Alright, now let's look at this. Product, product. Each department would have a product, each division theoretically has a product. And these products are, in the most part, sub-products, if you want to be very technical about it, because they build up into a valuable final product.

1.) This briefing was convened to give the ED's, P/O's, O/O's their FEBC Mission Orders to take back to their orgs.

Now a valuable final product is one that you can exchange with the society for the wherewithal which the society has. This is by definition, by definition. It is something for which you can exchange the services and goods of the society, and if you want that.

2.) This set of directions IS being given to and WILL BE given to departing FEBC's.

Now of course that would seem to be just money. And the truth of the matter is, to a large degree, the society, not really delivering and not really serving, has to count totally upon money. But a trained auditor is a valuable final product because he's an interchange with the society around you. A preclear is a valuable final product because he brings about an interchange with the society around you. And money is a valuable final product because is brings about an interchange with the society around you.

3.) The Flag Bureaux has worked very hard to get the projects together to make the org roll on up the line and make it a great success.

In even a communism, where money is outlawed but they have income tax; you didn't know that about Russia? One of the Russian's main problems today is income tax. You didn't know that? Well anyhow. They invented it, they ought to get it, boy. Overt/motivator sequences. But you in actual fact, on this type of economy, and thinking in this particular way, you would see that a preclear, receiving service, actually does bring about an interchange. An auditor out in the society receives an interchange. And if you look over, if you look over economics as, well look it over from the standpoint of barter and you will understand far more about money than they understand in Switzerland. That's a dirty remark, isn't it? The only trouble with Switzerland is that's all they understand, that money is money, is money, is money, is money, is money, is money, is money. Now they understand pretty well how to is this money to here and is the money back again, and so on, and one day it'll all as-is and they'll wonder what in the devil they're doing.

4.) You have to realize that while you were gone, the staff all blew, and you have only 1 1/2 staff left, who were hired yesterday. (Laugh).

The truth of the matter is, that barter is a better expression of economics any day of the week. Why? Because when money inflates and goes bad, people resort to barter, so barter must be the basis of money. So therefore that is something which you should keep in mind. If the world all of a sudden goes communist, or socialist, or fascist, or something else where your money factors go out, you still have a barter type system which can function.

5.) So you open your briefcase and you have 27 or 28 projects to give out - to 1 1/2 staff!

It's, a barter system is clumsy. And I'm not saying that barter is the thing you should engage in, I'm just showing you that there are different coins than cash. There are different coins than cash, products which you have, themselves, could probably be dignified if you changed the economy you were operating with as valuable final products.

6.) No, the actual scene by stats is that people have been trying to keep the show on the raod and the stats are at a bare survival level or above.

But the wherewithal which you need in the society in which you will operate is money. And the way to make money is to turn out valuable products in terms of money, and receive the money and convert it into an establishment your way. It's the relative simplicity of the system which lends itself to use. But there are other systems, and you can work them out and so on, 'cause basically what you're trying to do is interchange. You're trying to get services for service. And if you understand barter, and how service could be translated directly into commodity, and you understand that that can occur, you'll all of a sudden realize that your service has to be real. And that every product that you put out has to be an interchangeable product with commodity, potentially. And that doesn't mean a mis-audited, flubbed up preclear.

7.) So now you are going to walk in after several weeks in the South Seas, admiring the palm trees, and listening to the native girls, and change everything? Well, if you do, I will sit here and watch the stats go down.

Now you go out and try to trade a banged up can of beans for a nice, sleek, new can of soup, and you will see at once that your product has to stand up. And money obscures the fact that delivery must be of good quality. And that is the thing which you must remember. And doing a product officer job, that your delivery has to remain of good quality.

8.) No, the orgs have been there for a long time, most of them, and have had their ups and downs, and attentions (which were sometimes regretted) and neglects (which were sometimes approved of) and so are not "nothing". And the staff are not "occluded" on what's going on.

So therefore, therefore, you probably have a hill to climb in getting up quality. A stat actually should consist of volume, quality and viability. And the quality must not be neglected. But you can try to push the quality up so high that you get no interchange at all. The art formula applies to production. In the case of the art formula, which is, you see, that it is a communication, you could actually push the perfection of art up to a point where it not only doesn't communicate, it's never released at all. I sometimes watch a C/S grooming up a pc with life repairs, and I wonder if he's trying to repaint Leonardo da Vinci's Mona Lisa.

9.) I have sent some policy letters to the orgs, and there is some slight action going on.

I get them across my desk every once in a while. The guy has certainly gone as high as he possibly could go in this grade, and if we repair him just once more, or if we groom him up just one extra auditing command, we have had it. So there's a time when you let go of the product. You see? So communication must still exist. There must be a transfer of communication particles called products, other words they've got to flow. So your quality is something that you rise, and so your letter registrar can sometimes tell you, "We are working here, why didn't we get any letters out this week?" "Well actually we're checking out everybody in CF, and we're filing up CF perfectly, and we have got the quality here, and we've got to raise this quality because we've had two letters in the past year which have criticized us for our lack of quality. So the hundred thousand letters which we expect to get out in this year must be of good quality. And the four hundred and sixty-two replies we get every week are neglected, because they aren't complaining," or something. I mean, it's as crazy as this. You just get a crazy explanation.

10.) So it's snot ALL bad. There is some dissem and public actions going on, people have been promised and sold services, some recovery of blown students is occuring. Some lines and functions are in.

No the way to do it is you get your volume, and then make it of quality. So you will have to do this of course with technical delivery. So this, it's true of all of these products, every one of these products. Get it up in volume, improve its quality. And if you do that, you will achieve viability. If you try to improve its quality without raising its volume, you will not ever achieve viability, nor will you achieve volume. So it goes one, two, three. It goes volume, quality, viability. And one of those things extends from the last one. So you think in those terms in production, you think in those terms with regard to all of the products which you have departmentally. And I'll just read you off rapidly so it'll be a matter of record, the various products of departments, as they exist as of this particular time, and reserve the right to improve this list, or improve the wording of these products.

11.) Now what would happen if you just walked in and changed everything?

And that is, department twenty-one is the technology of Dianetics and Scientology and its products. In other words, that is the knowledge with which you are dealing. But, it's the technology of Dianetics and Scientology and its products. "Well that's great," you say, "but really, the office of LRH, and Ron is on Flag and so forth..." No, you've got a department twenty-one in your org.

12.) Now, we know the org SHOULD be making 25.000 Dollars a week. (I would be ashamed to run an org at anything below that now.)

Now policy knowledge is going to leave the Guardian's Office as a function, and is being moved over into the office of LRH. And this was one of the old hats, one of the old hats of the LRH comm. And you'll find an old time LRH comm knows his policy backwards, and forwards. So, that's putting it out. "Yes," he says, "but really he isn't keeping the mimeo files, how could he do it?" No, that's knowledge.

13.) But YOUR org may be making 1500 Dollars a week and think they are doing well!

Now if your department twenty-one isn't putting out any knowledge in this direction of any kind whatsoever, or offering anything and so forth, why it's not doing its job. What was the LRH number one EDs? And why was the LRH comm trying to put those into orgs? It was directly and with some asperity in cases, trying to put knowledge into the lines. Right?

14.) (Aside) "People are getting born and going aberrated faster than they are being processed right now".

