1.) Hello! The subject is ESTABLISHMENT OFFICERS. The background history of this begins in 1950, when I was the Establishment Officer.

1.) There is a dichotomy here between Production and Establishment. (One tends to get in the road of the other unless brilliantly coordinated.)

2.) I brought the desk, did all the products, gave lectures, did most of the auditing and worked about 18 to 20 hours a day, and to some degree made it come off OK.

2.) Example: In 1950, I had a PE Lecture Line set up. Ads on radio. 125 people per week came to Lecture. Filled in cards with name, address and service wanted. Left them on the chairs. Then the line broke. But the janitor, sweeping up the floor afterwards, decided the cards were valuable and brought them to me instead of burning them with the other trash! So the line was: Ad - PE Lecture - Card - Janitor - Me! Wow!

3.) When I dropped out of the scene, there was an instant collapse.

3.) The org in 1950 (Dn Foundation) was making a fortune until it crashed because of out-ethics and Dev-T, dishonesty and takeover attempts.

4.) The organizations "ran" to some degree, but had out ethics, out tech, out policy, and eventually went down the drain. (Those were the "First Foundations".)

4.) It could be put back together again. ANY org can. It doesn't matter what the PR is, The papers and Time Magazine say, the attacks by psychs and the governments, the word of mouth in the street. None of that matters.

5.) I was NOT on the Board of Directors of those Foundations, so I was not the prime mover. I was a managing officer and "doer".

5.) An effective, efficient organization which is running viably makes money EXACTLY IN PROPORTION to the amount of production done by each individual post in it without Dev-T.

6.) The Board of Directors was a barrier to getting ANYTHING done mostly because they believed they should be "popular" (have status), and do "usual" things (conform).

6.) And THAT is how an org is put together.

7.) "Popularity is one thing, and TRUTH is another.

7.) The flow is not to just "hat somebody". The flow is not to END there. The full action of HATTING means to HAT HIM AND GET HIM PRODUCING THE PRDUCT OF THE POST.

8.) And that is what an ESTO does.

9.) "Reputation is ALL, truth is nothing" is their motto. And that is the downfall of any University, Research Organization or Research Scientist.

Ex: New guy comes on post. ESTO says:

"There you are on the Org Board."

11.) So, that type of "editing" of the org actions and that type of government, is one that will FAIL.

"There is your desk."

12.) The SUCCESSFUL management lines in the world are - were they exist - conducted by men in a mood of DESPERATION and EXASPERATION.

"Here are your supplies."

13.) They are carried on the back of ONE person, and there will be a half a dozen "stalwarts" (loyals" in a very large group that keep the show on the road one way or another - over slumberous (sleepy), alter-ising, editing "all for the best people" - MOBS.

"Here is your hatpack."

14.) And as a result, the LIFE SPAN of organizations approximate the WILLINGNESS span of their prime motivators.

"The guy you relieved can answer your questions."

15.) And after someone has wrestled with it long enough, and has been caved-in by it, he tends to move-off or quit it to some degree and put his attention to something else. Then things cave in here and there. So then, with great heroism he goes in again to try and make the machine go and leaves bruised feelings and HE&R widespread, but he does get something done.

"Read your hatpack."

16.) And then he relaxes and it tends to fall apart again.

"I'll be back in a couple of hours to check you out." -

17.) You ask any executives who have been the causative factor in organizations and they will tell you that cycle is very TRUE.

"Now, what's your post" who is your senior? What do you produce on this post?" -

18.) And it is the cycle of CIVILIZATIONS, not just the cycle of one organization.

"Take hold of these cans. What are your misunderstoods? What word is it?" (Method 4 Word Clearing) -

19.) EX: A missionaire goes into an org, does what he is supposed to do, leaves, and one week later it is GONE.

"What machines do you have here?"

20.) ESTABLISHMENT then, is the KEY to organizational prosperity.

"This is your instruction manual for that machine. Study it for one hour. Identify all the parts. I'll be back in an hour to star-rate you on it." -

21.) And, it has never been recognized to what DEGREE ESTABLISHMENT accounts for the prosperity and long life (or longevity) of the organization.

"I'm sorry you are confused. Sit here and confront your area for 2 hours." - "Good. Now we will run Reach and Withdraw on your typewriter." (or other equipment).

22.) Man, in his cultural, ethnical and anthropological background, is essentially a NOMAD. (A wanderer or traveller)

9.) This is an example for how I have done it in the past. By the way, do you know how to run Reach and Withdraw on a Steward? You have him com in the dining room and then go out. ("Reach" = he comes in "Withdraw" =he goes out.).

23.) When you have a society at a high tension and where its values are changing or variable, and where the society itself is enturbulative in the extreme, the individual society member is knocked here and there, back and forth, around and around, and is himself, in a state of foment or change.

10.) And before you run R&W, you have them do a 2 hour confront of their area first. It's the gradient of the TRs. These are "Work TRs". And they WORK. All of the TRs can be done between the person and his post.

24.) It's a continious state of CHANGE - the number of addresses that have to be changed in an organization to keep the address list up to date is great. It's WORST in the United States where the society itself is the most chaotic. But it is certainly bad enough in UK and EU.

11.) You would be amazed. Around here someplace is the account by Bill Robertson of hatting a Steward on Reach and Withdraw who had been one of the wildest Dev-T artists we had for sometime. He had the guy having wild cognitions and gains. Afterwards the Steward did function quite well on his post, and became a good Sea Org member.

25.) The society itself doesn't take care of a person's RIGHTS.

12.) You will find people go downhill on post just because they don't ACK and have never been ACKED. (So TR 2, 3, 4 are very valid too.)

26.) Examples: Divorce laws, debts, shoddy products. You could probably spend 100,000 Dollars to try to get your money back for a rotten basket of blackberries you were sold, and it would take years. If there is an injustice in the USA, then the US government has probably committed it.

13.) So TRs can go out on a post. They don't report or say they have "done it" when they complete something.

27.) As a result, these injustices and these social stresses, and economic stresses, create people who are PTS to the Society, cannot concentrate on what they are doing, and who, themselves, are in MOTION.

14.) More hatting Examples: "Read Problems of Work - I'll be back in 4 hours to see if you've finished." "Buy a Volume 0 from the bookstore and read it." "Come over here and I'll show you the comm system."

28.) They, themselves, are UNSTABLE.

15.) Now that's an example of Hatting ON Post. As an ESTO, you would even go into greater detail and get him to produce a product of his post as a practical demonstration of his competence.

29.) So, you have a Dissem Sec today and you don't have one tomorrow. And you don't have a Dist Sec today, and you are not about to get one.

