1.) I thought this would all go in easy after a bit of hatting on what the Product Officer and Org Officer do. Now the role of the HAS (HCO Area Sec) has to be made clear.

2.) We are dealing with Products 1-4:

1.) A group which has the idea of where it's going and what it's going to do, and is not all individuated one from another, can normally pull together so it will eventually make it.

1. The Establishment.

2.) Here in the SO (1971), we are on the edge of a 2 year survival, just beginning to make it. We are doing this into the teeth of a relentless enemy, and we hear his "death rattle" once in a while. We will make it, but now are on the margin of survival.

2. The Establishment's Product.

3.) We are in a world which is very "topsy-turvy" (upside down) economically and otherwise.

3. The Corrected Establishment.

4.) The MINIMUM of survival is to be able to operate for 2 YEARS without making a penny. That is the BEGINNING of viability.

4. The Corrected Product.

5.) And IF YOU DO have to operate without income, you have time to get REALLY BUSY and handle it.

3.) If you want to improve the VOLUME of production, you have to organize.

6.) For instance, "cash bills" were so bad over the world in 1969, October, that I didn't expect Scientology to survive. It was an insolvent mess. The "cash-bills" of Scientology Orgs were crossed. (Bills were more than cash). (Note: Bills = Debts Owing.)

If you want to improve the QUALITY of a product, you have to organize.

7.) MSH originated the "Financial Planning Program # 1", which I issued as an ED, to handle.

If you want to improve the VIABILITY of a product, you have to organize.

8.) In 7 or 8 months, she achieved the result of ALL ORGS SOLVENT. It was a HARD job.

4.) If you get bad products - seldom - and at great expense - ORGANIZE!

9.) She found that many orgs were very unreal on how much they cost per week to run, so they didn't know how much they HAD to make to stay solvent.

5.) If you have trouble with VOLUME of product, organize for better delivery of raw materials and do preparation of the product on an assembly line basis.

10.) The next step is NOT JUST to make as much as you need per week, but to start to buy SURVIVAL, and that is, at a MINIMUM, a 2 YEARS RUN WITHOUT A PENNY WALKING IN THE DOOR.

6.) If you want to improve the QUALITY then go down the the line and find out who hasn't got the tech of their job. Hat them better. Improve duplication.

11.) That would get you over most political and other crises.

7.) If you want to improve the VIABILITY you analyze the line of extra costly steps and do-less motion and duplicated functions that aren't necessary. You get a less costly product of the same volume & quality.

12.) These are the HARD FACTS OF LIFE. So how much Establishment can you afford?

8.) The OUTGO-INCOME law applies. Always make more than you spend.

13.) Obviously YOU CANNOT afford an Establishment which doesn't PRODUCE. And, YOU CANNOT afford people IN the Establishment which do not produce. And YOU CANNOT afford to harbour machinery which doesn't produce, and offices which have no service use. THESE are the things you CAN'T afford.

9.) INCOME MUST EXCEED OUTGO. OR EXPENSES MUST BE LESS THAN INCOME. That's the basic law of good finance.

14.) The WRONG way to do it, is to fire staff to balance you books when the income goes down.

10.) Just knowing that you become a financial genius. And you really become one when you realize the LOSSES are in the money you DIDN'T GET. If your org CAN make 10.000 per week and it only makes 5000 you are LOSING 5000 per week. This is the senior economy. The junior economy is saving money by finding a cheaper price for paperclips and buying in bulk at a discount, etc.

15.) The way to do it is HAT, TRAIN, and get MORE PRODUCTIVE on post, the staff members you do have.

11.) When you see this in an org (the GI dropping), it requires something from the Product Officer. A BIG IDEA. (To promote to get back the stat in normal or above.)

16.) The manager always has the responisbility of providing work for his workers. (Somebody in Russia ought to learn this.)

12.) So don't try to "economize" out of an Emergency, That's deadly. Get a BIG IDEA and promote it.

17.) It's not just "how much Establishment?", it's "how much Production?"

13.) That's what's wrong with Capitalism. They always worry about "profit" instead of just going ahead and making millions. If their stat goes down, They economize to cut expenses so they can still show a profit and they begin SHRINKING.