Now, department one is effective personnel posted and hatted. Now that is posted, of course includes an org board. And effective personnel, you'd have to get some personnel. So of course it includes recruited personnel. So there's a sub-product of that, is hired, recruited or acquired personnel. But the end result of this, the actions of that department are effective personnel, posted and hatted. You don't have any personnel, you know what department to look to.

Now the odd part of it is, is a very valuable commodity in the society is a staff member. And this is sufficiently valuable as a point of interchange, although you really can't get any money for it sometimes. I first hit this when I found out why I was losing secretaries, way back in the early fifties. The fact that a girl had been my secretary was an adequate recommendation to become an executive secretary to some millionaire someplace. And I lost more secretaries. They were trained up. And it was very funny, but my secretary in a South African country, was just an average stenographer until I got her trained up, for a very short period of time. And what do you know? She was hired by the richest man in Malawi for ten thousand a year. Why? Well, they knew administrative systems. They knew the basic fundamentals of administrative systems, and so they went into a category called executive secretary.

15.) Your first order of business then is to find out what IS going on and get it PAID FOR and DELIVERED.

Do you know that you lose people all over the place to businesses? Your orgs actually lose people to businesses. You look around and find out what they're doing now. Those staff members who have been well trained turn up in the most remarkable places. I remember one time in London, somebody called up some big corporation to talk to its president one day, and they wanted to know what they wanted to talk to him about. And they said, I think the person calling said, "Well I want to talk to him about Scientology," and there was a click and a whup and so forth on the phone, and a voice came on the phone and said, "This is Mr. Blank, Scientology consultant." And the person doing the phoning was talking to his junior of last week. Now this is one of the reasons why we've instituted in the department of training a hat college, because it's apparently a valuable commodity.

16.) Take advantage of the action that IS there and push it up to a higher level of volume & efficiency.

Just look amongst yourselves, how you fight to keep, or connive to acquire an experienced, trained or hatted staff member. Now tell me they're not valuable.

17.) That would be the first order of business of a PRODUCT OFFICER.

Alright, department two is communications easily accepted and swiftly delivered. It doesn't need too much embroidery, but it's just that. Now it of course could have volume, and it could have quality, and oddly enough can have viability. Don't mail the mail for a couple of weeks and see how broke you go. Well of course that's pretty, pretty blunt. But the truth of the matter is, you will hear occasionally somebody who is trying to raise the quality of the letter registrar; I've had this happen; raise the quality of the letter registrar's letters. True enough, they can be ghastly occasionally, but somebody, somebody is busy trying to raise this quality like mad, and you say, "Why?" Well this stuff just pours in from the org you see, and people in the field don't like it or they don't accept it. And do you know that a survey proved entirely the reverse? Even when they didn't answer them that the bulk of the people around, and so forth, were very happy, and a little bit honored to get communications from the org. You see, you only hear from the people who complain. And the other guys sit out there and they receive them, and they're very happy to receive these things. Once in a blue moon, why you'll get a complaint.

18.) The next order of business of the P/O is to look around and see how he can increase CONSUMPTION.

A six thousand circulation magazine editor once told me, once told me that people in the field didn't like the hard sell that was in" the magazine. And I said, "How many people in the field?" And she scraped up every letter that could be scraped up, and there were twelve. What a batting average! Twelve out of six thousand? Unfortunately, that state of mind prevailed, the magazine went soft sell, and the org's income started going out the bottom.

19.) He might also use the Public Div Sec as a PR Officer, part-time. Or replace him and put him on as STAFF of the P/O. Someone WILL have to keep the Div 6 actions going, so don't just rip him off. But eventually you WILL need a PR Officer on Staff to handle the new subject of PR and Consumption.

Well this is not necessarily that, but this is just mailed communications, easily accepted, it says. So a communication which is a dispatch in its proper form is easily accepted. A dispatch, anything that is mailed that can be accepted. And the truth of the matter is that a quality factor enters in there, and a person can object along that line, to the quality. And we used to have things called comm inspections. It could easily be extended over also into quality.

20.) He also has to handle the HE&R caused by your coming in and "caroming" (Bouncing) off the slow-moving staff members as you rush through the org.

So, department two is communications, as I said, easily accepted and swiftly delivered. And department three is an established, active and ethical org. Well, that's the product, so that is the product of HCO, so it's the product of the last department of HCO. And look what that department contains. It contains inspection, it contains stats, and it contains ethics. And you couldn't have much of an establishment unless it were an ethical establishment, and it argues back and forth against itself, so that is the product.

21.) You may get a new person or recruit someone, but, in any case, the PR Officer, on the P/O's staff, WILL be necessary if you are going to increase the CONSUMPTION and thus the delivery and income of the org.

If you don't have a product, why then somebody must not be using the expertise of stats, and that sort of thing, with regard to the staff, your staff stats, and so forth. It may be nobody even looks at them. Neglect any place along the line and that department will wind up with not having one. So that, you can say, is the product.

22.) There is nothing sillier than a canning factory that cans the product, then throws it away out the back door. It won't be in business long. The missing point was: the CONSUMPTION was not built up.

Now department four is effective promotion pieces printed and sent out. So, notice it says effective. Wipes out a lot of mimeo magazines. Puts in a lot of surveys. It actually changes your operating line, because effective, effective; what is the definition of effective? Well you can sure figure that out. It would be something that was answered, and preferably answered with a body. So the org mailed out a thousand promotion pieces, and only nine hundred people came in, what the hell's the matter with that department? But that is the ratio on which you would be operating. How much went out, how much came in? You could probably figure the percent.

23.) So, what you are doing, is going back to an area that is running to some degree, and has its OWN traditions on how to do it better, and what you have to do is find what's lying around and make it into PRODUCTS.

Department five is have course packs and tapes, plus these valuable final products of the org: Sold and delivered books, sold and delivered tapes, sold and delivered meters, sold and delivered insignia. You probably some day or another will see that product neated up, but if you just keep up, if it gets neated up and those disappear, you'll have had it. The funny part of it is that a sold and delivered book does not cease to be a valuable final product of the org, because it is out there, read and read again, and read by somebody else, and so on. So when you don't have books out there, you of course are not exporting knowledge to the society.

24.) Now you go back and tell the staff: "Hello! We are back. Everything is fine. You did well and now we are just going to do MORE of it". At this point you hear a groan and the staff says, "But we are overloaded now. We can't do more". You say, "We have an Org Officer to take care of that, so that your overload doesn't particulary worry you".

And tapes, when tapes disappeared once out of a whole continental area; a tiny one; the whole subject went bad. And it was a why, a why was eventually found, in this terminology of that day, and it was found that they hadn't played a single tape anywhere in that area for two years. When they played no tapes in that area for two years it went bad. And when tapes were played again, why everything got fine. So it was just the fact of communication. There was a factor of communication which had been dropped. So if your org isn't selling any tapes, da da do do. If you don't have any tapes being played down in the distribution division or someplace, or somebody isn't playing tapes, or there aren't any study groups playing tapes, and there's no tapes, why you will develop some trouble. Not from us, you will develop some trouble from your field.

25.) Then you do TWO things: Get income up and delivery going.

And of course, sold and delivered meters, and over the dead body of numerous individuals who seem to make it their dedicated possibility of holding their withholds absolutely secret, and if I were them I would, you know. We're still selling meters.

26.) Look around and find all the half-finished products you can complete and all the things lying around you can sell.