16.) "ON THE JOB TRAINING" has been used in the wog world, alternating training and apprenticeship work and study and practical. Now we are going to step that up enormously.

30.) In other words, the EBB and FLOW of PERSONELL is the primary DIS-ESTABLISHING factor.

17.) We are going to INSTANT HAT and then have him PRODUCE THE PRODUCT of THE POST. And then HAT HIM A LITTLE MORE and PRODUCE THE PRODUCT OF THE POST. And then HATHIM MORE and PRODUCE THE PRODUCT of THE POST. Etc., etc.

31.) The stresses the personell are under, and their nervousness and restlessness in the society makes them UNSTABLE.

18.) We are going to do ON THE JOB HATTING. So you could expect to get a brand new typist and have her almost immediately getting out letters.

32.) Now, our organizations are built out of PEOPLE. So we have an analogy in a machine - whose parts are there today and gone tomorrow, whose parts are OK today, but broken tomorrow - in other words, that machine would have an awful time trying to keep running!

19.) And tomorrow, they are going to be BETTER letters, because in between you are going to be hatting her.

33.) Also, the ECONOMIC stresses of this society make no allowance for this INSTABILITY.

20.) You can "track" an I&R thru an investigation to see what he can't handle. Hat him and do more. Eventually he will become a VERY professional investigator.

34.) So the hustlers, bill collectors, tax man, and landlord must all still be paid. So no matter if an org is suddenly, or slowly, disestablished, the economic burden is STILL THERE.

21.) I have C/Ses telling me - "But I know where to LOOK FOR the technology, so I really don't have to know it, do I...? Ahh - so. The C/S HAS to know the TECH so he can tell the AUDITOR to look it up. And so he can PLAN and PROGRAM the handling of the case. The Reason C/Ses make mistakes it that they haven't gone over their materials enough times. (Number of times through = CERTAINTY).

35.) But that's not all. Not only does the economic burden NOT decrease, it INCREASES - because of INFLATION.

22.) I have studied BASIC PHYSICS, for instance, 5 times. I got very familiar with all of its laws. Once at George Washington University (where the media say I never went) I helped a Senior design a Locomotive. He didn't know what a "British Thermal Unit" was so couldn't figure out the Dimensions of the coal-burning firebox. I was a freshman at the time.

36.) Money at this stage of the game is becoming LESS valuable per unit. It takes MORE money to buy the same things you used to get for less.

23.) Do you know that C/Ses hang up because they don't know what an Engram does? They will send a guy to a doctor because right after a session he breaks out in a rash on his skin! Man, that's a restimulated or unflat engram for sure!

37.) Money is thus INFLATING. And that is because there was no ESTO to hat the President of the United States. Instead, he read a book by a pederast named Keynes, who was part and parcel of the "Fabian Society", an honored guest of Stalin, the husband of a Russian ballet dancer, and who has dominated the political-economical scene for decades. They are just starting to get wise to this now and throw out his text books from the university courses.

24.) I have to take C/Ses back to their basic TEXTBOOKS I never bother to teach them the "upper story" of tech till BASICS are in.

38.) He advocates "INFINITE INFLATION". The keynote is "CREATE WANT". He sure IS creating that where governments use his principles.

25.) Every post who is NOT doing its job well has its BASIC TECH FUNDAMENTALS OUT!

39.) There were also two Hungarians who used to go around and advise governments on economics. I'm sure they were backed up by the CFR (Council on Foreign Relations) or someone like that. Somebody wondered about this and checked up on theirs back-trail - IN EVERY COUNTRY THEY HAD "ADVISED", there was a trail of "RUIN and BANKRUPTCY" afterwards. They advised Wilson (US President) just before the depression (of 1929).

26.) This can be so bad, they don't even know these BASICS EXIST!

40.) Now also, England's economics were not built originally by 2 odd-ball Hungarians who drifted in with some "Keynesian" theories. But now they are using it too!

27.) Ex: I found a person writing "ARC Breaky" letters who was crammed and crammed until it was found finally what was out. The person had never heard of the ARC Triangle!

41.) Now, nobody has evaluated this economic scene because first and foremost, they don't know HOW to evaluate. But the other reason is that Governments are on a sort of "suicidal kick". They are not constructive, they are destructive.

28.) These fantastic outnesses are possible in the ABSENCE of an ESTO. Just as in auditing, there is the "POLICY that will resolve the case".

42.) The only answer a government has to any given situation is VIOLENCE. You press them a little bit and you get VIOLENCE, you don't get anything sensible at all. They cannot be talked to.

29.) There IS a thing called STANDARD ADMIN. There IS a way to file a CF. It has to do with cabinets, folders, pre-file baskets, etc. I sent Herbie (Parkhouse) to AOLA to handle their CF. He found 3 children working in it and one out-ethics case. The Product Officer never had time to notice it. THAT'S why you need an ESTO.

43.) Now you could understand VIOLENCE if they were being attacked by violence, but they are not, and they use it mostly against the weakest and most easily controlled people - their own citizens.

30.) What does it take then, to put somebody on a post and hat him?

44.) So here is a planetary economic scene with "squirrel tech", and it gives the establishment of anything a "curve" (a tricky situation).

Well, it takes:

45.) So you plan an establishment costing "X" Dollars per week, and several months later it is much more. Added to that are the increased stresses economically on the staff members which add to the DIS-establishment and you finally have to have "4X" to keep going.

- PUTTING HIM THERE.

46.) And you will have auditors leaving the org to make "more money" in the Keokuk franchise, and they will be lured away by the promise of "big bucks". (But probably will end up making LESS.)

- SAYING HE IS THERE.

47.) So there is also an effort to "pull off" trained staff or experienced people.

- SHOWING HIM WHERE HE IS ON THE ORG BOARD.

48.) Now the answers to these things are not so grim. But, if you have the view that an ESTO is just needed to put it all there in concrete and then he is no longer needed - well, forget it.

- WHAT HIS POSITION AND RELATIONSHIP IS AND WHAT TERMINALS HE GOES IMMEDIATELY TO ON HIS FLOW LINE OF PRODUCTION AND HIS COMM AND COMPLIANCE LINE.

49.) It WON'T just stay there because of the restive economics of society, the nomadic tendencies of people and the violence that governments use against their populations. So you get shifts and changes in the society around you and in the staffs of the organization you are trying to establish.

- HIS ACTION ON POST, HIS SUPPLY LINE, HIS EQUIPMENT, HIS PRODUCT.

50.) So, ESTABLISH and MAINTAIN ESTABLISHED is the index of it all.