18.) Now we are back to Resources. How much Resources does the HAS have that can be utilized by production?

19.) It's very simple. Income for last 3 months was "X". Therefore expenses over next 3 months must be "1/2 X", and income must be "2 X".

20.) Then you are at a QUARTER of income for Establishment if you target it and pull it off.

16.) What does it take to be VIABLE? This is quite a universe to be viable in. If a farmer needs 20 Tons of Wheat to be viable, he's a god damn fool if he doesn't raise 250 Tons!

21.) Most organizations are terrifically INEFFICIENT. The IDIOT answer is to "close down" some part of the org or "lay off" thousands of people. But that's what the wog world does! (like General Motors)

17.) Your org, if VIABLE, should be able to run for at least 2 YEARS WITHOUT MAKING ANY MORE MONEY or FIRING A SINGLE PERSON!

22.) That isn't management, that's an INSULT to idiots!

18.) About then, you MIGHT have obtained "better" SURVIVAL.

23.) Look at it. They have THAT much Establishment. What is the management responsibility? To get the production CONSUMED, not reduced. Their Product Officer is a lousy manager.

19.) So get out of the "hand to mouth" idea of just "paying bills" and "having enough left over". That's NOT survival in this Universe.

24.) You DON'T reduce production, you INCREASE CONSUMPTION.

20.) If you want to bribe enough senators and buy enough prime ministers and do all the things you want to do, change your way of thinking about finance.

25.) So if you have 12 auditors and only half work for 6, WOW! You better increase the consumption! It's not enough to JUST produce products, you have to increase consumption of products, or in the case of auditors as producers, you have to UTILIZE them.

21.) If you raise or lower prices too much you will get an income crash.

26.) A good manager, P/O & O/O, will balance these factors out.

22.) If you lower your prices on a gradient, you will NOT survive. Why? Because the currencies of the world are all INFLATING.

27.) That is why PR, Distribution, and Dissemination are so important. You've GOT TO KNOW what people want. You've got to estimate what they want and predict what they want - and provide it.

23.) As money becomes worthless it buys less, so if you keep prices the SAME (not adjusted for the buying power of the currency) you will go eventually insolvent in an inflation economy.

28.) Example: People "say" they want "new" Tech. But the "old" Tech hasn't been correctly produced. They really want "workable" Tech - and RESULTS.

24.) So you must get a BIG IDEA to re-position or repackage your products to look like a brand new super-product so you can get a higher price for it.

29.) This missing factor in this example is QUALITY. The quality of the Tech was missing.

25.) Man is not rational where it comes to pricing. He does not sit around and figure it all out.

30.)

26.) Now DON'T raise your prices without giving service to match. If you give 10 times the service you WILL get 10 times as much income, provided you don't tell people you have raised the price.

27.) You don't dare RAISE the price, so you do something else - you reprice and repackage the service.

31.) If you connect up a guy who CAN'T DO IT with a guy who wants it, you are going to have immediate production problems and the fullest Qual you ever heard of!

28.) Now this is an airy-fairy world - you ask people on a survey and they give you nothing but lies.

32.) We had a situation where Qual dropped out the use of their basic tool - the Green form. They would start in handling from the top, fly a rud and end off. What about the REST of the GF? Well, it wasn't being consumed, but that's where some cases need to be corrected to finish their Qual Cycle. I solved it by having the GF assessed once thru. Then take the biggest read and handle it. Bang! - cracks the case every time.

29.) You have to do a "trial & error" sometimes - you offer something else alongside what you are already delivering and you find what the price is to keep your org viable.

33.) Of course, the auditor MUST know how to read the meter and run whichever process is needed.

30.) Rolls Royce for instance - you pay for the comfort and durability and no obsolescence because the model doesn't change - but they have no pickup or acceleration. They ask 12.500 pounds for a USED one. (A Buick will run rings around it.)

34.) Most of your big ideas in production are about SOMETHING YOU HAVE ALREADY GOT. The "big idea" is, "how are you going to USE this?"

31.) There is "status" involved in it. So there are all kinds of factors in this subject called PRICING.

