Before we can decide what manner of man should be placed at the head of this or that department, we must study the duties of the position, the responsibilities involved, the authorities to be assumed. To present this problem in graphic form, the chart (Fig. 5) is designed. While the arrangement is not inconsistent with Fig. 2, this chart of the same class of organization is laid out along the lines of authority. It shows both the authority of the department head and the necessary activities of his division. We have selected the organization of a large industrial establishment for the very reason that many divisions and departments are necessary. The smaller organization will have a less number of divisions, but it is much easier to condense than to expand a given plan. Any man who understands the requirements of a large organization can readily adapt those ideas to a smaller establishment. He can apply the plan so far as it can be used to advantage. Some variations of the application of the plan will be pointed out in our departmental analysis. [Illustration: Fig. 5. A Chart Which Shows the Duties, Responsibilities and Authorities to be Assumed by Each Department Head] It is perhaps unnecessary to say that while the authorities of some of the department heads have been referred to in preceding pages, this analysis is intended to exhibit these authorities in greater detail. =12. General Manager.= As a rule the general manager has general supervision over the commercial and manufacturing branches. In conjunction with the president and executive committee, he formulates all policies to be followed in purchasing, manufacturing, sales, and advertising, establishing credits, and accounting methods. He is responsible to the executive committee and board of directors for procuring materials, their manufacture and sale, and the maintenance of buildings and machinery. It is his duty to keep in touch with the operations of every department and to post himself on the general efficiency of all classes of workmen. Through reports he will keep informed in regard to the results of the operations of every department. While in direct communication with all department and division heads, he will have for his immediate assistants, a comptroller and a superintendent. It is from the comptroller that he will receive statistics and reports of the activities of the business in all its branches, while to the superintendent he delegates his authority in the actual operation of the manufacturing branch. =13. Comptroller.= "A controller or manager" is a standard definition of the term comptroller. In the organization under consideration, he is a _controller_ of the business by virtue of the fact that he is responsible for the accounting and recording of all activities of the business.