- THEN WHAM! PRODUCE SOMETHING

Your cycle is: ESTABLISH & MAINTAIN, then, ESTABLISH & MAINTAIN, then, ESTABLISH & MAINTAIN, etc.

31.) This begins to reveal all. NOW you can find his misunterstoods.

51.) You are handling stuff that makes quicksilver look like iron.

32.) Now listen- you can muster him, march him, chant the org board, etc. - but you won't find out if he knows anything about his post or not, unless you ask him to PRODUCE SOMETHING.

52.) So the ESTABLISHMENT OFFICER IS probably better named as the: ESTABLISHING OFFICER

33.) And THEN all the confusion rises to the surface, like the "body after 3 days in the water".

53.) "Day to day and sun to sun, the Establishing Officer's work is never done".

34.) "Now, lets see you produce a sample product of you post." This is where you get the blank stares and the comm lags. AND THIS IS WHERE THE DEV-T COMES FROM. BECAUSE PEOPLE NEVER DO "NOTHING". THEY ALWAYS DO "SOMETHING". SO HE WILL "FILL IN" FOR HIS NOT-KNOW OF HOW TO PRODUCE WITH DEV-T, NON-PRODUCTIVE MOTION.

54.) Now if you are dealing with a "guicksilver society" with that much disappearing, then you must learn to establish very rapidly. Rapid establishment is the answer.

35.) So very soon, as an ESTO, you want to see him PRODUCE A PRODUCT. Now you will see what policy he needs, what supplies are missing, what CONNECTED lines are out - because all of this starts EXPOSING ITSELF the moment you say "Produce a Product" at that post. Also the backlogs, the unfiled things, the space, lines, and comm breakdowns will show up - as if by magic!

55.) There are three types of establishing targets:

36.) Now this doesn't conflict with the Product Officer at all. The P/O wants ALL of the products and he wants them NOW so they can be numerically counted. And if he doesn't get a sufficient quantity and quality he gets bloody-minded, and this goes into ethics, heavy-ethics, and then "witch-hunts".

1.) INSTANT

37.) Probably of all the "witch-hunts" we ever had, only 2 or 3 were valid. The rest were simply "Dev-T" merchants who, through UNHATTEDNESS, were too damm stupid to know their actions were totally suppressive.

2.) MEDIUM

38.) They may even produce a bit of their products but then get into other things which are NOT their hat and snarl everybody up.

3.) LONG

39.) We had a spate (time) of heavy ethics when we started establishing on the ship. It was a wrong why. It wasn't that people were lazy or slow to comply - they were "stupid" about WHAT THEIR POST PRODUCT WAS beyond belief!

You are ALWAYS dealing with ALL THREE.

40.) They wasted half their time producing things that were NOT the product of the post that NOBODY WANTED!

56.) They don't go in gradients. You are ALWAYS dealing with an INSTANT WHILE you work on a MEDIUM WHILE you work on a LONG.

41.) The worst producers of Dev-T in an ORGANIZATION are - now hold your hat - AUDITORS! They are trained as AUDITORS, so because they know Scientology AUDITING technology, they think they know Scientology. And you are dealing with somebody who "KNOWS he knows". And you try to get in ADMIN TECH on him and it has "nothing to do with his post". Now, because he is "such a good auditor", you graduate him up to an executive post in total ignorance of POLICY. By this, you are demanding the organization go TOTAL DEV-T, because ADMINISTRATION ITSELF IS A TECHNOLOGY QUITE SEPARATE FROM AUDITIONG TECHNOLOGY, AND IS JUST AS STANDARD. AND has just the same "horrible consequences" to the organization, or a division, when done WRONG, that AUDITING, misdone on a pc.

57.) The successful ESTABLISHING OFFICER will have all three of those balls in the air simultaneously. Instant, Medium Range, and Long Range.

42.) So when you are ESTABLISHING something, you have to make it all MESH (fit) together, so that it PRODUCES. That is its purpose.

58.) Ex: You have a Dissem Sec in full time training, due to finish OEC next Tuesday. But today you have no Dissem Sec. What to do? That's the typical ESTO problem. I can only advise you: "Do it!" (Put her on post, finish trg. in study time.)

43.) You will never have any MORALE unless the guy PRODUCES. Production IS the basis of MORALE.

59.) So we have a 22 year history of "Booms" and "Depressions".

44.) So, your final test of whether or not the guy has been hatted is whether or not he produces a quality product of his post.

60.) When the DATA SERIES was developed, we then had a tool to penetrate these obscure mysteries - booms and depressions, booms and depressions. Not only with the network as a whole but also with individual orgs.

45.) Not whether he can "pass an exam. BUT if he CAN produce the product, he could pass the exam too. But not the reverse necessairily.

61.) Ex: The BOOK receipt monies at SH in 1967 were greater than its total income today!

46.) So, by introducing the idea of "on the job" training, we don't get in conflict with the Product Officer. That makes a "Bridge" across the Dichotomy (See note # 1).

62.) The "ban" (1968 Summer) had very little to do with it, but they did lose their American trade. But they didn't listen when I told them to build up their domestic trade.

47.) "Wrong Whys" are the bugbear of the Establishing Officer.

63.) I noticed that since 1950, EXTERNAL actions to an organization have almost nothing to do with its survival factors at all.

48.) They are also the bugbear of Establishing Officer.

64.) You can go almost anyplace, and establish an org and get it producing, and it will get, IN DIRECT PROPORTION, the income which it is ESTABLISHED to achieve. Now that is a factor that an ESTO has to learn.

49.) THAT IS THE FAILURE POINT OF ALL MANAGEMENT UNITS. THEY OPERATE ON "WRONG WHYS".

65.) And that's a tough one to learn, because the staff around you all have their aberrated "whys" for why the income is down.

50.) THEY DO "OFF THE CUFF" management, not based on sound evaluation.

51.) From this, they introduce PROGRAMS INTO THE AREA WHICH ARE UNREAL, but which involve EVERYBODY in the organization and create enormous Dev-T.

67.) The tool to discover CAUSES exists, and that is the DATA SERIES.

52.) So, you can have a 2-page "program" busily being done in the org which has nothing to do with anything at the other end (like production or viability) because it's based on a "wrong why".

68.) And when the DATA-SERIES was used against this whole picture of booms-depressions of orgs, the answer emerged:

53.) But, you don't dare establish anything in that atmosphere because that "program" has total emergency priority.

"AN UNHATTED STAFF GENERATES DEV-T" - They develop enough bad and sour traffic that they impede all productive traffic.

