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Change at the top on the death of Frank Woolworth in 1919 |
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Frank Woolworth passed away at home only a few days short of his sixty eighth birthday. The previous day he had gone home early, not feeling well. He had led his F. W. Woolworth Company from the front for almost forty years, supported by his brother "Sum" (Charles Sumner Woolworth) and his trusted lieutenants Fred Morgan Kirby, Earl Perry Charlton, Seymour Horace Knox and his friend and mentor William Harvey Moore. He left an impressive legacy: | ||
For a more detailed biography of Frank Woolworth click this link. |
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biggest tribute to Frank Woolworth's success came from a surprising
quarter - his arch rival and mortal enemy. Sebastian S. Kresge had
been a thorn in Frank's side for many years. Wherever Woolworth
opened a store, Kresge opened a larger one next door. Frank always
said in his letters to managers that the best shop to have next door to
his dime store was another dime store - because that way his quality and
value would shine through. But at times Kresge must have tried his
patience.
Frank would have been humbled at the thought that Kresge would close all of his stores for the funeral - as "a mark of respect". A truly larger than life gesture. |
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| Power struggle | |||
| The untimely and unexpected death of Frank Woolworth left a vacuum at the top of the mighty F. W. Woolworth Co. His brother, Charles Sumner Woolworth, would not accept the presidency, but each of the surviving pioneers - Fred M. Kirby, Earle P. Charlton was a Vice-President. Only seven years after the merger, any one of them would have been contentious choice with one part of the organisation or another. In the end a compromise candidate was agreed - Hubert T. Parson. | |||
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Hubert Parson was employed as an accountant by Frank Woolworth in 1892. He was a canny financial manager and one of very few people that Woolworth took any notice of. He famously once challenged Woolworth saying "You control every expense in the stores, challenging those store managers who do not put enough stamps on their letters to Executive Office. Yet you carry unbanked cheques around in your pockets for weeks at a time. Isn't it true", he asked Frank, "that if I dropped a nickel out of your office window here on the top floor of the world's tallest skyscraper, you would run down to the street to pick up?" "Yes, of course" replied the Chief. "Well that is how much interest you lose every minute those cheques are not in the bank!" | ||
| Little wonder Woolworth made him the first Treasurer ("FD" in today's language) of the merged company he had helped to set up. And in 1916 Parson was promoted to General Manager and Vice-President. Under his financial management each of the founders had become fabulously wealthy, and Parson himself had amassed a small fortune. Not even Parson himself had considered the possibility that he might succeed Frank Woolworth - but when the Board finally put the subject to the vote, he was elected unanimously. Napoleon's desk, the palatial office atop the Woolworth Building, and the destiny of the world's largest chain store were suddenly thrust upon him. Hubert Parson himself takes up the story, from his first General Letter to All Stores as their new President. | |||
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New York, June 13, 1919 G E N E R A L L E T T E R THE PRESIDENT'S MESSAGE I am a very proud and happy man today as the Board of Directors of this Corporation, at their Annual Meeting yesterday, elected me to the high office of President of F. W. Woolworth Co. This office carries with it the responsibilities of the general management and oversight of the business, and I count on every man in the business to give me his full support and co-operation so that I can administer this office to the best interest of the business and every man in it. I propose to give the best that is in me to the administration of this great business with which I have been associated for the past twenty-seven years, but no one man can make this business a success. Prior to January, 1912, this business was operated as separate units by F. W. Woolworth, S. H. Knox, F. M. Kirby, E. P. Charlton and C. S. Woolworth, but each had their own business and had spent years establishing foundations and working principles for their organization, and when these Founders brought their business into the present Corporation, they had reached the point in their last year selling $52,000,000. in the year 1911. During the seven years that this Corporation has been in existence, the sales have increased to $107,000,000, and this has been brought about because the owners of these individual businesses had laid the foundation to success by giving careful thought and personal attention to the right principles of their own businesses. When these organizations were welded into the one great organization that we have today, there was a place for every man and team work was developed which resulted in the tremendous pulling power for business that has achieved the results that are on record. During the past four years we have lost four of the pillars of the business. First, Mr. C. C. Peck, next Mr. S. H. Knox, next Mr. C. C. Griswold, and this year our beloved President, F. W. Woolworth, but notwithstanding the loss of these great powers in the business, the organization was so perfected that the business went on increased day by day, so that it has been demonstrated that the business is not dependent on any one man. We are very fortunate indeed to still have with us in active service, Messrs. F. M. Kirby, C. S. Woolworth and E. P. Charlton whose advice and counsel will be a great help to us in guiding this great business to further success. We
have created a new Office known as Chairman of the Board, and Mr. C. S.
Woolworth has been appointed to that office, his duties being to preside
as Chairman for Board of Directors Meetings and to act in an advisory
capacity to the President. With the advice and counsel of Mr. Remember that the President's office is open at all times to any Woolworth man and I will be glad to welcome anybody who takes the time and trouble to visit the Woolworth Bldg. and I want you to feel free to confer with this office personally or by letter on all subjects that may be of interest to you or the business Your new President Hubert T. Parson . |
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