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The Story of the 4 way test

Story of the 4=Way Test

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STORY OF THE 4-WAY TEST
BY HERBERT J. TAYLOR

 

BACK IN 1932, I WAS ASSIGNED BY THE CREDITORS OF THE CLUB ALUMINUM COMPANY, THE TASK OF SAVING THE COM­PANY FROM BEING CLOSED OUT AS A BANKRUPT ORGANIZA­TION. THE COMPANY WAS A DISTRIBUTOR OF COOKWARE AND OTHER HOUSEHOLD ITEMS. WE FOUND THAT THE COMPANY OWED ITS CREDITORS OVER $400,000 MORE THAN ITS TOTAL ASSETS. IT WAS BANKRUPT BUT STILL ALIVE.AT THAT TIME, WE BORROWED $6,100 FROM A CHICAGO BANK TO GIVE US A LITTLE CASH ON WHICH TO OPERATE. WHILE WE HAD A GOOD PRODUCT, OUR COMPETITORS ALSO HAD FINE COOKWARE WITH WELL-ADVERTISED BRAND NAMES. OUR COM­PANY ALSO HAD SOME FINE PEOPLE WORKING FOR IT, BUT OUR COMPETITORS WERE NATURALLY IN MUCH STRONGER FINANCIAL CONDITION THAN WE WERE.WITH TREMENDOUS OBSTACLES AND HANDICAPS FACING US, WE FELT THAT WE MUST DEVELOP IN OUR ORGANIZATION SOMETHING WHICH OUR COMPETITORS WOULD NOT HAVE IN EQUAL AMOUNT. WE DECIDED THAT IT SHOULD BE CHARAC­TER, DEPENDABILITY AND SERVICE MINDEDNESS OR OUR PER­SONNEL. WE DETERMINED, FIRST TO BE VERY CAREFUL IN THE SELECTION OF OUR PERSONNEL AND SECOND, TO HELP THEM BECOME BETTER MEN AND WOMEN AS THEY PROGRESSED WITH OUR COMPANY.

 WE BELIEVED THAT "IN RIGHT THERE IS MIGHT", AND WE DETERMINED TO DO OUR BEST TO ALWAYS BE RIGHT. OUR INDUSTRY, AS WAS TRUE OF SCORES OF OTHER INDUSTRIES, HAD A CODE OF ETHICS -- BUT THE CODE WAS LONG, AL­MOST IMPOSSIBLE TO MEMORIZE AND THEREFORE IMPRACTICAL.  WE FELT THAT WE NEEDED A SIMPLE MEASURINGSTICK OF ETHICS WHICH EVERYONE IN THE COMPANY COULD QUICKLY MEMORIZE.WE ALSO BELIEVED THAT THE PROPOSED TEST SHOULD NOT TELL OUR PEOPLE WHAT THEY MUST DO, BUT ASK THEM QUESTIONS WHICH WOULD MAKE IT POSSIBLE FOR THEM TO FIND OUT WHETHER THEIR PROPOSED PLANS, POLICIES, STATEMENTS OR ACTIONS WERE RIGHT OR WRONG.WE HAD LOOKED IN AVAILABLE LITERATURE FOR SUCH A SHORT MEASURING STICK OF ETHICS BUT COULD NOT FIND A SATISFACTORY ONE. ONE DAY IN JULY, 1932, I DECIDED TO PRAY ABOUT THE MATTER. THAT MORNING, I LEANED OVER MY DESK AND ASKED GOD TO GIVE US A SIMPLE GUIDE TO HELP US THINK, SPEAK AND DO THAT WHICH WAS RIGHT. I IMMEDIATELY PICKED UP A WHITE CARD AND WROTE OUT THE 4-WAY TEST OF THE THINGS WE THINK, SAY OR DO AS FOLLOWS:

 1.             IT THE TRUTH?

 2.             IS IT FAIR TO ALL CONCERNED?

 3.             WILL IT BUILD GOODWILL AND BETTER FRIENDSHIPS?

 4.             WILL IT BE BENEFICIAL TO ALL CONCERNED?

 

I PLACED THIS LITTLE TEST UNDER THE GLASS TOP OF MY DESK AND DETERMINED TO TRY IT OUT FOR A FEW DAYS BEFORE TALKING TO ANYONE ELSE IN THE COMPANY ABOUT IT. I HAD A VERY DISCOURAGING EXPERIENCE. I ALMOST THREW IT INTO THE WASTEPAPER BASKET THE FIRST DAY WHEN I CHECKED EVERYTHING THAT PASSED OVER MY DESK WITH THE FIRST QUESTION "IS IT THE TRUTH?" I NEVER REALIZED BEFORE HOW FAR I OFTEN WAS FROM THE TRUTH AND HOW MANY UNTRUTHS APPEARED IN OUR COMPANY'S LITERATURE, LETTERS AND ADVERTISING.

 

AFTER ABOUT SIXTY DAYS OF FAITHFUL CONSTANT EFFORT ON MAY PART TO LIVE UP TO THE 4-WAY TEST, I WAS THOROUGHLY SOLD ON ITS GREAT WORTH AND AT THE SAME TIME, GREATLY HUMILIATED, AND AT TIMES DISCOURAGED WITH MY OWN PERFORMANCE AS PRESIDENT OF THE COMPANY. I HAD, HOWEVER MADE SUFFICIENT PROGRESS IN LIVING UP TO THE 4-WAY TEST TO FEEL QUALIFIED TO TALK TO SOME OF MY ASSOCIATES ABOUT IT. I DISCUSSED IT WITH MY FOUR DEPARTMENT HEADS. YOU MAY BE INTEREST IN KNOWING THE RELIGIOUS FAITH OF THESE FOUR MEN. ONE WAS A ROMAN CATHOLIC, THE SECOND, A CHRISTIAN SCIENTIST, THE THIRD AN ORTHODOX JEW AND THE FOURTH A PRES­BYTERIAN.

