Office of
Production Management

 

Duties and Functions

 

Office for Emergency Management
Washington, D.C.
March 11, 1941


The Office of Production Management has issued the following regulations defining the status and describing the functions of its four divisions: Production, Priorities, Purchases, and the Bureau of Research and Statistics.

Regulation No. 1

Defining the status of the Division of Production in the Office of Production Management and prescribing its duties and functions.

WHEREAS, Executive Order No. 8629, dated January 7, 1941, created the Office of Production Management and charged it with certain duties, among others, pertaining to production of defense materials; and

WHEREAS, said Executive Order established within the Office of Production Management the Division of Production in charge of a Director appointed by the Office of Production Management with the approval of the President; and

WHEREAS, The Office of Production Management with the approval of the President has appointed John D. Biggers as Director of the Division of Production;

NOW, THEREFORE, by virtue of the authority vested in the Office of Production Management by said Executive Order, it is hereby ordered that:

  1. The Director of the Division of Production, who shall be known as the Director of Production, shall execute and administer the authorities, duties, and responsibilities of the Office of Production Management pertaining to production as provided in said Executive Order.

  2. The Director of Production shall have authority to propose action under Section 9 of the Selective

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    Training and Service Act of 1940, whenever in his opinion it shall be necessary or desirable to acquire materials, articles, or equipment, by action under said Section 9; and all proposals for such action shall be made in the form of a recommendation to the Director of Priorities, who shall proceed thereon in accordance with paragraph 2 of Regulation No. 3.

  1. To effectuate and carry out the authorities, duties, and responsibilities assigned to him herein, the Director of Production is hereby authorized:

    1. To establish such organization as the Director of Production may deem ne essary to the adequate execution of the hfunctions of the Division of Production including the employment of personnel.

    2. To execuute and administer all the authorities, duties, and responsibilities of the Office of Production Management specified in said Executive Order, which relate to

      1. The production of produucts and articles needed for defense with respect to which there is any problem of production or any shortage of available production facilities.

      2. The sufficiency of the supply and production of, and the requirements (including Government, export, and civililan) for, raw materials, industrial mnaterials, heat, light, and power which enter into the production of products and articles needed for defense.

      3. The development and expansion of facilities to produce such products and articles.

  2. The Director of Production shall exercise the authorities, duties and responsibilities assigned to him herein subject to the jurisdiciiton and control of the Director General acting in association with the Associate Director General; and he shall obtain their approval of the creation of the principal subdivisions within the Division of Production.

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  1. The Director of Production shall make such regular and special reports of his actions pursuant to this Regulation as may be required by the Office of Producton Management, and shall cooperate with the heads ofother divisions, subdivisions, or agencies of the Office of Production Management, establish methods or procedures for handling any matters with respect to which the functions or activities of their respective divisions, subdivisxions, or agencies may inter-relate.

  2. The Director of Production shall have authority to designate an Assistant or Deputy Director to serve as Acting Director of Production in his absence or inability to act, subject to the approval of the Director General acting in association with the Associate Director General.

  3. The Director of Production shall exercise his authority, dutes and responsibilities hereunder in cooperation with the Departments of War and Navy and other departments and agencies of the Government, and shall utilize their services and facilities to the maximum extent compatible with efficiency. He shall not assume responsibility for determination of the nature, kinds, types, specifications or quantities of finished military and naval products and articles and facilities required by ther Department of War or Navy, nor for the times at which they are required, the terms of orders and contracts therefor, the innspection thereof, the payment therefor, or the handling thereof after completion. He may, however, advise, make recommendations and give assistance to the Departments of War and Navy with respect to all such matters. He may, where necessary, develop sources and methods of production for such products and articles and for the materials which enter into such production. He shall be entitled, in cooperation with or through the Bureau of Research and Statistics, to obtain from the Departments of War and Navy information necessary or appropriate to

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    enable him to exercise his authorities, duties and responsibilities hereunder.

Further, the Division of Production shall exercise its authorities, duties and responsibilities hereunder with as little disruption to civilian requirements as is consonant with the proper exercise of its functions.

Approved:
    JOHN LORD O'BRIAN.
        General Counsel.
WILLIAM S. KNUDSEN,
Director General.
  SIDNEY HILLMAN,
Associate Director General.
Attest:
    HERBERT EMMERICH,
        Secretary.
 
HENRY L. STIMSON,
Secretary of War.
 
March 7, 1941.
JAMES V. FORRESTAL,
Acting Secretary of the Navy.

 

Regulation No. 2

Defining the status of the Division of Purchases in the Office of Production Management and prescribing its duties and functions.