54.) It's got to be done NOW and nobody has any time to be hatted - If that IS a wrong program BASED on a "wrong why", it will practically DESTROY THE ORGANIZATION.

69.) And the reason back of Dev-T IS UNHATTEDNESS.

55.) That means an STO has to be a BETTER evaluator and "why finder" than a Product Officer, who has to be the best in the world!

70.) These orgs can be "BUSY", and work themselves to the fringes of exhaustion - WITHOUT PRODUCING ANYTHING - but more Dev-T.

56.) Now the qualifications of an ESTO would be the ability to perform and take responsibility for the FUNCTIONS of each one of the departments of HCO. (He doesn't actually deliver the dispatches. That is about the only thing he doesn't do that is an HCO job.)

71.) An adequate description of any GOVERNMENT on the face of the planet today would be - Dev-T.

57.) He does not just duplicate HCO's work, however, but he is a "hip pocket" HCO (all HCO functions able to be done by one person). And that is the source of his authority.

72.) If they all VANISHED, the world would be far better off.

58.) And, like a HCO he may start using "heavy ethics". Dept3 is his ultimate solution instead of Dept 1 (recruiting, posting, hatting. But this just comes from "bloody-mindedness" (or desperation on trying to make it "go right" against heavy counter effort). But "bloody-mindedness" itself comes from AN INABILITY TO FIND THE RIGHT WHY.

73.) The Dev-T they generate also affects you organizationally - and the best way to handle it is to just "hive it off" - or compartment it off. (Into a special section that just handles it and nothing else, and doesn't cross the production lines.)

59.) All "bloody-mindedness" troughout an organization Ceases when the RIGHT WHY is discovered. It's remarkable. It's a sort of a 3RD DYNAMIK CASE GAIN for the whole org.

74.) Call it "ACCOUNTING" or "LEGAL" or something. Ex: Capitol airlines had 25 CPAs (Certificed Public Accountants) that did nothing but handle the government tax men.

60.) "They got the RIGHT WHY" is like "erasing the right engram".

75.) So there is Dev-T all around an org, so it is no wonder that it gets into this "tradition" that has been going on for the entire history of man.

61.) In 1950, I was looking for "group auditing" because I was well aware of the fact that groups COULD get an engram, a MUTUAL engram.

76.) And that Dev-T comes from unhattedness. And the reason the economics of the US are bad, is because there is no ESTO hatting the President - as I said before.

62.) Since then, group auditing has been worked with and experimented with from time to time, even on a Continental level, in an effort to do something about this.

77.) Currently the US is handing out about 75% of the National Income into channels that will never do anybody any good at all, and which solve nothing. And then they wonder why they have inflation!

63.) And what do you know! We finally found out what it is. IT'S A WRONG WHY WHICH CAUSES A GROUP ENGRAM.

78.) AND they are working on the "wrong why" that the working man's demand for more wages is the reason prices are increasing! WRONG why. The working man wants more wages because he can no longer buy bread!

64.) And to 'DE-ENGRAMIZE' a group, all you have to do is a COMPLETE, COMPETENT, EVALUATION and find the RIGHT WHY and HANDLE IT CORRECTLY, and the group will "dis-emote" (or de-aberrate).

79.) No, the great, gaunt, wolf at the door is UNHATTEDNESS generating DEV-T.

65.) In other words, DATA ANALYSIS IS THIRD DYNAMIC DE-ABERRATION.

80.) Now for an ESTO, "unhattedness" is too simple a statement. It isn't JUST that. It's also the LINES, the "meshing" of these hats, the space in which these hats are worn, the arrangement of it, the adequacy of it.

66.) It is remarkable technology and is as effective on a group as running engrans and erasing chains is on a case.

81.) Ex: A division with its comm center 3 floors down in the basement.

67.) So therefore, the aberrations on the PLANET are simply built on the WRONG WHYS of yesterday!

Ex: Two hot traffic lines crossing each other.

68.) I'll give you a flagsant example of this in modern times that has a relationship to our activity.

This is SPACIAL Dev-T.

69.) Psychairitry operates on a "wrong why" that gets it into terrible trouble and makes it extremly unpopular. It thinks there is a thing called "mental disease" or a physical germ or bug that does its work to make people "insane". I've read their whole basic books on this. Only as an afterthought or footnote do they even consider "enviornmental stress". To them, insanity is "physiological".

82.) The space arrangements are then important to an ESTO.

70.) Freud's "breakthough" was that it might have something to do with "mental states". But psychs at large have never admitted that this might be the case. So they have this thing called "mental health" which is in a MEDICAL field, run by DOCTORS.

83.) Also, the equipment used in production.

71.) Dr. Thomas Szaz exposes the insanities and unworkability of institutional psychairitry in his books. But he source of this goes back about 450 years to the time of the Inquisition where DOCTORS WERE THE JUDGE OF WHETHER A PERSON'S "INSANITY" WAS PHYSICAL OR CAUSED BY "DEMONIAC POSSESSION". If physical, the person was under the doctor in an asylum. If "possessed" he was likely to be BURNED AT THE STAKE by the church, after torturing him on the rack of course.

Ex: A Dir. Comm at AOLA who let the Address Machine break down making it hard to get out a mailing.

72.) So the MEDICAL DOCTOR has been the HIDDEN SOURCE behind "deciding on insanity" for 450 years AND right on up into present time.

Ex: A folding and stuffing machine at SH, which needs a repair part costing a few pounds, and which has never been fixed. The whole staff has to work to put out a mailing. And they don't design the mailings to fit the machine anyway! Terrific Dev-T!

73.) And the "wrong why" of "INSANITY is a PHYSICAL disease" is STILL taught in the universities today.

84.) Now this planet is rotating on a 24 hour day around a 12th rate sun at the outer corner of one of the smaller galaxies, and it inexorably rotates at 24 hrs per day. And as hard as you try, you can't make it rotate at 28 or 36 hrs per day. If it would, you might have a chance.

74.) Szaz's book is called "The Manufacture of Madness" and exposes this quite well.

85.) The Product Officer who is trying to handle 5 auditors who quit because of the cramming order, with 10 public waiting, and one asking for a refund, and trying to hold off the bill collector while he gets the income up somehow, is not likely to notice a broken machine even if all the staff disappear to stuff the mailing.

75.) And it's gotten so bad, that psychology departments still teach that people "think with their BRAINS"! I ran this out the other day as a series of 'locks'. You keep "blaming the prefrontal lobes of the brain" and it kind of makes them hurt. - (Laugh) (All they are is just some meat!)

86.) Now the boom and depression cycle was caused by the exhaustion of the exec in trying to handle, and to dispersal of staff due to the nomadic character of society.