35.) UTILIZE YOUR RESOURCES is the answer. On the "Green Form" example above, the campaign could be - "Come in and get a Free Green Form". This would correct the Tech outness and get the person back on lines as a CONSUMER.

32.) If you CAN'T fool with pricing, you CAN fool with VOLUME, but you have to make sure your costing is adequate, so you don't go insolvent.

36.) But by survey, we find that GFs have got a bad name because people had them done the old way and were tired of them - so we campaign for "Free Case Analysis".

33.) All these factors determine how BIG of an establishment you are going to maintain.

37.) If you are promoting the "Free Case Analysis" or "Case Cracking Analysis", then somebody has to run like hell and keep the lines in, auditors ready, etc.

34.) The Product Officer's CAPABILITY of getting products out economically, in volume & high quality - can determine the potential VIABILITY of the org.

38.) This would be the O/O's job, not the HAS or Establishment Officer. Because it's a temporary thing - a pilot.

35.) Most businesses and governments follow the rule "to expand and absorb all the income". Except they expand INTERNALLY, ADMINISTRATIVELY with DUPLICATIONS to absorb all the income that is coming in.

39.) The line for this pilot has to be Person Recieved, Escorted to Auditor, Assessed, C/Sed, Escorted to Reg to be told what he can now do about it - buy a Case Cracking intensive - and signed up. If all these steps are not in, then the whole "big idea" will fail and you get no increased consumption of auditor's time for PAID intensives.

36.) AN ORGAIZATION TENDS TO SPEND A BIT MORE THAN IT MAKES. This is sort of a "rule" on this planet, I haven't bothered to find out why, but it's a sort of a "counter-rule" to good sense!

40.) We had a "Hospital Project" once where Ministers went to hospitals, cheered up people and gave them cards with a phone number. The project was destroyed by having no person as a terminal to answer the phone. That is an example of a "big idea" with no O/O backup.

37.) This "rule" is never violated on this planet. So the Org Officer's job IS TO VIOLATE IT.

41.) The O/O then would handle these "Special Projects" from "Big Ideas" of the P/O. Then, if successful and continuing, the HAS would incorporate them into the Organization.

38.) Now the Product Officer gets the "BIG IDEA". What is that? Well, anyone can get one, the reg, the fileclerk, the guy on the assembly line. It's usually an idea of how to get more CONSUMPTION of your products.

42.) The HAS should then also have "HCO Expeditors" to use under the O/O on these "Special Projects", so the Org doesn't get ripped apart, and vital posts don't go unmanned.

39.) All the Product Officer's Big Ideas MUST apply to Consumption. (There can be other kinds of ideas in an org - like how to do it faster, better, or cheaper - but these are for the O/O.) The P/O ideas are for MORE consumption of products or more services delivered.

43.) You find HCO Expeditors today "filing in CF" when long ago the HAS should have had TWO CF Clerks. Or "helping in HCO" when LONG AGO the HAS should have a FULLY ESTABLISHED HCO.

40.) The "Big Idea" leads to VOLUME INCREASE which brings VIABILITY.

44.) No, if Expeditors have free time, they should be on STUDY to become more hatted and valuable resources. And their best use outside of that is for these special "big idea" projects - NOT off filing CF someplace.

41.) A "big idea" can also be gotten about a promo piece which gets people to KEEP IT rather than throw it away. That increases IT'S consumption so is a valid step toward more production.

45.) So the HAS's job is to maintain the Establishment. And to do that we have an ORG BOARD. IT is NOT accidental. IT is PRODUCTION oriented. It is NOT an "arbitrary".

42.) How do we increase the consumption of this product? That is the key question which is answered by the BIG IDEAS.

46.) Every one of those departments on it has a PRODUCT. And if you work it BACKWARDS FROM the product and sub-products of the org, you end up with the 1967 Org Board!

43.) When an INCREASE of product starts INJURING the VIABILITY of an org, it must be an UNECONOMICAL product, and now we are talking about HCO - or "How much org?" The EXPANSION is caused by increase of CONSUMPTION which is caused by increase of PRODUCTION on an ECONOMICAL basis. So if it's not economical, the Organization (or Establishment) is at fault.

