Business & Finance: Ford’s Bookkeeping

Much money can be lost through poorly kept accounts. Henry Ford has always stressed accurate and efficient business records, and when he acquired his railroad, the Detroit,

Toledo & Ironton, he began to introduce new principles of bookkeeping there.

When Mr. Ford took charge of the D., T. & I. its accounts were handled in 54 separate offices, including those of the superintendent, the chief engineer, the master mechanic and the storehouse keeper. Speedily all these accounts were transferred into a single office.

At a stroke, this step ended voluminous interdepartmental correspondence, duplications, special reports and other unnecessary work. Furthermore, active heads of departments were freed from the irksome duty of giving personal attention to accounting matters.

Next, the accounts kept by station agents in 50 stations were also put under the accounting department, with similar economies and gains in efficiency.