Now sold and delivered insignia is not done anywhere near enough. But look, I wonder why, I wonder why your org doesn't sell the student the materials of his course. You know, I think it's a shame that he doesn't. And I wonder why somebody can't have his hat when he goes away. I should think he could. And I wonder why an SHSBC doesn't have every SHSBC tape he ever listened to, I don't know why. In fact, I don't know why you haven't got a total archives in your org. See, I don't know why at all.

27.) So your 1st action is a SURVEY to find out what can be delivered NW.

So you start, you start looking this over, you say, "Hats, course packs and tapes," the truth of the matter is, it's just, we're just being big hearted. And we've never looked at what you can do with hats and course check sheets and course tapes. We just never looked at that.

28.) Usually my 1st action on the 1st day of walking into an org is to move all the Execs out of the Service Space!

We used to have a rush project which was very interesting. After every congress the tapes of that congress were instantly available to any attendee of the congress. And we used to sell an awful lot of tapes. Now that, that to some degree, is neglected as a valuable final product, so a product officer, shopping around inside of all this can very often find some that aren't even listed down here. But before you distort the org too much, make sure they're valuable enough to be bothered with. Can they achieve a volume is one of your questions. You can sometimes spend more administering something than you can be recompensed for.

Then I work with their creditors so they won't be foreclosed on the 2nd day.

Now number six, hold your hat. It's the income greater than outgo, plus reserves. And that is why the invoice department is being shifted directly and immediately to six. The invoice machine is going right over into six. I found out oddly enough, the reason why a management org must have a service org alongside of it was great interest to you. Anybody in a liaison office would find itself extremely embarrassed if it were too distant from an actual working org, because they'll lose the scene. And the scene disappears from before their view, and the familiarity ceases exist. And therefore, orders and corrections can be quite unreal.

By then I have looked around enough to get a "big idea" on what we can offer now and we do so PROMPTLY on any comm line there is.

Alright, so I found out that you can't get an invoice system in to tech, if it runs through cashier, strangely enough. The business of the cashier is to, is to handle the cash. And where an org has credit, and an org inevitably has some kind of credit problems; as long as it has qual it will have credit problems of one kind or another; so that any credit invoice, or any debit invoice, or any other kind of an invoice has got to go into department seven, and it's got to be address plated, foldered, statement sheeted, and so on.

29.) In your materials is a "Special Project" - Big Idea - you can put in at once. But it may not be all you need, of course, locally.

People are always sending this in. We try to get out of the credit business, we can never make it. And people are always sending in a hundred dollars too much, and what do you do with it? Well, you put it into the statement files, and the guy now has a statement, he's plus a hundred. When it gets upsetting is in the book department when they consistently will send in another dollar or two. And you will go down in a book department and you will find that they very often have a little credit file. And people are always leaving money on credit in the book department. And you go down there and you'll find out there's a complicated little file that's being kept by somebody who is shipping books or something, and it's the most remarkable thing you ever saw in your life. It'll be twenty cents extra, and a dollar and a half short, and two bucks extra, and things like this. And if you don't keep it up people get upset, too. "But what happened to that seventy-five cents that I sent you?"

30.) Remember, "good ideas" need EXECUTION. They have to be done.

Alright, so income greater than outgo plus reserves is six. Now that means that the registrar occasionally is going to have to hump, but then the registrar will have various functions and things in the registration department, which will function. Advanced registration is a total flop, in actual fact, comparison to what it could be by depending on division three to do the collections, because division three does not have the files or the knowledge of this, nor the advanced registration books with which to continue to send it out. So we all of a sudden have a plating, address plating action occurring in department six. Anybody who's advance registered and put five dollars in on a course immediately gets a plate, and he gets a bill. And you just keep billing them, and so it has to go out as a billing. And the advance registration only breaks down when this isn't done.

31.) So you may find other ideas that ARE good, that ARE "under way", that you can push to COMPLETION.

Alright, department seven is all funds collected for services and sales. That's all funds collected for services and sales, and so on. Department seven doesn't have anything to do much with viability or anything else, they've just got to collect all the money in sight, that's all. That's the way they do it. They set themselves up administratively to collect all the money in sight. If it's money, they collect it. If it's owed, they collect it.

32.) So, LOOK it over. ADJUST it up for PRODUCTION, without disturbing anybody particularly. Then get some PROMOTION out. Get some DELIVERY being done. Look around the Academy and find out how many can graduate today. (They've probably been there for 2 years). Then go into the crowded waiting rooms where pc's wait for their sessions, count them up and go ask "Why don't you hire another auditor?", and about that time you start to get away - you get promotion, delivery, income, and you get the show running.

They collect it. So if they're not set up to collect, why they've had it. In other words, you become unworkable, the org becomes unworkable from a viability point of view One whole org at this particular moment of, not one of the lesser orgs either, is falling on its head right at this minute, because its invoice and collections set ups are so poor that it is being paid thirty-five dollars, seventy-five dollars, twenty-six dollars, for Dianetic courses. And they wonder why they can't pay their staff. Well the advance registration, the deposit on the course, that line is out. So we'll just put it back the way it was originally, and let her roll.

33.) Remember, you are trying to get FINAL VALUABLE PRODUCTS - namely money, student completions, and pc completions.

Now department eight is subject to great misinterpretation. And it's pleased creditors. They're a product. Now of course you could please them by over paying them, but that isn't expected. And as a matter of fact, they wouldn't be pleased if they were over paid, because it wrecks their bookkeeping system. But occasionally some printing firm will make a nice try, and after that be very withholdy. They will send you three bills, and then send you the summary bill of the three bills, and then take payments for all four bills. And after that you find them very hard to live with, so they're unpleased, because they've now got a withhold. But pleased creditors.

34.) You probably have tons of pc's there you can get completed, although it might not get you any money if they paid already - but once complete, they will RE-SIGN UP for further services.

Department nine is adequate and well cared for materiel. The word adequate means it has to get issued, and well cared for, and so on. There is an additional function in there. They've got to be able to get together their balance sheets and so on, unless that is adjusted on the org board. But that is definitely provided for, that division three should get something out that has to do with its basic quarterly summaries, and so on.

35.) It is necessary to understand completely, utterly, and totally that a Product Officer is there to get the FINAL VALUABLE PRODUCTS.

Now department ten is adequately supplied courses, rapid, efficiently scheduled, routed and handled students and pcs. And that is of course tech services. And we have learned recently that for some reason or other this department will, with a completely straight face, try to get its quota by having forty-five percent of its auditors idle, and making fifty-five percent of its auditors work double their normal auditing hours. This product can really be goofy. So, when it comes to bonus systems and so on, that department actually loses bonuses for all idle, non-quota auditors. It can lost its bonus and its pay, the way it's set up right now, 'cause they will leave people unscheduled, they will leave people un-called in. And there is where your well done auditing hours goes to pieces. You will find that something peculiar is being done with scheduling.

36.) And it's quite a trick - because you are not a first going to sit down and plan how you are going to build up to it in 2 years - you have to get them NOW.

Now one of the ways, you say, "Well the D of P draws up all these schedules for pcs, and those are all traditional, so what could that have to do with tech services?" No, the way tech services does it, it's tech services gets the list. And then as the auditors come in, tech services stands aside while they argue about which pcs to take when. And that can make such a balled up mess as you wouldn't believe it. One of our high stat auditors by the way just takes the pcs, just in rotation as they're handed to him. And the others shift the pcs, and change their positions, and change the appointments, and adjust the schedule and so on. And in the process of doing so they don't necessarily lose hours, but they lose their whole day. And then you ask them, "Well why don't you ever study?" or something. There's a lot of abuses can come into this particular tech service department, and most of your trouble in trying to get out delivery and so on, you will have with tech services.