47.) How does a HAS post the Org? He fills it up to the degree it is demanded by production.

44.) It is NOT the purpose of HCO to put as much organization there as the organization makes. That would be using all your income to increase Establishment (and none for more production) so soon insolvency would rear it's ugly head.

48.) He expands his Establishment by increasing the posting of his existing Org Board.

45.) I would say that in the beginning, 50% should go toward Establishment, and as one grows, 33%, and on further volume & expansion, 25%. (The COST of the Establishment is one - quarter of the income of the Establishment is what I mean.)

49.) And to do this he requires resources. I've given you one pool of resources - HCO Expeditors.

46.) The COST of the Establishment should NEVER BE 100% or anywhere near it and certainly never 225% like governments do. (They get into hugs debts and put a heavy burden on the taxpayers.)

50.) Occasionally you get a personell man who thinks his personell pools are the bigger and better running Divisions!

47.) So HCO's job is to furnish an Establishment, the cost of which is initially no more than 50% of the income.

51.) A mad scene in the SO is "missionairing". Missions have PRIORITY. And you should hear the screams of the Establishment people. But, in the SO, the Product comes first. And our Product is "Scientology around the World".

48.) It's HCO's job to say how much org is put there by the above costing - not Treasury Div.

52.) Actually it puts a heavy burden on the 3rd Mate (HCO) on the ship.

49.) Treasury's tone scale only runs from "total neglect" to "grumble", so they are NOT the ones to do it! (Joke)

53.) But he should get clever, and read the old FOs about a MISSIONAIRE UNIT. That would give him an extra pool to draw from, if he sets it up.

50.) There are two kind of people you DON'T wand anywhere near the top management line or product or Establishment line in an org. And they are ACCOUNTANTS and LAWYERS. NEVER let them establish management policy.

54.) The Missionaire Unit spend most of their time studying and on guard duty. If another higher trained missionaire is taken from the org, they can "fill in" while he's gone. Or they go as 2nd or 3rd missionaires to get experience.

51.) Accountants only deal with money owing & collected, bills owed & paid and putting some reserves aside. FINANCIAL PLANNING TELLS THEM WHAT TO DO. And that is the heads of Divisions, or Management staff.

55.) So the main problem of HCO is to get PERSONNEL POOLS. His main FLUB in DESTROYING what organization has been put there.

52.) Each production branch of an org should have the status of a Div. Head in FP. The Tech/Admin ratio at FP should be the same as for the org. This helps to balance the costing for Production and Establishment.

56.) This can be done by "having all the Qual terminals audit in Tech Div. to handle the backlog". That is HCO?S FLUB for not predicting the volume of delivery and TECH Auditors required. (for Example)

53.) Administration is important but production is VITAL, so the Ad Council or FP body should be balanced so the production areas don't get overwhelmed by Admin and get no money to maintain and increase production.

57.) So what are the HAS's resources: Money, People, Hatted People, Trained People, Very Valuable People, and the Materials of Knowledge, and the MEST to assist production.

54.) If you swing the pendulum the OTHER WAY and ONLY let the workers or producers say where the money goes, you get - COMMUNISM, and it doesn't work economically and is unproductive.

58.) It is a POVERTY HCO if it has no resources and has to unmock what it builds.

55.) But if you let the pendulum swing totally toward the Admin side, you get - CAPITALISM, and it doesn't work either as it produces incredible inflations and debts - although there may be some products lying around from the bankrupt companies.

59.) It's as stupid as using the wood from the house you just built to build a 2nd house.

56.) So there must be a Balance between these two extremes.

60.) You say the problem is FP? Well if I was a HAS who couldn't get the pay for new staff through FP, I would "not OK" anything the P/O wanted until he produced more with what he had and he could afford more Establishment.

57.) Capitalism - extreme - is NOT EVEN NEAR production. It's a system where a guy with bucks (dollars) lives off the interest, loans the rest and forecloses on the borrowers and sells the company for more "bucks".

61.) It could get so crazy that the HAS is transferring all the staff each week to keep up with production. Trying to run a 345 man org with only 15 staff!

58.) So if you put an accountant in charge of an org, he will only think about "bucks", not products.