WHEREAS, Executive Order No. 8629, dated January 7, 1941, created the Office of Production Management and charged it with certain duties, among others, pertaining to defense purchasing; and

WHEREAS, said Executive Order established within the Office of Production Management the Division of Purchases in charge of a Director appointed by the Office of Production Management with the approval of the President; and

WHEREAS, the Office of Production Management with the approval of the President has appointed Donald M. Nelson as Director of the Division of Purchases;

NOW, THEREFORE, by virtue of the authority vested in the Office of Productiotn Management

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by said Executive Order, it is hereby ordered that:

  1. Ther Director of the Division of Purchases, who shall beknown as the Director Purchases, shall execute and administer the authorities, duties, and responsibilities of the Office of Production Management required to carry out the purchasing functions provided for in said Executive Order.

  2. The Director of Purchases shall have authority to propose action under Secton 9 of the Selective Training and Service Act of 1940, whenever in his opinion it shall be necessary or desirable to acquire materials, articles, or equipment, by action under said Section 9; and all proposals for such action shall be made in the form of a recommendaton to the Director of Priorities, who shall proceed thereon in accordance with paragraph 2 of Regulation No. 3.

  3. To effectuate and carry out the authorities, duties, and responsibilities assigned to him herein, the Director of Purchases is hereby authorized:

    1. To establish such oragnization as the Director of Purchases may deem necessary to the adequate execution of the functions of the Division of PurchSes, including the employment of personnel.

    2. To coordinate the placement of all major defense orders and contracts.

    3. To review for clearance, prior to award, all major proposals for the purchase or construction byu the War Department or the Navy Department of materials, articles, or equipment needed for defense. He shall also review for clearance or advice such other important proposals for purchase or construction as the War Department or Navy Department may desire to submit. The term "major proposals for purchase or construction," as used herein, shall mean:

      1. All proposals for purchase in the amount of $500,000 or more;

      2. All proposals for construction in the amount of $500,000 or more; and

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        Such other proposals for purchase or construction as the Director of Purchases may indicate, through the Offic e of the Secretary of War, or the Secretary of the Navy, because they involve unusual procurement problems, or have a substantial impact upon the market, or for other reasons.

    1. To advise with respect to the procurement planning aspects of the plans and schedules of the various departments and agencies of the Government for the purchase of materials, articles, or equipmient required for defense.

    2. With respect ot materials, articles, and equipment required for defense, at such times and to such extent as he may deem necessary to the effective disharge of his responsibilities--

      1. To review the procurement procedures, methods and policies, and specifications, of the various departments and agencies of the Government;

      2. To inform himself as to (A) the programs of requirements and desired schedules of delivery of the various departments and agencies of the Government, whether or not such programs or schedules are final, (B) existing productive capacity, whether publicly or privately owned or controlled, and (C) such other matters relating to procurement or procurement planning as he may deem appropriate;

      3. To make such recommendations with respect to the foregoing as he may deem appropriate.

  1. The Director of Purchases shall exercise the authorities, duties, and responsibilities assigned to him herein subject to the jurisdiciton an d control of the Director General acting in association with the Associate Director General; and he shall obtain their approval of the creation of the principal subdivision within the Division of Purchases.

  2. The Director of Purchases shall make such regular and special reports of his actions pursuant

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    to this Regulation as may be required by the Office of Production Management.

  1. The Director of Purchases shall have authority to designate an Assistant or Deputy Director to serve as Acting Director of Purchse in his absence or inability to act, subject to the approval of the Director General acting in association with the Associate Director General.

Approved:
    JOHN LORD O'BRIAN.
        General Counsel.
WILLIAM S. KNUDSEN,
Director General.
  SIDNEY HILLMAN,
Associate Director General.
Attest:
    HERBERT EMMERICH,
        Secretary.
 
HENRY L. STIMSON,
Secretary of War.
 
March 7, 1941.
JAMES V. FORRESTAL,
Acting Secretary of the Navy.

 

Regulation No. 3

Defining the status of the Division of Priorities in the Office of Production Management and prescribing its duties and functions.

WHEREAS, Executive Order No. 8629, dated January 7, 1941, created the Office of Production Management and charged it with the duties, among others, to determine when, to what extent, and in what manner priorities shall be accorded to deliveries of material pursuant to the authority of Sectionn 2(a) of the Act entitled, "An Act to Expedite National Defense and for other Purposes," approved June 28, 1940, and to perform the functions and exercise the authorities vested in the President by Section 9 of the Selective Training and Service Act of 1940; and

WHEREAS, said Executive Order established within

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the Office of Production Management a Division of Priorities in charge of a Director appointed by the Office of Production Management with the approval of the President, and a Priorities Board to act as an advisory body on priorities; and

WHEREAS, the Office of Production Management with the approval of the President has appointed Edward R. Stettinius, Jr., as Director of the Division of Priorities; and

WHEREAS, the public interest requires that provision be made to insure the prompt delivery of material essential to the national defense:

NOW, THEREFORE, by virtue of the authority vested in the Office of Production Management by said Executive Order, it is hereby ordered that;

  1. The Director of the Division of Priorities, who shall be known as the Director of Priorities, shall execute and administer the authorities, duties, and responsibility of the Office of Production Management pertaining to Section 2(a) of the Act entitled "An Act to Expedite National Defense and for other Purposes," approved June 28, 1940, and otherwise pertaining to priorities, mandatory orders, and allocations.