37.) The first few days will be difficult. You have to brief the staff - we have a tape for you - and then get it going as above. But the machine will start running even though it's a little machine, it WILL start running.

And tech services, they will invent lines to try to get tech services in. The basic lines of tech services are in policy already, and tech services actually worked the most smoothly, and so on, along about '65, some time like that. And you find out an org which you have right now, they've probably got some invented tech service line that knocks out your production.

38.) (Tells the story of the salt-mill in Holland, it kept putting out salt - with no consumtion plan - and they couldn't stop it - so threw it into the sea - and that's why the sea is salty and we leave to buy fresh water at high prices in these ports.)

The worst case what I have ever seen was, an org had thirty-five auditors. And some of them audited two and a half hours a week. You mean full pay, full time auditors, and some of them audited two and a half hours a week? Why? How? Well the why in this case was the registrar was doing all of the tech services functions, and the D of P's functions. The registrar was scheduling the pc, with this simple additive: "When do you want your sessions?" And then this would be sent over to tech services and the D of P as, "This person demands his sessions on...", and all we changed was remove the question. And we told the pc to be there Monday. That was that. And thirty-five auditors instantly started to audit their full quota of the day, and the income went up right up through the roof, and my god, you never saw so much money in your life. They were going mad in the; they were running out of invoices and everything else. It was terrible problems over in department seven. They couldn't keep enough invoices in the place. Machines kept breaking down from over use, and you know, cash drawers kept breaking, bottoms fell out of them. That's the kind of problems I can have. But the simple switch in this particular case was removing one question from the registrar's repertoire. Interesting, isn't it?

39.) You will feel very strained, tired, and knocked about during this period. The test is: "To LIVE THROUGH THIS PERIOD, and to keep running ahead of the storm from there on out."

This probably would bring up the question, when does the product officer cease and the org officer begin? They begin on the subject of line. Whenever a product officer finds himself in the field of line, lines, or adjusting a line, why he has got hold of something that belongs to the org officer. And he should turn it over. He can handle it if he wants, but he won't get anyplace trying to do the org officer's job.

40.) The longer you are there without an O/O, 5 feet in front of you, the harder it will be - so the solution is: "THE 1ST PRODUCT OF THE PRODUCT OFFICER IS AN ORG OFFICER".

Alright, so department eleven is a valuable final product of the org, and a valuable final product it is. Effectively trained people who can skillfully apply what they have learned, and will apply it. Do you notice it doesn't say certificates? An auditor who cannot audit is a liability. He's not a valuable final product. And we've got too many of them being taught right this minute, and boy, we have to put them over the jumps when we get them here. Boy, do we put them over the jumps. And what do you know? It takes two-way comm, and actual case supervision, and no evaluation from the bulletins, and just like it says in teaching a course. And the way to get a valuable final product there is get the course taught, the way it's supposed to be taught. And that's all you have to do. Difficult, isn't it?

41.) And the O/O will start throwing some lines together, getting some scratch paper to use for invoices, setting up a place for the money to be paid down, handling the paper and getting a printer to do the promo, (and data-lining the old printer who wasn't paid), clearing out the offices of the execs to use for auditing rooms, etc.

It actually isn't difficult at all. I don't know how anybody makes a lousy auditor. I think it's almost, almost impossible to make a lousy auditor. So, any time you turn loose an auditor who can't audit, why you've cut down your field, and you've cut this down and you've done that. So that's not only a valuable final product, that's a product that can recoil.

42.) Now after about 3 days of this, the O/O is getting tired also, and now you remind him: "THE 1ST PRODUCT OF AN ORG OFFICER IS AN HAS (HCO AREA SECRETARY)".

Now it's been true of department twelve, HGC. The valuable final product of the org. But its product; now hear this product; is the wins of preclears and pre OTs. Its product is wins. It actually is trying to move itself up to the persistent F/N. It is not trying to, as far as the public is concerned, and as far as basic tech is concerned, it is not trying to reform people. It isn't trying to do all the multitudinous other things that you think it could do. But as far as the HGC is concerned, it is simply wins, quantity of. And they are expressed actually by the width of an F/N, so they're even on a meter. Somebody who ends the session with a quarter of an inch F/N, well done auditing session, it might have F/Ned if the examiner had examined the pc on a meter. I'm sorry. I'm sorry, actually my ribaldry sometimes is prodded into existence and so on. I've had too much to do with straightening out lines, and so forth. And recently we've been straightening out some lines. And you're getting some real production. But the production which you're getting is absolutely fantastical. And the amount of persistent F/N and that sort of thing, which is turning up on these lines, is practically unheard of.

43.) And the HAS gets on and thinks it's all easy because there are some comm baskets and hats around, so that's an "HCO".

Now the exactness and the stress and duress which it takes to achieve this, and the exactness of the auditing and so forth, comes from the; it's only doable if you have of course a trained auditor in the first place. Now when we haven't got a trained auditor and we have to retrain the auditor, and we have to retread him, and we have to recram him, and we have to do this with him, and we have to do that with him, and so forth before we can put him on to auditing, then that shows there was something wrong with the instruction in the first place, and it just wasn't done according to the text book, that was all.

44.) Then you have to remind him what an ESTABLISHMENT is: Typewriters, desks, carbon paper, pens, space to work, hats, lines, hatted terminals, routing forms, signs, etc. - for the WHOLE org. Also, door locks, safes, invoice machines, mimeo, telephone, telex, etc.

But it's wins, wins. Every once in a while I get something from a C/S. "Actually this person has not done the three last processes of this particular grade, and the F/N won't stop so that we can do them." Now this is why this is couched, in terms of wins. Now how many wins can you get? You give quicky lower grades, all in twenty minutes, and you've got one win. Whereas there are, in actual fact, about thirty or forty wins that can be gotten in that area. So how do you milk this for wins?

45.) If he says, "that's not the province of HCO", you say "listen to the 3 hours of tape again on the HAS".

This will kill you. I had a case that was all mucked up, the other day, and so on. Case came in here from some place. God awful. Been audited upside down and backwards, and so forth. And I took a look at this case, and I audited him on a disused power process. I got a win. It's a power process that patches up auditing but isn't generally used because nobody ever gets into that far, or into that much trouble on power. So I just said, "Well it's doing no good in that package, let's pull it out of that package." Run it on this pc... So how can you coax a win out of a situation?

46.) And you keep insisting he put Basic Staff Hats in on HCO, and to put an HCO there, which will put an Org there.

This case was hopeless. It would have been a hundred and seventy-nine hours of life repairs, been self auditing for the last eighteen years. Gone all the way to OT 6 without having read any of the materials, except to sort of glance at them, shudder, clinch, get away from them, quickly attest, nicely restimulated. Now how do you get a win out of that? How can you shake it down for wins?

47.) Now that's where your FEBC Projects come in. These put an org there Department by Department.

Well you can give a case a win by straightening them out, and when it is straightened out recognize that you have straightened it out, and the case has a win. Now of course you've got the whole parade all the way from Dianetics to OT 6 all wide open, to get wins on. The way the case is handled. How many wins can you get in this case? Not how quick can we finish the case, because that's a completion. You offer completions, you can say completions on a stat, but the way the examiner is rigged up now, he'll register it as a win. You got it?

48.) Now you have you P/O, O/O, and HAS mission orders. And you have "Special Project 2" which is DISSEM, and "Special Project 2" which is TECH.