62.) When production is not adequate for the Establishment, then the Establishment goes "poor" in all its resources.

59.) To the degree Treasury doesn't collect the outstanding monies owed, they neglect their duty, and force economy on the org.

63.) Its main resources are of course TRAINED STAFF MEMBERS.

60.) Also, however, you can't have a "runaway" org which has no financial "checks and balances" in it. (To keep it from spending more than it makes.)

64.) And willing auditors, and cheap expansion space, and sources of inexpensive materials and equipment of the org - like filing cabinets.

61.) I can run an org that way because I have a feeling and sense of the volumes of production and income. It may seem uncontrolled at times because I buy things without going thru FP. But the test of the pudding is the stat of Org Reserves. Any org I'm running accumulates reserves at a hell of a rate. They run out of Banks to put them in.

65.) The WRONG way to do it is to spend 8000 Dollars for new desks for P/O, O/O, & HAS. That's beginning into the incredible practice of "spending money you don't have".

62.) I keep a "computer overview" of the production and cash flows of an org. And I turn down unreal Establishment projects and encourage delivery and production projects for expansion.

66.) You CAN do this in this society. Very clever. They are ALWAYS WILLING for you to "spend money you don't have" - credits, loans, etc.

67.) But we DON'T do that. That is why we STILL own our own souls and why we are NOT in the "pockets" of the International Bankers.

63.) I don't consider an org can AFFORD ANYTHING until it has a couple YEARS of reserves built up to cover its ENTIRE ESTABLISHMENT OUTLAY.

68.) We are SOLVENT, are OURSELVES, and DO EXIST, because we make our OWN WAY.

64.) Auditing Rooms, Training Space, Staff Service (if not expensive) are projects I consider more important than any others, until the place is really viable and booming.

69.) Some staff wonder why I don't pay them better. It's the wrong question. I'm not even on their Board of Directors. Their low pay is a direct result of unhattedness for production in their orgs. If they produce more they get paid more.

65.) When I've got that couple of years of reserves, I know I'm working at a bare minimum and I start to get loose with the money. (Not the reserves though, the NEWLY made income.)

70.) This is the ECOLOGY of the Universe in which we live:

66.) I've seen accountants look with horror (but hidden) at some of my projects to increase consumption but in the end we've gotten from it many more thousands than we put in.

• STAFF MEMBERS WHO PRODUCE GET PAID.

67.) "What consumption can be brought about?" is one of the first thoughts of a production man. Otherwise he will run out of space to put his products.

68.) He doesn't care how many products he makes, as long as they don't sit there. They must be consumed or utilized.

69.) EXAMPLE: Tells story of Edsel Ford who produced a BIG new car that DIDN'T sell. He should have read Henry Ford's notes of "America on Wheels" a policy that was for small, cheap, economical transportation. Because, just at that time, America was needing a small car so brought foreign cars and Ford lost a lot of business.

70.) He should have built one, run it on the street and ask people if they wanted it - an elementary survey or pilot project. He missed the main chance by not doing a market survey to find out what the public WOULD buy.

71.) So you should always have a "Special Programs Section" for pilot projects.

72.) This section will pilot these new products to see if people will consume them and what the interest is, etc. Then you can always drop it or change it without costing your org millions.

71.) Example:

73.) The "Celebrity Centers", for instance, were being run by Diana and Yvonne in Special Programs under Div 6 Aide (Diana) and it was booming. I suddenly woke up to the fact it was not under the main Management Bureaux Control Line, so we are getting it put there. So if a pilot is SUCCESSFUL you should remember to then organize it into the main org line.

An Instant Hat of Staff gives VOLUME.

74.) All new types of expansions are PILOTED, otherwise you go broke.

A Mini Hat gives some QUALITY.

75.) So the "Big Idea", if costly, or not sure about it, should be piloted 1st, then checked up on to see how it did - in Special Programs.

A Full Hat gives VIABILITY.

76.) But most "Big Ideas" are banal (simple) - they are just based on how to get more people into the org (in bigger volume).

72.) As a manager, your first thought is for VOLUME. You demand VOLUME of Product. Then as 2nd Action you demand QUALITY of the VOLUME. Then 3rd you calculate and demand VIABILITY.