87.) The "boom-depression" cycle can be looked at as an "establish-disestablish" cycle. It is accompanied by an increasing cycle of Dev-T. And that is an exact description of why orgs rise and fail.

77.) Now, it IS true in "paresis", which is the advanced stage of syphillis, that there are some wierd states. But then perhaps it is the hiddenness of the disease and the cut-off of any future procreation that would produce a mental response such as you get with that.

78.) There is no evidence of any kind whatsoever that there is anything called "a mental disease".

88.) If we are ever going to take this planet, we are going to have to eradicate (erase) the "failure end" of that cycle.

79.) So, the whole of psychairitry is based on a "wrong why", and the whole of civilization for 450 years has been tossed into dungeons and tortured and burned at the stake and electric schocked and prefrontal lobotomied and put in ice-packs and drugged and everything else. - Wrong why.

89.) That's elementary, isn't it? so a vast study of this has shown that there is a "division of labour". ESTABLISHMENT is what adds QUALITY to a product.

80.) Now we come along and we find the "right why", and start remedies of this sort of thing. The fact that somebody might be CURED of insanity, and that THEY MIGHT BE WRONG is what drove psychairitry down the spout.

90.) Ex: You can't quarantee a good dinner, without stove, fuel, supplies, food preparers, a hatted chef, etc.

91.) It's no good to scream at the ED of an org about the quality of his product if the org isn't established. The Dev-T in it would be enough by itself to DIS-establish it.

82.) They had their theory - it DIDN'T WORK. We had our theory - it DID WORK. So they couldn't speak anymore with sincerity because we could catch them out. We missed their W/H.

92.) And that would be enough to shatter the quality of the product he is trying to produce.

83.) Now, in an org, if you work a whole series of programs and projects off of a "wrong why", the place will be frantically busy - with no result.

93.) Now I can hold one of these orgs together, and I normally can build one up, but it gets so bad sometimes that it takes a 20 hour day, and you wouldn't believe some of the things I have to handle.

84.) So perhaps, the ESTO should side-check the Product Officers evaluation.

94.) It's because the hats are not known or worn and because the hats are not meshed with each other so the lines run smoothly and coordinatedly.

85.) Now you can get the funny situation where as an evaluation you DO have the RIGHT WHY and know all the data and know the eval is right - and yet it doesn't bring in good indicators on the org - BECAUSE IT IS OUTSIDE THE REALITY OF THE PEOPLE YOU ARE WORKING WITH. On a single-hand basis you CAN make it resolve because it IS the right why, but you don't get cooperation, at least at first, until the RESULTS start showing up from the handling.

95.) The material breaks down and the spacial relationships get tangled.

86.) On the other hand, my eval on Establishment was greeted by VGIs all over the place and agreement that "HCOs had failed to establish". And when I released the ESTO program, I received a snowstorm of reports cheering and supporting it.

96.) And the economic duress puts barriers and brakes on what you can do.

87.) It was like blowing a great area of aberration. It had been a great "mystery" we were living with (of why HCO's couldn't establish) until I found the "why". - (The UNDERESTIMATION of what it take to ESTABLISH in a Dev-T civilization and org.)

97.) And that brings us to RESOURCES. "An Establishing Officer must always work within the reality of what resources are available".

88.) Now many people think a "why" has to be a "who". Ex: Tells the story of New York org who fell apart by doing "witch hunts" looking for the "suppressive" among the executives. All kinds of "secret report" lines were set up which got 3P going and crashed the org. The execs blew and the org is still crashed and the engram is still there. A smart ESTO would go there and do a real evaluation, publish the "right why" and send it to all the old execs and staff and it might recover very fast.

98.) It's OK as a plan to "attack the German Army" - but the resources available? One corporal with a broken leg.

89.) Part of that eval would have to be "why was the staff so weak that it went off-lines and sideways into secret report channels?" I don't know the answer. I know the Events but I don't know the WHY. The execs who blew were NOT poor producers, but they haven't come back yet, probably they are ARC Broken clear back to the beginning of track!

99.) It is called "megalomania" when the plan is far greater than the resources at hand. But it CAN be accomplished if you establish up to it.

90.) It also doesn't have to be a "PR" why, it has to be the TRUTH. That is what blows charge all over the place.

100.) Resources is the limitation factor. "What do you HAVE to DO WITH?

91.) Staff members will develop more "PR per square inch" to explain why they are NOT producing than you ever heard of.

101.) And now we get into the genius department: "THE LESS YOU HAVE, THE MORE GENIUS IT REQUIRES"

92.) That is why an ESTO must be an expert in PR AND the Data Series. (I recommend to you the FEBC Tape # 3 - "PR Becomes a Subject").

102.) And that's the rule of the ESTO:

93.) This tech now is used by the ESTO, not the Org Officer or the Product Officers PR Man, at least internally. (The PR man and Div 6 can use it EXTERNALLY).

"The LESS resources you have, the MORE genius you have to inject into the situation to substitute for the lack of resources."

94.) The ESTO must be able to handle HE&R (Human Emotion & Reaction) fast, WITHOUT taking "sides" with the staff against the executive strata. He is himself, part of the executive strata. His authority as an Exec ESTO, comes from the chain of command.

103.) Ex: How do we establish the division with only 2 people? "Well, I could get in there and do it all." - WRONG ANSWER.

95.) If the ESTO goes too "worker oriented", he will destroy the workers. If he goes too "martinet" (Status & authoritarian), he will destroy their confidence in him.

104.) The primary ERROR the ESTO can make is to start handling the traffic of the division. The org will never grow, and he will not be an Establishing Officer.

96.) So there is a "happy ground in-between" where he has got to be the "friend of the staff member".

105.) It is an ILLEGAL order to give an ESTO an order to start handling the traffic of the division. It's also ILLEGAL to take him off post and put him on another post because "personell is so scarce". That is the exact way to never have ANY personell.

97.) And the ESTO must not go into agreement with a staff member saying he's being "done in". There are channels in policy to use to handle any injustice or outness. He should be hatted to USE them. (Staff Member reports, Job-Endangerment chits, Illegal Order & Conditions policy, Vital Data Policy, Petition Policy, etc.)

106.) So, the resources are made up for by the brilliance of the performance.

98.) And if he was "standing in the wrong place at the wrong time", the ESTO has to teach him how to "stand in the right place at the right time".

107.) Ex: Sweden is a small country but has maintained its position in the world thru technical developments and efficient organization with regard to its relationships with other countries. How did they stay out of those world wars? How did they emerge prosperous on the other end of it? So you can always substitue for numbers by efficiency and brilliant ideas.

