock department
keeps a card index, of the form shown in Fig. 2, on which the
factory order number is given opposite the customer's order
number in cases where the goods are not in stock and have to be
made. If no number appears on the card opposite the customer's
order number, it signifies that the goods have already been
shipped, the date of shipment being recorded in the column
marked, " Date Shipped." If shipment has not been made,
which is shown by the fact that no notation appears in column 4,
and if no number appears in column 2, it shows that shipment
can be made from surplus stock on hand. These cards are in-
dexed according to names, and it will be noticed that one or more
cards are used for each customer and that each card takes care of
several orders.
If the order is special (not in stock and not finished), the in-
quiry, with the tag shown in Fig. i attached to it, is immediately
turned over to the follow-up department for answer in regard to
the date on which delivery will be made. All of the columns on
the tag shown in Fig. i, except the last one, have been filled out
by the stock department, the date being taken from what is
known as the shipping order, which includes all details in regard
to the items covered by the order.
Order Tracer Card Index. The follow-up department refers
to the order tracer card file, the form of which is shown in Fig. 3.
These cards are filed in numerical order, one card being provided
for each order number, and show the location of any order in the
factory at any specified time; consequently, it is known how far
the work has advanced, and also the date on which the work will
be finished. A record is also kept on this file of any delay that
n8
SHOP MANAGEMENT
=^
100
DATE
NAME
ORDER
=====
PROMK
DESCRI
w^f^d^
ORD
OF ISSUE OF W
OF CUSTOMER
('
NO.
ER TRACER
.0.
F STOCK WRITE "STOCK" HERE)
jibT. -
PTION OF TOO
LS
NAME OF
DEPT.
DEPT.
NO.
LEFT
THIS
DEPT.
DATE
MUST LEAVE
THIS DEPT.
DATE
REMARKS:
REASON FOR DELAYS
ETC.
CUT-OFF
1
CHUCKING
2
f-l-fe-
TURNING
3
z * S
MILLING
4
g-3-B_
INSPECTING
5
2
HARDENING
6
rff
GRINDING
7
in
INSPECTING
8
i S
<-> z S
9
44s
10
Ti
DEPARTMENTS HERE GIVEN ARE IN THE SAME
ROTATION AS MOST OF THE WORK TRAVELS.
GIVING EACH DEPARTMENT A NUMBER SAVES
WRITING OUT THE NAME OF THE DEPARTMENT
ON "DAILY REPORT", ETC.
THIS IS FILLED IN BY ROUTE CLERK AND IS A COPY
OF ROUTE CARD GOING WITH W.O. DATES "MUST
LEAVE" ARE NOT IN ROTATION AS THE WORK DOES
NOT ALWAYS TRAVEL IN THE ORDER IN WHICH NAME
OF DEPT. IS GIVEN IN COL. 1
FILLED OUT FROM FOREMAN'S REPORT TO SUPER-
INTENDENT BY FOREMAN SENDING THE WORK.
1234 5 Machinery
Fig. 3. Order Tracer Card Index kept by Follow-up Department
in which Cards are filed in Numerical Order, one Card being
provided for each Order Number
FOLLOW-UP SYSTEM
119
has occurred, the department in which it occurred, and the
reasons for the delay, reference being made to the superinten-
dent's " Reasons for Delayed Orders " file for this information.
Every foreman is required to report to the superintendent at the
end of each day's work in regard to every order which could not
be finished and sent on to the next department as required by the
schedule. When a department foreman receives an order, he
marks the number of the order on his work calendar in the column
opposite the date on which the operation must be finished by his
10
PROMISED
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
Machinery
Fig. 4. Work Calendar showing Dates on which Orders must be finished
department. One of these calendars, shown in Fig. 4, is generally
kept by the foreman to insure finishing all orders on time,
according to the route clerk's schedule.
The plan of having the foremen report any delinquencies or
causes for failure to complete an order in accordance with the
schedule is one of the best guarantees that the work will be fin-
ished on time. As the superintendent is kept constantly in touch
with the progress of each order by this method, he is able to take
the necessary steps to prevent a constant recurrence of delays in
I2O
SHOP MANAGEMENT
ESTIMATE AND ROUTE CARD
(MUST ALWAYS TRAVEL WITH ORDER IN ENVELOPE)
ORDER NO.
DESCRIPTION
CUSTOMER
NAME OF
DEPT.
DEPT.
NO.
ROUTE
MUST
LEAVE
THIS
DEPT.
DATE
ACTUAL
DATE
OF
LEAVING
DEPT.
REMARKS:
REASON FOR DELAYS
ETC.
CUT-OFF
1
1
CHUCKING
2
2
TURNING
3
5
MILLING
4
4
INSPECTING
5
6
HARDENING
6
7
GRINDING
7
8
INSPECTING
8
3
9
10
DC
i
*
Z
Z
Q
U
UJ
UJ
Ul z
CO g
ai co
tr
u.
!g
CO K
"4
> \~
H
Q.