 I ASKED EACH MAN WHETHER OR NOT THERE WAS ANYTHING IN THE 4-WAY TEST WHICH WAS CONTRARY TO THE DOCTRINES AND IDEALS OF HIS PARTICULAR FAITH. THEY ALL FOUR AGREED THAT TRUTH, JUSTICE, FRIENDLINESS AND HELPFULNESS NOT ONLY COINCIDED WITH THEIR RELIGIOUS IDEALS, BUT THAT IF CONSTANTLY APPLIED IN BUSINESS, THEY SHOULD RESULT IN GREATER SUCCESS AND PROGRESS. THESE FOUR MEN AGREED TO USE THE 4-WAY TEST IN CHECKING PROPOSED PLANS, POLICIES, STATE­MENTS AND ADVERTISING OF THE COMPANY. LATER, ALL EMPLOYEES WERE ASKED TO MEMORIZE AND USE THE 4-WAY TEST IN THEIR RELATIONS WITH OTHERS.

 THE CHECKING OF ADVERTISING COPY AGAINST THE 4-WAY TEST RESULTED IN THE ELIMINATION OF STATEMENTS THE TRUTH OF WHICH COULD NOT BE PROVED. ALL SUPERLA­TIVES SUCH AS THE WORDS BETTER, BEST, GREATEST, AND FINEST DISAPPEARED FROM OUR ADVERTISEMENTS. AS A RESULT, THE PUBLIC GRADUALLY PLACED MORE CONFIDENCE IN WHAT WE STATED IN OUR ADVERTISEMENTS AND BOUGHT MORE OF OUR PRODUCTS.

 

THE CONSTANT USE OF THE 4-WAY TEST CAUSED US TO CHANGE OUR POLICIES COVERING RELATIONS WITH COM­PETITORS. WE ELIMINATED ALL ADVERSE OR DETRIMENTAL COMMENTS ON OUR COMPETITORS PRODUCTS FROM OUR ADVER­TISEMENTS AND LITERATURE. WHEN WE FOUND AN OPPOR-

TUNITY TO SPEAK WELL OF OUR COMPETITORS, WE DID SO. THUS WE GAINED THE CONFIDENCE AND FRIENDSHIP OF OUR COMPETITORS.

 

THE APPLICATION OF THE 4-WAY TEST TO OUR RELATIONS WITH OUR OWN PERSONNEL AND THAT OF OUR SUPPLIERS AND CUSTOMERS HELPED US TO WIN THEIR FRIENDSHIP AND GOOD­WILL. WE HAVE LEARNED THAT THE FRIENDSHIP AND CON­FIDENCE OF THOSE WITH WHOM WE ASSOCIATE IS ESSENTIAL TO PERMANENT SUCCESS IN BUSINESS.

 

THROUGH OVER TWENTY YEARS OF SINCERE EFFORT ON THE PART OF OUR PERSONNEL, WE HAVE BEEN MAKING STEADY PROGRESS TOWARD REACHING THE IDEALS EXPRESSED IN THE 4-WAY TEST.

WE HAVE BEEN REWARDED WITH A STEADY INCREASE IN SALES, PROFITS AND EARNINGS OF OUR PERSONNEL. FROM A BANKRUPT CONDITION IN 1932, OUR COMPANY WITHIN A PERIOD OF TWENTY YEARS HAD PAID ITS DEBTS IN FULL, HAD PAID ITS STOCKHOLDERS OVER ONE-MILLION DOLLARS IN DIVIDENDS AND HAD A VALUE OF OVER TWO-MILLION DOL­LARS. ALL OF THESE.. REWARDS HAVE COME FROM A CASH INVESTMENT OF ONLY $6,100. THE 4-WAY-TEST AND SOME GOOD HARD WORKING PEOPLE WHO HAVE FAITH IN GOD AND HIGH IDEALS.

 

INTANGIBLE DIVIDENDS FROM THE USE OF THE 4-WAY TEST HAVE BEEN EVEN GREATER THAN THE FINANCIAL ONES. WE HAVE ENJOYED A CONSTANT INCREASE IN THE GOODWILL, FRIENDSHIP AND CONFIDENCE OF OUR CUSTOMERS, OUR COM-

PETITORS AND THE PUBLIC -- AND WHAT IS EVEN MORE VALUABLE, A GREAT IMPROVEMENT IN THE MORAL CHARACTER OF OUR OWN PERSONNEL.

 

WE HAVE FOUND THAT YOU CANNOT CONSTANTLY APPLY THE 4-WAY TEST TO ALL YOUR RELATIONS WITH OTHERS EIGHT HOURS EACH DAY IN BUSINESS WITHOUT GETTING INTO THE HABIT OF DOING IT IN YOUR HOME, SOCIAL AND COMMUNITY LIFE. YOU THUS BECOME A BETTER FATHER, A BETTER FRIEND, AND A BETTER CITIZEN.