So from the product officer's point of view it's how many wins it that HGC getting per capita. And if he can just keep that flying, why the enthusiasm will go out in all directions.

49.) Special Project 2 (Tech) helps you deliver to the business you attract with Special Project 1 (Dissem).

Now, department thirteen, and there's, it got shaken up when we put in a thing called a hat college, and it sort of tried to drop out of existence, and a bunch of things like this. And various things happened along in this line, and when you don't understand what's happening it's a good thing to just hold onto what you've got. That's a good maxim. And department thirteen, department of personal enhancement is effective and well trained org staff members. Well that's fine, but they would have to program them, and so on.

50.) You also have the business the org IS doing, which you musn't neglect.

Now to some degree this is probably susceptible to a modification if the hat college has this. But it isn't likely that the hat college would have this. These people would have to be programmed and handled and qualled, and so forth, in order to make them that. And the STO functions have not been dropped out of the org. So that is just a fancy way of saying STO.

51.) To review it: The P/O will find he can't live without an O/O. The O/O can't live without an HAS. The HAS can't live without an HCO.

Alright, department fourteen is more efficiently produced org valuable final products. So you've got a built-in, an establishment correction machine. There is a built-in product three, org series ten. And that doesn't relieve the product officer or the org officer of any of his responsibility, and it probably however will cut quite a few miles off their pedometers.

52.) At this point, you probably would have enough money for the HAS to really start putting an ESTABLISHMENT there, and he would do it almost totally independently of the Product and Org Officer of the Org.

Now department fifteen is corrected org products, and its earned certificates and awards. Now actually, these don't necessarily verify or coordinate with the stats. We have a stat action, and this is where this comes up. We have a stat, a series of stats, which scatter down through, somehow or another give you the volume of production, the quality of production, and the viability of an org. And that OIC set of stats, when you're used to reading them, will give you all three of those answers. Whereas, if you just took all of these products and they became the only stats you had in the org, you might or might not wind up with it.

53.) But the O/O should carry a ruler to slap the fingers of anyone trying to take personnel from a working installation.

Now success stories and the gross income divided by the number of staff members, are the traditional earlier stats of qual, and since we dropped those stats, why qual has not been as well off as it has been in the past. So that again, this is measuring something up by wins. You can expect some minor change in this area, is the only thing I'm alerting you to. But when you have the minor change, why you will have it. And right now you have the fact that the product is the corrected org products. In other words, the product of the org corrected, and that would be too successes, and its earned certificates and awards. They of course are very valuable to the people to whom they are issued, particularly if they are earned. And if they are very, very well earned they are very valuable to people. And it's quite a valuable final product to the individual.

54.) The Rule to follow is: "The org is a personnel pool to the degree it is NOT engaged in direct production and one NEVER dismantles a working installation".

Department sixteen is effective PR and advertising actions that attract members of the public to become Scientologists. So now we've gone external. Now if you want to understand the distribution division, the distribution division is external into the public. External. And the dissem division of course is internal. But you've noticed that there has been a shift of emphasis here, given by these products. We have effective PR and advertising actions that attract members of the public to become Scientologists. Fine. That's your outside advertising. When they dropped advertisements in books in England, there was trouble. They didn't have the flow they had before. It was simply an advertising campaign. You drop advertising campaigns of all sorts and descriptions, and of course your consumption drops, naturally. So this is actually where you're counting on your consumption of new zones. New consumptions.

55.) This is something one must teach ship people too. If a piece of machinery or a hoist is a WORKING installation, even if you don't use it right NOW, well, don't touch it - leave it alone.

Now you've already got old consumptions, and things to consume oldly, back in the second division. That's dissem division. So your new consumptions, and new frontiers, all come from that area.

56.) Let us define a "working installation" in terms of an org: "A WORKING INSTALLATION is any group which is delivering the ADEQUATE, and adequate PRODUCTION, of that product which they are supposed to deliver".

Department seventeen, hold your hat. Department seventeen, this gives you an entirely different think in the standpoint of public divisions. Department seventeen is hatted Scientologists. And some PESs will look at that, and some public division people will look at that, and they will say, "Certainly changes things." And you will expect the VGIs, well they'll probably come in two or three days later. They suddenly get it figured out, and they're away.

57.) And you leave those ALONE. Don't "monkey around" with them.

Department eighteen is active field Scientologists. Now of course that then is furnishing these people with sold books, distributed materials to; actually if you look over these people very carefully, you will find out that a Scientologist in his personal' ' contact does the majority of your selling for you. There was an old campaign, sell a book and make a friend. The bulk of your distribution of Scientology materials, and so on, could easily be done from that particular sector, providing these people are given assistance to do so. So you've got actually the book store sales over there become very active and tremendously swelled up if you've got department eighteen functioning out there, selling. And if there's groups out there of them, and things of that character, and that's what it takes to make an org expand. You've got to open up new consumption areas. The people that'll open these up are hatted Scientologists, department seventeen, who turn into active field Scientologists in eighteen. Right?

58.) If you do "monkey" with a working installation you will find that you have gone 3 steps forward and 4 steps backward.

Now department nineteen is a viable org. And of course the valuable final products of the active field Scientologist, have bought books, disseminated knowledge, environmental control on a cleared planet. So that's how you do that. So they're hatted in eighteen, they become active field Scientologists; now nobody's talking about a field staff member. Active field Scientologist, they could also be one of those. And an active field Scientologist, if he has the valuable final products of bought books, disseminated knowledge, he will then get environmental control, and he'll get a cleared planet. And that's how the job is going out.

59.) Do you know the Communists tech the children in schools: "How communism is going to win" by making them march 3 steps forward and 2 steps backward, over and over?

Now the department twenty is of course the office of the controller, which is really the Guardian's Office with all Guardian's bureaus in it, and is usually manned in an org by an AG, and will often have an AG finance. This has the valuable final product of acceptances of Scientology. It's acceptances, and you will find out that translates several ways from the middle. It translates in numerous directions. It would consist of combatting an enemy propaganda action, it would consist of getting in good press, it would consist of quite a few things. But the end of all of that is a product, and its acceptance, so you could actually measure up numerically, acceptances. And that too governs, to a marked degree, the viability of the org at large, so of course it adds into all of the other products.

60.) There are very FEW areas where there is a "superfluity" (excess) of staff and a sub-minimum of production. In these areas it's easy for the P/O just to walk in and say "Do this" and the O/O to post up the org fast.

Now if that office is basically external, and while it's busy trying to straighten out the groof-floof of having hired sweet Betsey from Pike, who turned out to be, and is trying to handle that, if they're out there in the society faced outwards, and handling things on a long run and an external reach, then you'll get acceptances. So actually it detracts from their product to handle internally, orgs. And one of the things that's happening right now is the Guardian's Office has had to take over several orgs and several sectors, to make up for the slack of FEBC students out. And it is one of your duties to get the place running, so the Guardian's Office doesn't have to be walking up and down with a Sherlock Holmes cap, through the corridors of the org. Get 'em extroverted. Don't give them trouble, and don't get them distractions. Give them reassurances, "We'll take care of the org here." And of course, as we have already given you here, the 'teen was of course a viable org.

61.) MOST areas DON'T have enough personnel to get any real production, so in these the HAS must recruit, hire, "Shanghai", kidnap, or otherwise get TEAMS of people to work on these FEBC projects and ESTABLISH those DEPARTMENTS and DIVISIONS.