99.) Don't ever take the side of a nattering staff member. The "Auditors Rights" are also part of an ESTO's kit. I recommend to you C/S Series # 1 "Auditors Rights" as the basic reactions of human beings as far as auditing is concerned. (Ex: You can handle a "sad effect" by having ARCBLD'2 pulled. You can handle "natter" by having MWH's pulled. You can get "service fac dramatizations" handled by running the Ser Fac, even on an OT 3. His list could have been incorrect or Grade IV wasn't run on all flows.)

(Note: Sweden allowed Hitler to march thru Sweden to attack Norway in exchange for Swedish soverignty and neutrality. Also their policy is that, since they are neutral, they can sell weapons and explosives to BOTH sides and produce needed ball-bearings and machine parts for them. Thus Sweden came out of the war neutral and rich. Also they had to make a treaty with Russia to REMAIN neutral after the war, so that Russia would not be threatened by NATO based in Sweden.)

100.) These people will generate Dev-T also. They DON?T DO their posts - they DRAMATIZE their "banks" or "case". So the basics of what is handled on the bridge and their symptoms are also part of an ESTOs kit.

108.) So, you can always substitute for "numbers" with efficiency And BRILLIANT ideas.

101.) And, all of the Data Series and expertness in it, and all of the Org Series and HCO Series are all part of the tools and weapons the Establishing Officer can use.

109.) If your technology is BRILLIANT, and your efficiency is FANTASTIC, you CAN take the lame corporal and attack the German Army. And have a very good chance of winning. (Joke - I think that's what Hitler did - attack the German Army - because he defeated it, utterly!)

102.) Now there is probably an "ESTO's Code", which hasn't been written because he is something NEW.

110.) The G.O. (Guardian's Office) at this time (1972) is one of the hottest, smartest units of its kind in the world today. It was handbuilt for a certain definite plan and policy, with a certain and definite purpose. It is BETTER, today, than MI-6, CIA, D.I.M., State Intelligence, or the Abwehr (German Intelligence).

103.) Now I've tried to give you the width and breadth of the post and something of the importance of the post.

(MI-6 is British Counter Intelligence)

104.) If the ESTO does his job well, the org will NOT "Roller-Coaster", but will continue to EXPAND.

(CIA is America's Central Intelligence Agency)

105.) At the time of expansion, the one thing he will forget to do is put on an ASSISTANT ESTO.

(D.I.M. is Defense Intelligence Ministry)

106.) When a Division gets 30, 40, 50 staff, he needs an STO assistant for sure. Because when the WHOLE ORG had 30, 40 staff, HCO was UNABLE to establish it. So he must remember that what brought the ESTO to view was that there were not enough people ESTABLISHING.

111.) The decline of psychairitry on the planet came about because they attacked the wrong target - us.

107.) And then when a division has 2000 people in it, there would have to be - I don't know the exact ratio, but say 10 to 1 - 200 Establishing Officers in it!

112.) There wasn't any unpopularity of psychairitry till we opened our mouths - now its generally thought to be the case that they are sort of a failed, half-baked, murderous, sort of "bunch of bums".

108.) If anyone questions the economic necessity of having ESTO's because of Tech Admin Ratios, etc. tell them this: As an org grows, it has a corrosive (worsening) effect on the EFFICIENCY of the individual staff member. In other words, an organization does not get more productive the more numerous it gets (in proportion to the individual rate of production).

113.) The World Federation of Mental Health (WFMH, called "SMERSH" in those days) has now just been transferred to the West Indies (it was in Switzerland, then Scotland, previously) and put in the hands of an obscure psychairitrist nobody ever heard of in a back village of blacks.

Ex: 20 staff produce 20,000 units.

114.) That WAS the world's most powerful Mental Health Organization, formed by the Death-Campers who escaped to England. Now, how did it ever get to Jamaica on the back street of a small village? You get the idea? The G.O. doesn't have vast amounts of money or resources of personell. But they have TECHNOLOGY, some of the hottest tech you ever heard of.

100 staff produce 65,000 units.

115.) One piece of that technology is over 2000 years old. It comes out of the "Art of War". It's called the "Dead Agent Technique". But the "Art of War" doesn't state what the DA (Dead Agent) technique could be - in full. So it was developed fully.

(This is WITHOUT ESTOs)

116.) Ex: A newspaper reporter going into his own "morgue" files, any paper, any place, to get some material to write about Scientology, collides with data on "how bad psychairitry is". Now, how was that done? By DA tech. The people who were running the psychairitry push are DEAD - they were "worried to death".

Ex: 20 staff produce 20,000 units.

117.) Psychairitry had a huge escalated program:

90 staff + 10 ESTOs produce 100,000 units.

1.) To degrade the human race.

(This is WITH ESTOs)

2.) To supersede normal justice with psych justice, which is "guilty" before trial" and "punished before proof".

109.) So an org can't afford NOT to have ESTOs! It is a WASTEFUL action to have a 30 man org WITHOUT some ESTOs.

118.) They had legislatures all over earth proposing and passing laws that allowed imprisonment, seizure of property, setting up "camps" for mentally disturbed, etc. and were moving forward toward the heaviest totalitarian "police" state that anybody ever heard of, based on only the pschairitrist's opinion of who was "sane" or not.

110.) Let me give you an idea:

119.) Then they made the mistake of attacking us, and attracting our attention. And it was quite a feat for a little handful of guys to knock the multi-billion dollar financed organization flat on its back.

- A 3 man org should have one ESTO. (An auditor, a C/O and ESTO would be the three.) It would shortly become an organization of 5 or 6 because it HAS an ESTO. It will stay an org of 2 or 3 if not.

120.) And the whole organization (GO) was put together in 3 months, and accomplished its job in 3 years. That shows what CAN be done.

111.) You will have to "sell" the idea of ESTO's to the org, because many people do not understand it. Ex: An exec saying, "We don't need an ESTO because I had all the staff myself". But actually the staff are NOT hatted and I (LRH) get all the products out of the area!

121.) They have good admin procedures.

Ex: An exec saying, "I don't want to be an ESTO, I want to be an O/O". He doesn't realize we have refined the system and that he wouldn't raise the income as an O/O but COULD help quadruple it as an ESTO.

- They follow target policy.

112.) So, even in the case of a 3 man org, one should be an ESTO. And he would be the only one who was SINGLE HATTED. The O/O might be the Reg & D of P and everything else, and the auditor might hold hats in tech and Qual, but the ESTO would be single hatted.

- They program everything.