  2. The Director of Priorities shall have authority to propose action under Section 9 of the Selective Training and Service Act of 1940, and all proposals for such action, whether originating with him or with the Directors of other Divisi8ons or with other officers of the Government, shall be submitted by the Director of Priorities, with his recommendation, to the Director General, the Associate Director General, the Secretary of War, and the Secretary of the Navy, constituting the Council of the Office of Production Management, for such directions as they may give.

  3. To effectuate and carry out the authorities, duties, and responsibilities assigned ot him herein, the Director of Priorities is hereby authorized:

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    1. To establish such organization as the Director of Priorities may deem necessary t othe adequate execution of the functions of the Priorities Division, including the employment of personnel and the creation and appointment of priority groups and priority committees for material or groups of material; and to make provision for administrative services to the Priorities Board when it is carrying out its functions under said Executive Order.

    2. To assigned or provide for the assignment of preference ratings to all contracts and subcontracts and material directly or indireclty necessary to the defense program; on ultimate military items, the Director of Priorities shall be guided by categories of military preferences, including the modification of existing categories, as set forth from time to time by the Army and Navy Munitions Board.

    3. To issue or provide for hte issuance of all preference or priority certificates or orders to contractors, subcontractors, and others supplying material directly or indirectly necessary to the defense program.

    4. To utilize and supervise, in accordance with procedures devised with the concurrence of the Army and Navy Munitions Board, the services of the contracting and procurement officers and inspectors of the War and Navy Departments, in connection with priorities and related matters.

    5. To validate and extend, to such extent as he may define, action with respect to priorities and related matters heretofore taken by trhe former Administrator of Priorities and Priorities Board, pursuant to authority of Executive Order No. 8572, dated October 21, 1940, and amended by Executive Order No. 8612, dated December 15, 1940, and revoked by Executive Order No. 8629, dated January 1941, or byt the Director of Priorities or by the Army and Navy Munitions Board or by contracting and procurement officers and inspectors of the War and Navy Departments.

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    1. To issue, modify and amend, with the advice of the Priorities Board and with the approval of the Director General acting in association with the Associate Director General of the Office of Production Management, such rules and regulations as may, to the Director of Priorities, seem necessary or desirable in the execution of the funcitons of the Division of Priorities, and subjject to all Executive and Admionistrative Orders of the President and all Regulations of the Office of Production Management.

    2. To establish preferences with respect to indirect defense material, and domestic and foreign material, pursuant to such agreement and cooperation as may be necessary.

    3. To make allocations, establish procedures, adopt devices, measures and plans, and generally to take all lawful steps necessary or appropriate to bring about prompt delivery of direct and indirect defense material, and other domestic and foreign material where deemed important to the defense program.

  1. The Director of Priorities shall exercise the authorities, duties, and responsibilities assigned to him herein subject to the jurisdiciton and control of the Director General acting in accordance with the Associate Director General; and he shall obtain their approval of the creation of the principal administrative subdivisions and priority groups within the Division of Priorities.

  2. The Director of Priorities shall formulate plans, and shall negotiate, and with the approval of the Director General acting in association with the Associate Director General shall establish procedures to insure the effective coordination of activities of the several departments, agencies, and offices of the Government which relate to priorities.

  3. The Director of Priorities shall have authority to designate an Assistant or Deputy Director to serve as Acting Director of Priorities in his absence

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    or inability to act, subject to the approval of the Director General acting in association with the Associate Director General.

  1. The Director of Priorities shall e entitled, in cooperation with or through the Bureau of Research and Statistics, to obtain from the Departments of War and Navy, information necessary or appropriate to enable him to exercise his authorities, duties, and responsibilities hereunder.

  2. The Director of Priorities shall make such regular and special reports of his acitons pursuant to this Regulation as may be required by the Office of Production Management.

  3. The Priorities Board shall serve as an advisory body to the Director of Priorities and shall render advice to him and make findings and recommendations whenever he deems it necessary or adviable to request it to do so. The Director of Priorities shall consult with and request the advice of the Priorities Board with respect to all proposals for action under Section 9 of the Selective Training and Service Act of 1940 and with respect to any proposed mandatory order co vering an entire industry.