Now the office of, the org board you're working on here, has the offices of the executive director, the product officer and the org officer, and the executive director, who is really the product officer's PR, and the executive director or the product officer's messenger, has several; the valuable final products are of course the product officer, of products one; the executive director has products one, two, three and four, org series ten. He is basically, when you get it out into a triangular system, the planning officer. And he is the fellow that the product officer and the organizing officer meet with, in order to plan up what they're going to do. And then the basic team action which occurs, occurs after a planning action of this particular character.

62.) These "teams" are trained, hatted, and put there to be working, DOing installations - thus building up the org.

Where you have the product officer, who is also the executive director, he is also the planning officer. He's double hatted, and you shouldn't lose sight of the fact that he is double hatted. And the product officer of course has products two and four, which is the correction of the product of the establishment, and of course the product of the establishment. And the org officer has products one and three, and that is the establishment and the correction of the establishment.

63.) So the HAS practically has nothing to do with the P/O & O/O.

Actually, product one is delegated, but is really just delegated, to the HAS. But then so is everything else delegated from these. And you've got the full, broad span of it.

64.) The SEQUENCE which the HAS puts these teams in is very interesting:

Now a finance office will sooner or later come into establishment in department twenty-one, and it will have as its product, reserves. But the facts of the case are that the org itself accumulates reserves out of its own allocated funds, and the cash/bills ratio is reported, just in case the point ever comes up, is what the org has, not what might be into the management reserve accounts. There's been some confusion on that recently.

DIV

So therefore, you have a list of those products. And it is germane to this particular talk I'm giving you what products you are going for. Now the product officer of course has all of those products, and the org officer puts the organization there to attain the products. And as far as the establishment itself is concerned, that is put there by delegation by the HAS. The FEBC projects and so forth, if teams are put together to run those, you will find out that they very smoothly move into the org board as being the actual department and its function.

1. HCO - 1 (Divisional Sequence of FEBC Projects)

What do you do when an FEBC project is completed? What do you do when an FEBC project is completed? Well, you start in at the major target, and do it all again. And this time you do it bigger and better. And you can always do a project more perfectly and more voluminously than you did it last time, and from time to time you will probably have amendations on these projects, based on your own experience with these projects, and they will be released as an R after the ED number. And you'll notice each one of these projects is numbered, and so they can be referred to in telex, they can be referred to in correction, and they can be reported on in MOs.

2. TECH - 4

Now the facts of the case are that when a person is on MOs, a person is supposed to report. Now what is your relationship to a CLO? I can give you that very, very briefly. A CLO is there to collect data for Flag, and to get Flag projects executed, and to handle immediate emergencies which are necessary to be handled. The CLO is not there to send out work parties, it is not there to hold hands, and it's not necessarily there to shoot people. It is there to give a hand, to give advice, to relay data, and for that reason in department twenty-one you have another post, which is liaison officer. He's the bureau liaison officer.

3. DISSEM - 2

Now all of your communication to the bureau should go through a bureau liaison officer. And all the communication from a bureau should go to the bureau liaison officer. And any communication from an EC, any communication of any kind whatsoever from an EC has to be cleared through a bureau, and is part of a bureau's functioning. And it is done in coordination with, and under the supervision of a production aid or assistant production aid.

4. TREASURY - 3

The exception to this is the Guardian Office communication lines, which travel directly of course to the Assistant Guardian of an org, and travel back. And those lines, although they will go through the communication lines of a bureau, do not necessarily clear through any other terminal in the bureau. They are there for relay. They would go there, they would go to external comm actually, and external comm bureau would forward them straight on, either to ECWW, or otherwise, or an Assistant Guardian can actually communicate directly to Guardian WW, or communicate directly to Flag.

5. DISTRIBUTION - 6

And in addition to that, another set of communication lines exist in the vicinity of the finance office. And the finance office goes directly from Flag to the finance office.

6. QUAL - 5

There are three hats which exist then in the department twenty-one, and those are your basic communication hats. It's the LRH; they're the basic, through this terminal communication hat, except as I have just given you on the Guardian's Office. And this department twenty-one, you have the LRH comm. Now basically that is my communication line, and I hope after this is all set up to actually have a communication line into the org, because now that LRH comm is so double hatted, and so otherwise out of department that it's sometimes difficult to get a communication into the org, and get a communication back from the org. So there are three basic hats there, just speaking organizationally. That's the LRH comm, who is the department head, and then there is the liaison, bureau liaison officer who is the basic communication terminal, through which the bureau communicates to the org. And then there is the finance banking officer who is part of the finance network. These three things, it would be such stress that I certainly wouldn't advise it, but it actually could be a triple hatted post in a small org, to begin with. And one of the first things that he would probably get rid of there would be the finance banking officer hat, in one awful hurry, because of course this is your final terminal for FP, forwarded there from the division three. And he'd have to handle all of that.

7. EXECUTIVE - 7

But nevertheless, those posts you will find, it would be very good to man them. And when you can get up big enough so that all three posts can be manned, this is the thing to do. So therefore, the mission communication goes out of the org actually through the bureau liaison officer, to the management aide of the bureau, to Flag. And that is the communication line for mission orders. So if you're a product officer, an executive director or an org officer, or an HAS who is on mission orders, and has occasion to report on those mission orders, then the communication line is actually via, the triple hat can exist, LRH comm, bureau liaison officer, finance banking officer. You will find out that life will become much more bearable when he is just a bureau liaison officer. And that is the proper hat for that order to report it through. That order goes to the management aide, and you would have to direct it. It says, "Management Aide," and that's the nearest CLO. And then that will wind up here on Flag, because they report. Their data bureau has a valuable final product of collecting data for Flag.

65.) While this is being done, the P/O and O/O are working on PRODUCTION and CONSUMPTION, so as EXECS are doing QUAL, DIST, TREAS, DISSEM & TECH actions. These phase in neatly with the HAS's establishment sequence and meet somewhere around DISSEM and then all begins to expand smoothly. And the org can then handle a greatly increased VOLUME.

This does not pretend to lay out for you the valuable final products of bureaus. But the valuable final products of Flag consist of things like workable projects, that increase the volume and quality and viability of an org.

66.) At the point where they come into PHASE and the sub-products are now stacking up, the P/O will find he is now having to COORDINATE and PLAN more. This is where you should go to the TRIANGULAR SYSTEM, of ED, P/O, and O/O.

The final product of a bureau liaison office would be a project successfully completed, which increased the volume and the quality and the viability of the org.

So actually a bureau, if you want to know what they're really supposed to do, a bureau sits there with the collected data sent to Flag as their valuable product, as from Flag's point of view, and from their own point of view, even though it goes through their own data bureau, and even though it is for and used by their people in order to know what is going on, which certainly has to be done. They're just solving this in LA, and it's in a terrible scramble, or it was, and now it's been more or less smoothed out. And that data coming through and sent to Flag is a valuable product.

67.) Now here is the sequence of the P/Os mission orders:

Now, on the reverse way, it's completed projects. It's not actually written, developed or anything else projects, it's completed projects. And those you would find normally that have the priority of Flag projects completed. So a bureau of CLO is not likely to be showering down on you with a bunch of internally originated projects, which are in conflict with your FEBC projects.

a.) Get briefed on Flag on what exactly you will be doing on returning to your org.