77.) You probably think of policy and the org being a "rigid" structure. Well, it is, but big ideas AREN'T.

73.) If you don't do, however, a bit of VIABILITY PLANNING before all this, you may have an awful time of it.

78.) So if the "big idea" works, the ESTABLISHMENT for it must be provided by the HAS. (HCO Area Sec.)

74.) You can predict from stats where an org will be 5 or 6 months from now. (Ex: AOLA will be DOUBLE its current 40.000/wk income and corresponding delivery stats.) So whose job is it to prepare for that DOUBLING of the Establishment? The HAS of the org. And whose fault is it if they DON'T DOUBLE the size of the Establishment - space, auditors, staff, etc. - ? The HAS of the Org.

79.) (The reason orgs APPEAR "rigid" is that they were formed by experience with establishing EARLIER "big ideas" - like Scientology & Dianetics training and auditing. And these have proven to be the workable way at this time to keep it expanding. WBR)

75.) But it takes months to train, hat, and groove-in staff. And find space and rent or buy it. So who is doing it NOW? I don't think anyone but me.

80.) The HAS must keep the cost figure of the Establishment BELOW the income figure - no more than 50%.

81.) Ethics is how you hold the EDGES, The Ethics Officer is the "God of the Edges". Ref. Vol O PL on "Direct a channel toward attainment, put something on it, KEEP THE EDGES FIRM, while pushing it along the channel".

76.) The WRONG time for the HAS to think about Establishment for the increased production IS WHEN IT IS ALREADY INCREASED. No, they must predict it and start way AHEAD of the increase by building up RESOURCES.

82.) People try to use Ethics to "monitor" behaviour. How nutty! Who cares abut behaviour? (It's only intentions and actions that go against the PURPOSE THAT Ethics cares about.)

77.) We are going to see a boom in Europe. We are translating the lot!

83.) Interpersonal (social) relations are only "good" in the presence of SUCCESSFUL PRODUCTION. So what you want to do is INCREASE PRODUCTION, (thus MORALE goes up!).

• OEC

84.) The HAS determines the size, type, and kind of Establishment that can be afforded.

85.) This may also have to do with LOGISTICS (transport, supply, and movement of goods & personnel).

86.) Sometimes the HAS is running BELOW that which can be afforded and that is a false economy - especially if done on HCO itself.

87.) How can HCO be "undermanned"? This is nuts. It assaults my reality. Because HCO RECRUITS and ASSIGNS personnel!

Into all major EU Languages.

88.) It's like "bragging" about not doing your job and trying to get me to handle it for you! That's HCO's method of "bragging" about not doing their job "We don't have enough people in HCO".

78.) It needed a bright idea, because the cost of PUBLISHING all these things in all these Languages was prohibitive - millions of dollars. (NOT-VIABLE).

89.) The IRREDUCTIBLE MINIMUM of the HAS's job is a manned and operating HCO! THEN maybe you can get them to put the REST of the org there!

79.) The bright ideas was SIGHT TRANSLATIONS onto TAPES. The courses are done on tape or cassette by trained translators. The orgs then only need a lot of tape machines for the students.

90.) How does HCO put the org there? Well, it's in charge of ORG BOARDS, HATTING, PERSONNEL, COMM, ETHICS - all the things needed - the TERMINALS, COMM LINES, AND FUNCTIONS. (Control of Matter, Energy, Space, Life, Thought).

80.) New tapes can be sold to the orgs every 3 months, because the tapes will wear out from so much daily use.

91.) But if you know that and it still isn't putting the org there, you have missed one point - the ORDERS ISSUANCE SECTION. This is what it uses to build, hold, control, man, and maintain the org. (Control of Time)

81.) The Russians are now fooling around with psychic phenomena. It's a field of interest the government doesn't fully control, so we release into their midst "Russian Scientology".

92.) This has the Orders of the Day and Time Machine.

82.) The only reason you are not making a penetration in some areas is because NO MATERIALS are there.

93.) If you see no Establishment Orders in the OOD's or in the TM, then you know NOBODY is establishing the place and soon it won't exist.