Approved:
    JOHN LORD O'BRIAN.
        General Counsel.
WILLIAM S. KNUDSEN,
Director General.
  SIDNEY HILLMAN,
Associate Director General.
Attest:
    HERBERT EMMERICH,
        Secretary.
 
HENRY L. STIMSON,
Secretary of War.
  JAMES V. FORRESTAL,
Acting Secretary of the Navy.
Approved: FRANKLIN D. ROOSEVELT,
THE WHITE HOUSE.
March 8, 1941.

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Regulation No. 4

Establishing a Bureau of Research and Statistics in the Office of Production Management and prescribing its duties and functions.

BY VIRTUE of the authority vested in the Office of Production Management by Executive Order 8629, it is hereby ordered:

  1. There shall be in the Office of Production Management a Bureau of Research and Statistics which shall serve as the central research and statistical agency of the Officec. The Bureau shall be adminsitered by a Chief appointed by and responsible to the Director General in association with the Associate Director General, and, subject to their supervision, he shall establish such organization and appoint such personnel as may be necessary.

  2. There shall be an Advisory Committee to advise the Chief of the Bureau of Researchy and Statistics on program and policies. The Advisory Committee shall consist of representatives of the operating divisions of the Office of Production Management, to be selected by the directors of the several divisions, and representatives of the War and Navy Departments, the Advisory Commission to the Council of National Defense, and such other defense agencies as the Director General may determine.

  3. The following principles shall govern the allocation of researchy and statistical responsibilities between the Bureau of Research and Statistics and the operating divisions of the Office of Production Management:

    1. The Bureau of Research and Statistics shall be responsible for the collection and processing of

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      statistics and the conduct of studies necessary to meet the needs of the Office sa a whole or of two or more operating divisions. However, the Chief of Research and Statistics may arrange with the director of any interested operating division to have all or part of any such project performed by the appropriate operating division on behalf of the Bureau of Research and Statistics and other interested divisions.

    1. Research and statistical work which is an integral part of the activities of an operating division and which is not required by other divisions may be carried on by the division concerned after clearance with the Chief of the Bureau of Research and Statistics. The Chief of Research and Statistics shall work out with the directors of the various operating divisions the detailed allocation of research and statistical projects.

    2. In order that statistics collected by operating divisions may adequately serve the purposes of other operating divisions andn of the Bureau of Research and Statistics, the Chief or Research and Statistics shall arrangen for, and shall have authority to set standards to assure, the necessary degree of uniformity and coverage of the data.

  1. In accordance with the principles set forth in paragraph 3, the Bureau of Research and Statistics, serving as a central staff agency, shall:

    1. Collect and compile statistics and carry on research to meet the needs of the Office of Production Management and its operating divisions. To avoid duplication, the Bureau shall utilize so far as practicable the services of existing governmental agencies engaged in the collection and analysis of statistics.

    2. Collect and assemble data on requirements and contracts for, and deliveries and inventories of,

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      commodities needed for national defense; and place such data in suitable form for the use of the operating divisions.

    1. Obtain copies of reports, prepared by the War and Navy Departments, procurement agencies of foreign Governments, and other public or private agencies, containing data needed by the Office of Production Management.

    2. Serve as a clearing house for statistics and research information available within the Office of Production Management and as the channel for supplying such material to other governmental agencies which have authorized use therefor.

    3. Review and approve all questionnaires and report forms, as defined by the Bureau of the Budget Circular No. 360, which are prepared by the operating divisions of the Office of Production Management. No such questionnaire or report form shall be issued until cleared by the Bureau of Research and Statistics with the Bureau of the Budget.

    4. Upon request and in accordance with arrangements made between the Chief of Research and Statistics and the division or agency concerned, render special research and statistical service to operating divisions of the Office of Production Management, to the Advisory Commission to the Council of National Defense, and to other governmenta agencies engaged in the defense program.

    5. Serve as the liaison between the Office of Production Management and other statistical agencies of the Government.

    6. Perform such other fucntions as the Director General in association with the Associate Director General may direct.

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  1. The Bureau of Research and Statistics shall have full access to all statistics developed and maintained by other units of the Office of Production Management.

Approved:
    JOHN LORD O'BRIAN.
        General Counsel.
WILLIAM S. KNUDSEN,
Director General.
  SIDNEY HILLMAN,
Associate Director General.
Attest:
    HERBERT EMMERICH,
        Secretary.
 
HENRY L. STIMSON,
Secretary of War.
 
March 7, 1941.
JAMES V. FORRESTAL,
Acting Secretary of the Navy.

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