But, the way an action bureau operates is something else you should know. An action bureau is the last report, or the last port of a bureau. The management aide will write and say, "How is project woof woof going?" And he won't hear, and then he won't hear, and then he doesn't hear, and then he doesn't hear. Well, a report a day keeps a mission away, because of course his action is to turn this unreported series of stuff straight over to the action bureau.

b.) Bring with you the FEBC Projects, a copy of the Org Board you will be using, and copies of the LRH ED's and PROGRAMS to go with the projects.

The action bureau'd be operating in a highly understandable fashion. Be operating basically on the thing of trying to find out what the bug is, find the why in the situation, find out if there is a situation, find out the why of the situation, and if they can, remedy it on the ground, or refer it and report it, so that it can be remedied. They have an observation function, which is only fair to mention.

c.) You will have the FEBC tapes with you, and will assume the post of ED and Product Officer.

So, this is the way the lines are being smoothed out, and that is what you could count on from the bureau. A bureau is also there, they can give you advice, they can give you help in various ways. We are very, very helpful indeed, but we have been so helpful in bureaus that the basic personnel of liaison officers has just been stripped down to practically nothing, sending out work parties, to hold people's hands, or file up their CF, or do things of that character, and it's actually a little bit out of character for the bureau to do this, so we are frowning on it. We won't necessarily stop this with a sudden, grinding halt, but we will certainly slow it down, because an org is actually not made competent by being continuously babied or helped. And we are trying to make competent orgs that can stand on their own two feet.

d.) You will immediately choose and appoint someone as your Org Officer. The 1st Product of a Product Officer is an Org Officer, and he has another set of orders.

Now that is the extent of the FEBC package. This is what we are trying to do with the package. This is the clear intention of what we intend with the package, and we're not at this stage of the game trying to do anything else but to steer you clear of various rocks and shoals that you might run into with maybe over enthusiasm and so forth, with regard to something, and trying to go in and getting in things too fast. And doing the other action of getting them in too slow. Now you will set your own pace to the degree that you can make it go. Your own competence is what will demonstrate that. After that, it's up to you.

e.) Hat the O/O, using the FEBC tapes. Quickly.

Thank you. Thank you. Good night.

f.) Cope like mad, with the O/O, to build the income and delivery up.

g.) Put in Special Project 1 - "Dissem" & Special Project 2 - "Tech" to do this.

h.) Get them in on an all-hands basis if required. This stimulates business. But don't knock out everything that is ALREADY going better income - wise, appoint an HAS.

i.) At soon as you have handled the products "lying around" and are going better income - wise, appoint an HAS.

j.) At this point of build-up, nothing has been done yet with the FEBC Projects, except Special Projects 1 & 2.

k.) Hat the HAS very well. The O/O does this with the tapes from the FEBC. Then present him with the package of FEBC projects to get done in the sequence given. (Div 1, 4, 2, 3, 6, 5, 7).

l.) He does these by DEPARTMENT in the Division named.

68.) To do these projects properly you are going to need INCOME. So when you are running around like mad, you can get up GDS'es (Gross Divisional Statistics) all you want, but CONCENTRATE on DELIVERY and INCOME.

69.) Then the org can be built solidly - department by department - as long as DELIVERY and INCOME continue to rise.

70.) If the HAS is very, very clever, he won't even use a single person from the existing org staff who are being run by the P/O & O/O. He will get NEW teams, build his POOLS, use RESOURCES, PERHAPS from the products from the products already made!

71.) So, the HAS is busy building the Establishment, while the P/O and O/O are busy building up INCOME, DELIVERY AND CONSUMPTION and way they can.

72.) You have got to get COMPLETED STUDENTS, PC's and MONEY for it, no matter whether the PROJECTS are done or not. When THEY move in, it will do the same thing, so is a REINFORCED ACTION.

73.) So, until ALL the projects are in, the P/O and O/O are in a state of COPE - to some degree.

74.) Now, if you find there is a need and fixation on having to have an HES and OES there, due to old custom or habit, and there is a lot of "dispatch traffic" for them - well then put someone on those posts. To answer the dispatches and letters AND keep track of who is writing them all. (HES = HCO EXEC SEC; OES = ORG EXEC SEC.)

75.) But don't YOU get sucked into that line. No Sir!

76.) An O/O should actually carry a "pedometer". It's an instrument used in hiking, engineering, and army, to find out, how far one has walked. It's hung on the belt.

77.) It has a little weight in it that goes "click" every time you take a step. It has to be adjusted. You count off the steps for a measured distance (100 feet or 100 meters), and divide by the number of steps you took. This gives the average "pace". It could be 28 inches, or the old Roman pace of 30 inches, or maybe 32 inches.

78.) And both the P/O and O/O should have a STAT based on that exact count of miles or kilometers at the end of the week. All joking aside, the job is done with MILEAGE.

79.) Now, I have messengers, so I should hang a pedometer on THEM to get part of my stat. But what are they doing?

a.) Looking into a situation.

b.) Getting questions answered.

c.) Trying to find the "bug" in the situation.

d.) Giving me the anwered to the situation.

e.) Helping me resolve the situation.

f.) Directing the handling I give.

80.) This is a substitute for the same thing. But there is no REAL substitute for it. You see, I HAVE done my time as a Product Officer. Now, while I do other hats (Research, Writing, C/Sing) they keep my P/O actions going.

81.) I've also done LOTS of mileage as an O/O. One of the incidental duties of which is to see EVERY person in the org EVERY day- both to see if he is on post and wearing his HAT and personally, to see if he is doing all right.

82.) (Note: There were 300 to 400 people on the ship when this tape was made!)

83.) This system increases VELOCITY on the 3rd Dynamic, and the personal life and care of the person's health may not keep up with it. That is the only real liability in it. So the O/O handles that aspect. You may expect 2 or 3 to drop out when you get this system in - because the VELOCITY is increased and they "break down" on another dynamic.

84.) It is that they are not getting the adequated PERSONAL care in propotion to the amount of ATTENTION they are exerting.

85.) Auditors are particularly susceptible to this. Auditors are like "race-horses". Somebody ought to pat them, rub them down, and feed them oats.

86.) Auditors, themselves, will only fade out of your line-up because they PERSONALLY have not been given enough care and attention from an organizational point of view.

87.) Auditors should have their OWN auditing rooms ideally, their OWN space, for personal effects, certs on the wall, etc. We used to cal them "consultation rooms" in the old London days.

88.) But, as a P/O, you should never have to worry about this - if you have a good O/O.

89.) Ex: I as P/O handled an area directly where the exec was not on post. The staff got upset by all the messages and actions I was taking. I had a PR survey done. NOT ONE STAFF MEMBER HAD REALIZED THEIR EXEC WAS MISSING! So they didn't know why I was doing the actions!

90.) Ex: Do you know that D/Ps will try to limit the number of pc's on their lines? And that a line very easily gets going between Div 4 & the Reg to the point where the Reg is scheduling the pc's? When you find this, look for the Tech Services HAT not being worn - scheduling Board PL, etc. Never let TECH tell YU how many pc's they can take.

91.) It's not usually a "determined" effort to reduce the delivery and income, but it IS an "arbitrary ceiling" being put on the amount of delivery, and thus income, which you can do.

93.) So the Product Officer drives this thing on up - and the Org Officer keeps the staff cooled off. That's the reason you have to have a PR Officer sooner or later.

94.) The two things which get in the road of the Product Officer are:

1. A Lack of Understanding of what the SITUATION was.

2. The unworn hat.

If you work on this basis, you've got it made.