UJ
Q
t
UJ
Q
z
* o
OQ
CO
O |-
h
H X
p? ^
C
< UJ
o
o
^
a: z
Q
M
UJ 2
Q
a
Q_ l_I
-J O
UJ
UJ
O 0-
- 1 o:
u_ u.
_j
_j
I
1
2
3
4
5
6
JlfacAznery
Fig. 5. Estimate and Route Card which follows Order through Factory
any department, and this is largely responsible for the success
which has been obtained from the use of this system.
Time Estimate and Route Card. The date on which the
work or operation must be completed by any department or fore-
FOLLOW-UP SYSTEM
121
man will be found on the " Route and Estimate " card shown
in Fig. 5. These cards are filled out by the route clerk before
the orders for the work are sent out to the factory, and follow
the orders for the work from one department to another until the
order is completed. These route cards not only show when each
operation must be finished, but also the order in which the work
DAILY REPORT
OF ORDERS HAVING TO-DAY LEFT THIS DEPT.
NAME OF C
)EPT.
NAME OF
DEPT.
DEPT.
NO.
DATE OF
PROMISE
OF
ORDER
ORDER
NUMBER
ORDER
SENT TO
DEPT.
No.
REMARKS
CUT-OFF
1
CHUCKING
2
TURNING
3
MILLING
4
INSPECTING
5
HARDENING
6
GRINDING
7
INSPECTING
8
9
10
1
2
3
4
5
6
Machinery
(DEPT. FOREMAN)
Fig. 6. Form used by Foremen in making Daily Reports
is passed along -from department to department, as shown in
column 3. For instance, after the chucking operation is com-
pleted in Department 2, the work must be sent to Department 5
for inspection, then to Department 4 for the milling operation,
and so on until it is completed. Before the work leaves any de-
partment, the actual date of leaving is filled out on the route and
estimate card by the foreman of the department. This is done
122
SHOP MANAGEMENT
o
CAPACITY SHEET PER HOUR-PER DAY OF 10 HOURS
COLLETS -^2 SCREW MACHINE
DEPART-
MENTS
CAPACITY-SIZE
REMARKS
y 2
%
H
%
CUT-OFF
CHUCKING
TURNING
MILLING
INSPECTING
HARDENING
GRINDING
INSPECTING
Machinery
Fig. 7. Capacity Sheet for No. 2 Screw Machine Collets
o
ORDERS IN PROCESS PROMISED
COLLETS 2 SCREW MACHINE
SIZE
QUAN-
TITY
ORDER
NO.
DATE PROMISED
< OFF"
ING
TURN-
ING
MILLING
NSPECT-
ING
HARDEN
ING
GRIND-
ING
INSPECT
ING
K
^2
Va
%
%
%
%
%
ft
%
V /8
Vs
Machinery
Fig. 8. Sheet giving Record of Orders in Process of Manufacture
FOLLOW-UP SYSTEM 123
at the same time that the daily report shown in Fig. 6 is filled
out and the foreman receiving the work will be certain to report
any errors in these dates to the follow-up department, if the route
cards are dated unfavorably to him. This affords a method of
checking the accuracy of the daily reports when they are being
recorded on the tracer card file by the follow-up clerk.
With the data available through the records kept by this sys-
tem, it is possible to answer inquiries in regard to the date of ship-
ment immediately and with a reasonable degree of accuracy,
without having to go out into the manufacturing plant for the
purpose. The tracer card file, shown in Fig. 3, is the key to the
whole situation. As previously mentioned, these tracer cards
are made out before the orders go to the factory and are checked
every day from the daily reports shown in Fig. 6. The route
outlined on the route and estimate card, shown in Fig. 5, is also
listed on a route card (not shown) which is made out for each
class of work. In this connection, it may be mentioned that the
routes followed through the factory by many classes of work are
practically the same.
Determining the Capacity of the Factory. The capacity sheet
shown in Fig. 7, although not directly connected with the follow-
up department, plays an important part in the operation of the
factory. These sheets show the capacity of each department for
all the different operations which it handles. They are kept in
a special loose-leaf binder, so that changes may easily be made in
the case of an addition of new machinery or methods in any de-
partment. The left-hand pages of the sheets kept in this binder
enable the route clerk to determine the capacity of any depart-
ment for a given operation at a glance, and the right-hand pages,
shown in Fig. 8, give a record of all the orders in the factory that
must be handled by the different classes of tools, the capacities
of which are given on the capacity sheets. The dates on which
these operations must be completed are recorded so that, when
a new order is issued, an accurate estimate of its date of com-
pletion may be made.
The follow-up clerk checks the number of each order which has
been passed on to a new. department and the departments to
I
cc.
no
1000000000000
ooooooooo
* f i i i i i
Llliiillj
I
11
-8B
- |
124
FOLLOW-UP SYSTEM
125
which the work was sent from the daily reports, when checking
up the tracer cards each morning. In so doing, he finds any
discrepancy between the date on which the work was finished
and the date when it should have been finished, according to the
schedule. He may refer to the superintendent's file to obtain
the reason in case of delay.
Following Progress of All Departments. Although this
system may be said to fill all of the requirements of following up