83.) We are putting out KNOWLEDGE. When applied, you can get production, ability, case gain, etc. But the basis is KNOWLEDGE. So that's what we need to put in an area first - the TRANSLATED KNOWLEDGE.

94.) How MUCH org he can build is determined by financial VIABILITY.

84.) The consumption of the KNOWLEDGE is quaranteed. It's the basics of LIFE. But you must have the books, tapes, bulletins available in the LANGUAGE. And the SUPERVISORS for the COURSES.

95.) If Dept 1 has a "think" of "we don't wand people", it's worthless.

85.) If you put in a FRAGMENT of something, IT WILL BOOM, AND THEN COLLAPSE. Thus we also need to have Supervisors, M/U Word Tech, and the OEC for the Organization.

96.) Did you ever see the cartoon of the little fellow sitting in a box saying "I hate everybody"? Well, you DON'T wand a Dept 1 (Personnel) like that!

86.) If you only put in a fragment of this Prod/Org system, it would boom & collapse. Example: The HAS gets 60 staff for the org, but none are auditors, all are unhatted. They would behave like 60 ENEMIES to the org and each other!

97.) A Dept 1 must be willing to take anyone on, although they have to shove half of them out thru Dept 3 (Ethics). (many are called, few are chosen)

87.) A 60 man MOB is not an org nor an Establishment.

98.) The HAS is the BUILDER of the Org (Product 1 - The Establishment).

88.) So I've elected the HAS as the person who puts and maintains the Establishment there.

99.) If it ISN'T built YET, it's Prod 1. If it WAS built & CRUMBLES, it's Prod 3.

89.) If the O/O did all that, he would CEASE to help the Product Officer!

100.) You say, "he isn't in control of the actual Building & Space of the Org". Oh - YES HE IS - via his Orders issuance Section and Time Machine.

90.) If the P/O has no backup by the O/O, he can't increase VOLUME or QUALITY of products, so will fail.

101.) I could build quite an org from HCO, and have. The only limiting factor is the Viability in regard to the income. (as mentioned before).

91.) So the proper division of duties is for the HAS to care for the Establishment.

102.) If it was brand new and young, I might "fudge" over into 75%,but quickly get it back to 50% and I would be ashamed of myself if after a while it cost any more than 25%. (Of the income).

92.) The HAS must not take people from fast-flowing posts to give to the O/O to fill other fast-flowing posts. That's nuts. And it would be a HAS in POVERTY who didn't have any resources.

103.) But even if that happened, as HCO I would look to production divisions and Product Officer and get them hatted so they COULD afford the Establishment.

93.) Let me give you something from SOCIALISM that IS true. (Most of it is balderdash).

104.) Do you now see the why behind the low GI divided by staff in orgs? It ISN'T that orgs are overmanned. It's that they are not hatted and there is a lack of Production Orientation.

"THE WEALTH OF THE WORLD ARE THE REAL THINGS IN THE WORLD. AND THAT IS WEALTH. MONEY IS ONLY A SUBSTITUTE FOR WEALTH, AND IS NOT ITSELF WEALTH."

105.) So when someone says "They don't pay us well." ask - "Who is THEY?" You are looking at "they" when you are looking at the staff of an org.

94.) Money is only valid to the degree that it can substitute for actual wealth. Money is only of any use to the degree that it can purchase things of value.

106.) You can't pay a staff 20 Pounds a week when he only makes 15 Pounds a week for the org!

95.) Value is established by things that are WANTED. Value is established by "wantedness".

107.) It even works this way in a moneyless society. If a village doesn't produce MORE than 4 or 5 such villages can eat, it will e a village of starving, poor, famine-faced peasants.

96.) You can fluctuate (change) value by making scarcities and demands, etc., but it is basically "wantedness".

108.) This has been TRUE for 1000's of years, on THIS or ANY OTHER PLANET.

97.) "Keynesian" philosophy is valid UNLESS you put it in the field of ECONOMICS. It IS VALID in the field of PRODUCTION, but NOT in the field of MONEY.

109.) It must cause the suppressives a lot of problems when in America, for instance, a person can now raise enough to feed 47 people. In the past, he could only raise enough to feed 4 or 5.

