Harvard business reports (1930)

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Pathe Exchange, Incorporated1 producer and distributor — motion pictures Sales Organization — Centralization of Control through Reorganization oj Exchange Office Management. A company producing motion pictures distributed its product through 31 exchanges, each directed by a manager who was responsible for all contracts and collections within his territory. In order to centralize the control of the exchanges and thus secure closer supervision and economy, a manager of exchanges was appointed at the home office. A general reorganization of all branches with reassignment of duties brought about the desired centralization. Sales Control — Standardization of Branch Office Records. A company distributing motion pictures through many branch exchanges gave each branch manager considerable latitude in the operation of his exchange, with the result that there was little uniformity in the organization or procedure of the several exchanges. Believing it desirable to consolidate the results of operations, the company installed a uniform system of accounting in the exchanges and adopted standardized statistical forms. The home office was then in a position to summarize and analyze the reports from the branches. These changes resulted in a substantial economy in the work of auditors, together with a closer control over sales. (1928) In April, 1928, Pathe Exchange, Incorporated, a producer and distributor of motion pictures for domestic and foreign exhibition, made several changes in the personnel of its management. The newly appointed manager of exchange operations planned a reorganization of the existing system of exchange management for the purpose of securing closer supervision and greater economy. Pathe Exchange, Incorporated, produced and distributed a complete line of motion pictures, including special and program features, westerns, comedies, short subjects, and newsreels. Prior to 1927, the company had specialized in the production of short subjects, comedies, and newsreels. In that year, however, the tendency on the part of the larger companies in the industry to produce a complete line of product had caused Pathe Exchange, 1 See also Pathe Exchange, Incorporated, pages 359 and 364. 349