95.) So, tell the staff, when you arrive back, what is going on - and don't leave them in any mystery.

96.) Brief them on what is going to happen. They will agree on expansion, I'm sure.

97.) But the final action is YOUR responsibility - to get the income and delivery up so you can afford the wherewithal to build an Establishment.

98.) I want to point out that the cobbler (Shoemaker) who became a vast shoe manufacturing company always started out in a shed in a backyard with an old tire and a few pieces of leather thongs. In this case, the "egg" always comes first. (Before the "chicken")

99.) You have to make the money to put the "Chicken" there.

100.) We have two case histories of orgs who tried to put the "chicken" there FIRST (organize everything and establish everything before producing) and they are BOTH horrible flaps.

101.) So that is the MISTAKE you can make. Go back and try to organize everything. That's "trying to put the chicken there first". I doesn't work.

102.) It WILL all work out in the long run if you get Production first. That is the truth.

103.) Now let's take up the Org Officer's action here: His mission orders are as follows -

a.) Listen to the FEBC tapes brought back by the Executive Director

b.) Star-rate them with him. (It's a very lucky E.D. who has an FEBC Org Officer).

c.) Get your hat on as O/O.

d.) Cope like mad to get the organization together for the two Special Projects which are designed to drive in lots of business.

e.) Preserve the organization and production which is already there.

f.) Together with the Product Officer, build the income and delivery of the org up.

g.) When income is coming up and delivery is occuring, appoint an HAS.

h.) Hat him, give him the FEBC Projects to do in sequence per division.

i.) Have him work on the projects in the sequence: Div 1, 4, 2, 3, 6, 5, 7.

j.) Insure the HAS builds up the Establishment of the Org per the FEBC projects.

k.) Insure he hires, hats, and appoints personnel to build the Establishment.

l.) Continue to back up the ED, P/O to get income and delivery while making sure the HAS is busy building the Establishment.

104.) So the O/O is driving TWO horses at this time. He must not get them mixed up. (Ex: Don't force the HAS to hat the auditors he is coping with while the HAS is building HCO. And don't let the HAS rip off the auditors for HCO posts.)

105.) And the O/O must not let the HAS wildly put people into HCO without thought of their security qualifications.

106.) The O/O is driving a "mad elephant" with his right hand and a "12 horse chariot team" with his left hand.

107.) And that utilizes what you've got and puts you into a financial betterment scene which permits these organizational steps to be done. And that's the O/O's mission orders.

108.) Now the HAS you appoint won't even understand what mission orders are. So don't expect him to just do everything right. On the other hand you can't wait a year while he gets fully hatted. But you do have some time to have him do a checksheet to get somewhat hatted.

109.) Here are his mission orders:

a.) Listen to the FEBC tapes.

b.) Get star-rate checked out by the Org Officer.

c.) Fully accept the HCO FEBC Project given you by the O/O.

d.) Start implementing these per department with TEAMS.

e.) Get busy hiring, appointing, and hatting people to man up the Establishment of the Org, using the FEBC Projects.

f.) Don't make the mistake of trying to get HCO to furnish the full services of HCO WHILE it is being built up! (This would make the HAS do the O/O functions. We have made that mistake twice now, so don't do it again.)

110.) Remember, nowhere in these orders does it say the O/O gets personnel THROUGH HCO. He doesn't have to go near HCO at all, except to get the HAS doing his Establishment projects.

112.) The O/O would be WISE to use the org board, policy, and OEC data in his cope - but his primary job is to back up the P/O's production.

113.) An "Establishment" rises out of the "cope" propotional to the wherewithal mecessary to resolve the "case" (of "coping").

114.) So the mistake of an O/O is to depend too much on HCO. The mistake of a P/O is to not inform the O/O of what he is doing.

115.) So the P/O should keep a notebook of what he does and pass it to the O/O to brief him. And the O/O should keep a notebook of his actions to keep the has informed. Otherwise you will get a ridge between the Prod-Org team and HCO.

116.) Another mistake is for the HAS to think of the O/O as his HCOES "senior". There IS seniority there, but the HAS works on POLICY and Product 1. The O/O works on Product 3, until it all comes into phase.

117.) And the P/O works Product 2, and when he gets a 4, he gets the O/O to handle 3.

118.) This Prod-Org system does disturb traditional relationships in an org. And a staff that has been grooved in another way, is likely to be confused.

119.) If you have to have, for the staff and the pubic sake, an HCOES, OES, and PES there, well, do so. But don't let them try to form an EC (Exec Council) which slows everything down and tries to get it back to the "orderly good old days" (of low stats).

120.) No, Production is usually accomplished in a DISORDERLY fashion. ORDER is the exception. That's why you have a whole Division devoted to nothing but BRINGING ORDER. (DIV 1 - HCO)

121.) But an org and production CAN run in an ORDERLY fashion and that is what you will build up to with this system.

122.) So that is as far as your orders go.

123.) Remember, putting an HCO there is not easy. In UK last year there were only 1 1/2 HCO personnel!

124.) So what does it take to put an org there? MONEY, INCOME.

125.) And how do you make money and income? You DELIVER.

126.) And you get people to come in and take advantage of the delivery you are doing. This gives CONSUMPTION.

127.) You will run into the proportional pay system. That is being abolished. A new system will go in. The people in the Financial networks should have a "say" on it, which I have asked them to do.

128.) The new system is:

a.) An org has a "basic allocation" which is the bare minimum of survival.

b.) All allocations above that are for "Production Bonuses", measured by the actual production that week.

c.) The FP and Treas work out the "Basic Allocation" - rent, lights, telex, some pay, some promo & supply.

d.) The FBO (Flag- or Finance-Banking Officer) banks ALL income into 2 management accounts. One is for Management Services & N/Ws (networks) and the other for the Org. Then he gives the Org its COMPLETE allocation for that week (Basic + Bonuses), into their OWN account.

e.) The adjudication of disputes and inequities of this system is handed over to the Guardian's Office for adjustment. They have an excellent record on Cash-Bills.

f.) Now the management debts and cost of managing the org come out of the Management Account, so the org doesn't have to worry about that.

g.) In this fashion, a reserve can be built up, for expansion, without the income being consumed in day to day operations.

h.) That way, you will get an Establishment.

(Note: The above system failed in cases where the Networks (FBO & GO) did NOT know or apply the FEBC policy or data or got infiltrated. In present time - 1987, it is better to let the P/O handle the ALLOCATION %'s of income and the O/O to do the F.P. A rough allocation which has proven successful is:

• 10% - OTC

for RON's Orgs.)

129.) If production is there, the allocation is good. And if not, it's bares survival.

130.) The formula here is simple. The org gets enough to keep out of bankruptcy, and if it also produces, it gets Bonuses.

131.) The bonuses to the ORG can then be decided further by FP as to which Divisions get more or less, based on THEIR production.

132.) The proportional pay system has served its purpose to establish the "beach head". When I ran orgs, staff usually were paid very well, but since then it has been sometimes very poor pickings for the staff payroll.

(Note: This is the "Unit System" which was destroyed by too much of the Income "coming off the top" to support non-delivery excess staff & networks.)

(Note: It got to the point where 35% or more was taken "off the top" leaving the orgs to pay up to 15% to FSMs and ending up trying to operate on 50%, or less, than they MADE, to pay staff, do promo, AND support the organization and its basics.)

133.) The thing you will run into in finance, is that people do not understand it. And the reason is - it's too SIMPLE.