Henry R. Towne

"Executives must have a practical knowledge of how to observe, record, analyze and compare essential facts in relation to... all... that enters into or affects the economy of production, the costs of the product."

"To insure the best results, the organization of productive labor must be directed and controlled by persons having not only good executive ability, and possessing the practical familiarity of a mechanic or engineer with the goods produced and the processes employed, but having also, and equally, a practical knowledge of how to observe, record, analyze and compare essential facts in relation to wages, supplies, expense accounts, and all else that enters into or affects the economy of production and the cost of the product. There are many good mechanical engineers; — there are also many good " businessmen ;"— but the two are rarely combined in one person. But this combination of qualities, together with at least some skill as an accountant, either in one person or more, is essential to the successful management of industrial works, and has its highest effectiveness if united in one person, who is thus qualified to supervise, either personally or through assistants, the operations of all departments of a business, and to subordinate each to the harmonious development of the whole."

"As an engineer by training and practice, and as a manufacturer having upwards of thirty-five years of practical experience in industrial management in many phases, I avail myself with pleasure of this opportunity of meeting this large body of students who are preparing themselves for active work in the world, and of submitting for your consideration some suggestions concerning your future work, especially in the field with which I am most familiar and in which some of you, I feel sure, will find your best opportunities, and which will form the topic of my argument, namely, Industrial Engineering"

"The dollar is the final term in almost every equation which arises in the practice of engineering in any or all of its branches, except qualifiedly as to military and naval engineering, where in some cases cost may be ignored. In other words, the true function of the engineer is, or should be, not only to determine how physical problems may be solved, but also how they may be solved most economically. For example, a railroad may have to be carried over a gorge or arroyo. Obviously it does not need an engineer to point out that this may be done by filling the chasm with earth, but only a bridge engineer is competent to determine whether it is cheaper to do this or to bridge it, and to design the bridge which will safely and most cheaply serve, the cost of which should be compared with that of an earth fill. Therefore the engineer is, by the nature of his vocation an economist. His function is not only to design, but also so to design as to ensure the best economical result. He who designs an unsafe structure or an inoperative machine is a bad engineer; he who designs them so that they are safe and operative, but needlessly expensive, is a poor engineer, and, it may be remarked, usually earns poor pay; he who designs good work, which can be executed at a fair cost, is a sound and usually a successful engineer; he who does the best work at the lowest cost sooner or later stands at the top of his profession, and usually has the reward which this implies."

"We conceive the prominent element in present-day industrial management to be: the mental attitude that consciously applies the transference of skill to all the activities of industry. Here emphasis is placed upon the word all, for the restricted application of this principle to machines and tools has been highly developed for a long period. But its conscious application in a broad way to the production departments, and particularly to the workmen, we believe has been made during the last quarter of a century."

"The Engineer is one who, in the world of physics and applied sciences, begets new things, or adapts old things to new and better uses; above all, one who, in that field, attains new results in the best way and at lowest cost."