98.) So in production, you DO have to "create want" or desire for consumption of the products.

110.) So the suppressive governments continue to ship the MONEY overseas, not the products. If they do ship products they do it for free! How crazy can you get? (There is no exchange and no viability in it. Only inflation and strain on the producers.)

99.) What you are selling is absolutely priceless - KNOWLEDGE, and how to APPLY IT for BETTER, HIGHER QUALITY, LIFE or SURVIVAL.

111.) It's very simple. You can not pay a worker more than he makes.

100.) No "price" could be put on it. So what is its price? Its price is WHAT CAN BE RECEIVED FOR IT; NOT WHAT IT IS WORTH.

112.) I wonder, when I see these kids in the US buying things with poppa's money, how long it will be before it all crashes. They are like a novice on a high wire - it's only a matter of time before they fall to the sawdust.

101.) So pricing is based, not on VALUE, but WHAT CAN BE RECEIVED FOR IT.

113.) And I have no sympathy for the people who don't produce and keep crying for money. The "poor, underpriviliged" worker now has a paradies in Russia and they can't produce enough shoes to keep the "snowniks" out.

102.) And that depends on HOW MUCH IT IS WANTED.

114.) If you are going to go around in a body on this planet, you might as well produce enough to keep it comfortable and well -fed at least!

103.) Once you have this sorted out and aligned, you can determine HOW MUCH ESTABLISHMENT THE HAS CAN PUT THERE.

104.) Don't just "fill in" posts on an org board because they are empty.

105.) Put up the org baord and then post it TO THE DEGREE THAT IT IS REQUIRED TO BACKUP PRODUCTION.

106.) Now the Command Lines will go mad to the degree you don't build it from the top. So the FIRST PRODUCTION man you put on is in-charge of everything AND does the production.

107.) When you have ONE auditor, he IS the P/O AND the whole of Tech and Qual.

108.) When you have more auditors, it's because you have a DEMAND for more auditing.

109.) That is created by RESULTS and BOOKS.

110.) The stats of an org are almost monitored by the degree the knowledge has been circulated.

111.) It's a direct relationship. The stats are proportional to the amount of KNOWLEDGE circulated by the organization. (Not by the amount of "sales-talk")

112.) So the HAS builds the org according to the stats he can build by. If he builds the org at a cost of 50% of the income of the organization, he's really doing great.

113.) A "rich" HAS is one who has reserves, resources.

114.) The wealth of the world are ACTUALITIES. A HAS is wealthy to the degree he has trained staff members, trained staff in reserve, auditors, supervisors, etc.

115.) A "rich" HAS could even ask the P/O to find work for 5 fully trained auditors not being utilized on production lines at the moment - great for use in Special Projects - time for a "big idea" - see?

116.) Or he could ask the P/O to produce more income so he can put on 25 staff - already hatted - to expand the Establishment.

117.) Interesting COINS: "How many auditing hours and Supervisor's minutes can the org furnish?"

118.) "How many students hours, public courses, etc. can the organization furnish?"

119.) That's a RESOURCES SURVEY done by the HAS. "How many hours?" for instance depends on how many auditing rooms and how many auditors.

120.) An HAS should know the resources of his org. The ACTUAL wealth. When he knows this he can then tell if he has spare or reserve resources.

121.) Example: Org with 6 auditors. WDAH for week 36. Wow, should be 150 with 6 auditors at 25 hrs each! So that org is throwing away their gold coins of 114 "auditing hours" every week. And this can NEVER be recovered for that week. It can never be "SPENT" again. They threw it away.

122.) It's "funny money. If you DON'T SPEND it - you HAVEN'T GOT is.

123.) Ex. Student hours. The course room fits 20 students. An 8 hours day org. So that's 160 student-hours per day. For a 5 day week it's l800 Student-Hours. That's the "coins" of the org.

124.) Now you understand why I say the HAS is "poor" if he doesn't have resources. Those ARE his resources.

125.) If he had 160 staff and only one auditor and one supervisor for 7 courses, he would be in poverty. Only 25 WDAH & very few supervisor minutes per course or student possible. That org would go broke FAST. It could not afford itself! There's nothing to deliver!