113.) There is no such thing as a double-hatted ESTO.

- It's all carried through to an enormous degree.

114.) Now, lets take an org of 10 or 12. You wold have 3 ESTOs: An I/C ESTO, a Div 7, 1, 2 ESTO, a Div 3, 4, 5, 6 ESTO.

122.) Now that's what can be done by "establishment".

115.) If it has ESTOs in this proportion, it will shortly become VIABLE. It can't fail because it's HATTED. All these "hopes of decay" are gone! (Laugh)

123.) That required brilliant technology, small resources but sound, hard organization, and fantastically able management.

116.) It will soon become an org of 25 or 30. You now start going for one per division. You put in the TEO & QEO. (Tech ESTO & Qual ESTO) By the time it gets about 50+ staff you should have an ESTO for every division.

124.) So don't underestimate what you CAN DO as an STO. It's a complete disgrace that Scientology and S.O. Orgs haven't taken more territory than they have. people will say, "Maybe the Org Board is out" - "Bla, bla" - no, that's all a "Why is God" - or wrong why. The REAL reason is a failure to Establish and to CONTINUE to Establish. They are destroyed by Dev-T, and that comes from UNHATTEDNESS.

117.) In a CLO, you would have a 7, 1, 2 ESTO, a 3, 5, 6 ESTO, and an Ops (4) ESTO. (Operations Bu.) (That Ops ESTO covers Data, Action, Ext Comm & Management Branches) With an ESTO I/C, that's 4 ESTOS.

125.) Orgs have brilliant technology - both in tech and admin - but it's not APPLIED.

118.) Now when an area gets BIT, like a Tech Div with 40 staff in it, you start putting more ASSISTANT ESTOs into the area to help the TEO.

126.) It (Technology of Scientology and Dianetics) is INFINITELY greater and INFINITELY more effective than the technology the Guardian Office has (on "Intelligence") and an which they operate.

127.) But the tech is not KNOWN or APPLIED.

119.) Now I've used the terms ESTABLISHMENT OFFICER and ESTABLISHING OFFICER interchangably. The post is ESTABLISHMENT OFFICER and the DUTY is ESTABLISHING.

128.) The old HCO's used to police Dev-T hard, hard, hard. They used to get the staff member's "communication hat" on as a 1st action. (How to write a dispatch, one subject per dispatch, had to be "on hat", and concern also the "hat" of the other person, etc.)

120.) Any ESTO going on post must do a certain amount of identification of himself and his duties to those he will be ESTOing. If he is over Div 7, 1, 2 and doesn't do this, then the people in one division will think he's lazy because they only see him 1/3 of the time.

129.) They kept this up until they had a well-disciplined org that would hold its form. That action has not been done for years. When it ceases to be done, the org tends to disintegrate.

121.) We will be putting together the uniform and insignia of the Establishment Officer. It will become a special corps.

130.) So also with building up an org goes HATTING.

122.) There will be a Senior Exec ESTO here at Flag in the Management Bureau. One for SO orgs and one for Scientology Orgs. (Even may break it down into areas, like PAC, EUS, UK, EU, etc.)

131.) I'm giving you here the bad spots, bright spots, and background history of Estoing. It has been very hard for me to do it all these years, WHILE getting out the products, and WHILE developing the technology.

123.) This will go in as a NETWORK of ESTOs, each having their opposite number at Flag.

132.) But from the experience of doing it, all the pieces are now falling into place:

124.) Now, what happens on Flag? It combines Bureaux and Divisions. Each has 2 sets of policy that apply. (HCOPL's and CBOs & FO's.) (Central Bureau Orders and Flag Orders.) The ESTO must realize that a Bureau is EXTERNAL and has EXTERNAL products, and a Division is INTERNAL or LOCAL.

133.) The Product-Org System is a brilliant system. BUT it has a FATAL hole in it: It is NOT possible for the HAS to establish the org ALONE. We underestimated the job by a factor of about 10. Thus, we have now the Prod-Org-ESTO-System.

125.) The there are my AIDES, who run these Bureaux which manage EXTERNAL ORGS ON POLICY with the overall strategy and tactics and lines given in CBOs and FOs.

(This was found by observation, survey, and actual experience in many orgs since the FEBC.)

126.) Thus they have to know POLICY AND CBOs & FOs.

134.) The Product Officer and Org Officer were not backed up at any time by an effective establishing action, under the FEBC system. We know that now. It was a brilliant system, but in these confused, mad, spinny, "whirling-dervish" times, it was underestimated by about 10 times the number of people needed to ESTABLISH the org.

127.) AND the duties of being an Aide, which are quite demanding and sometimes rough to confront.

135.) So, using all that WAS good in the Prod-Org-System, a NEW system has been evolved:

128.) A Bureaux is something that operates another org. It handles and controls other 3rd Dynamics.

136.) The C/O or E/D of an org is the PRODUCT OFFICER of the Org. He thinks, eats, breathes PRODUCTS.

129.) It's also supposed to operate the org IMMEDIATELY UNDER IT (as management is always set up close to a working org so they maintain reality.) On Flag, this is the F.A.O. (Flag Admin Org), which handles FCCIs, and Public. (FCCI = Flag Case Completion Intensive)

137.) He knows the VFP's of the org and demands them.

130.) On Flag, it's the EXTERNAL Function that is IMPORTANT. EXTERNAL MANAGEMENT brings in currently 83% of the income of Flag.

138.) If he doesn't get them, he analyzes "why", using the "Data Series", debugs them, writes a program to handle.

INTERNAL ORGS bring in about 17%.

139.) The program is executed by the DEPUTY D/D, who also takes care of staff and polices Dev-T for the Product Officer. (Same as earlier O/O functions.)

131.) And yet the internal orgs here are enormously manned up and the external bureau are terrifically undermanned!

140.) The E/D also has a Secretary (or Yoeman) who handles the E/D's traffic, fends off Dev-T, and does "executive secretary" actions for the E/D. This person is hatted by the Deputy E/D, so he can spend more time getting the programs done.

132.) So what is the effectiveness of that External function? It will be as effective as it is HATTED and DOESN'T engage in DEV-T and as long as it is served well by the internal group. (Auditing, Training - FAO) (Food, Transport, Berthing, Security, Office Space, etc. - FSO or Flag Ship Org.)

141.) Planning, then, is carried out at the TOP, where it should be. (The C/O or E/D does this.)

133.) So, in an ORG, The Div Heads are a PRODUCT CONFERENCE.

142.) Planning carries with it:

In a Bureau, the Aides form an AIDES COUNCIL, which decides MANAGEMENT ACTIONS for External Orgs.

- SUMMATION OF OBSERVATION

134.) So the AIDES COUNCIL does NOT engage in "running the ship", but can "monitor" it if not served well. Its attention must be kept EXTERNAL.

- INVESTIGATION

135.) Now, let me show you how important this is:

- LOOKING PERSONALLY INTO IT

Each big Boom of Scientology orgs was when Flag was heavily on the lines managing. And when the internal noise and Dev-T ON Flag became too great, the attention would be pulled INTERNAL and a crash would occur on EXTERNAL lines. And that is the Subject of a very searching evaluation. You want to know the why of Booms and Depressions? Well, the more general "why" IS Dev-T and unhattedness, but the local Flag "why" is just as above.

- EVALUATION

136.) So in managing orgs, remember that a DISTRACTION of ATTENTION from EXTERNAL to INTERNAL can crash the stats. And that it is caused by Dev-T and Unhattedness, and is remedied by ESTOs.

- WHY FINDING

137.) So, the HATTEDNESS AND ABSENCE OF DEV-T on Flag must be greater than any other org. It has to be so good, that the most efficient org on the planet would appear "totally Dev-T" in comparison to Flag.

- DEBUGGING

138.) And that's why you ESTO trainees were summoned so urgently and why this ESTO program is going in so rapidly.

- PROGRAMMING TO HANDLE

139.) Now YOU are being told to go on the job without being totally established as an ESTO. There is an FO which says "a S.O. Member can do ANYTHING". We expect a Sea Org Member to be able to do ANYTHING, so you ARE ESTO's, that's it.

- BRIGHT IDEAS BASED ON A BRILLIANT PLAN.

140.) You will find this cycle repeats. You won't be able to AFFORD training ESTOs for 3 months full time in a course room. So you do "on the job training" on THEM.

143.) The program must be short, NOT so long and complicated that it, itself, is Dev-T.

141.) ESTO's will probably always be trained this way. You will have to catch up on your study of the materials I've mentioned WHILE you are ESTABLISHING.

144.) And - ANYTHING BASED ON A WRONG WHY IS TOTALLY DEF-T.

142.) Look at what you must know:

145.) So this short, succinet, program is passed to the Deputy E/D for execution. This IS the Org Officer, but he is really not doing ONLY organization, he is doing PROGRAM EXECUTION. (Organization may be a part of it, of course.)

- All the policies, functions, and operations of the DIVISION BUREAU, or ORG you are working on establishing.

146.) Now the E/D has a conference with the Divisional Secretaries, and that is the PRODUCT CONFERENCE.

- Plus all the policies, functions, and operations of the HCO division and everything written about it.

147.) And each of those Div Heads is HIMSELF a Product Officer for his division, and HE investigates and debugs where HE is not getting the product.

- Plus all the policies and functions that have been written about TECHNICAL application to the control and handling of Human Emotion & Reaction (HE&R).

148.) And each DIV HEAD has a Deputy who carries forth HIS divisional programs. (This is the Divisional Org Officer or Program Executor.)

143.) And that gives you the scope of what you have to know to do your job successfully.

149.) And the Deputy Div Head also handles the Administration for the Div Head and polices Dev-T.

144.) This talk today, was to INSTANT HAT you - on the scope, the "reason why", and the background, of your post.

150.) That is the new Prod-Org team or Product Officer - Program Officer team.

151.) In the Pac Area, the product Officers became so impatient with the slowness of Establishment they sent a team of students into CF to find names for a campaign and tore the CF apart - and went insolvent.

152.) So this "anxiety for product" carries with it a deadly germ. THE SCRAMBLE FOR PRODUCT WILL DIS-ESTABLISH.

153.) So there has got to be somebody there to keep it established and free of Dev-T. So the 3rd member of the team is the ESTO I/C or Executive EstablishING Officer or Executive EstablishMENT Officer.

154.) Now it is HIS job, in the midst of that hurricane of demand, to ESTABLISH.

155.) ERRORS he can make:

1.) Start to DO the actions of the Division himself.

2.) Not establish in a way that backs up production.

3.) Build an establishment far greater than the org can afford or support.

4.) In efforts to get people, he could offer far more pay than can be afforded.

156.) The ECONOMICS of the org then are in the hands of another conference called the ESTO conference.

157.) F.P. (Financial Planning) is done by the Establishment Officers.

158.) It's done by the rules of policy, so they know how much money they have to establish with.

159.) Now, it is a remarkable fact, that, an organization tries to spend all it makes.

160.) And they usually spend MORE than they make.

161.) And that is a terrible dis-establishing factor in itself.

162.) Now the production per S.O. member in the PAC has gone from $ 5000 per member per week to about $ 100! So they are mostly involved with Dev-T.

163.) So the economics of the establishment are in the hands of the ESTO.

He controls OUTGO.

165.) And regardless of the tax people. The hell with them. They will do you in anyhow, so why worry about it. They've made themselves so obnoxious and so bonkers that you just take those steps necessary to obfuscate them. (Obfuscate - eliminate by putting behind a barrier or in shadow) It doesn't matter whether you submit correctly or incorrectly, they will tell you "all these expenses are really income because we have a new rule that says the worth of a company is its debts plus its assets so you owe on all of it".

166.) So never let the fact that money will be taxed deter you from making a mint! If you HAVE money, you can afford to spend HUGE sums to protect the even HUGER sums you have made.

167.) The "crime" is - not to have made money.

168.) So don't fall for that old "we must not make this money because it will be taxed". No. Just go on making it and figure some way it ISN'T taxable.

169.) An org has to be valuable enough to compensate Management and the Management of it.

170.) In Scientology orgs management does take place on a higher level than the C/O or E/D. Just figure out how much goes into training execs, auditors, providing materials, books, issues, programs, policy, defense, advertisement on a board scale, etc.

171.) Ex: Boston Command Team - they only sent 15% until I called it to their attention how much it cost to provide a non-Boston staff command team for the org. Then They sent 30%. It's still not enough.

172.) An org must compensate management enough to retain management's interest. An organisation HAS to make money to be worthwhile to anybody.

173.) So if you manage it close enough and sweat at it, what do you know? It gets very efficient and prosperous, and CAN afford such management.

174.) The WRONG way to approach it is:

"We need 5000 a week, so we make 5000 a week." - Except for the 2 or 3000 more that WILL be required to handle the factors mentioned before, AND the expansion you need to have viability.

175.) So the solvency of an org is founded on these two principles: The income is the responisbility of the Product Officer. And the outgo is the responsibility of the Establishment Officer.

176.) Got it? OK. Thank you very much!