Marketing costs were slimmed through economies projected by the Planning Department. The emphasis here was on pinpoint profit realizations at the tank wagon level. Marketing economics studies pared 2,000 unprofitable service stations and also resulted in bulk plant consolidations. Deliveries were rerouted to save freight. New stations and bulk plants were located for long term growth in highest sales concentration areas. Sinclair's huge transportation system was overhauled. Its railroad tank care fleet, the industry's largest, was sold. A new tanker design was pioneered, reducing normal operating costs. These improvements, with the pipeline modernizations, enabled Sinclair to move record volumes of raw materials and products at lower per mile costs. Also, pipeline bottlenecks were removed, to route various type crude oils to the refineries most efficiently equipped to use them. Even the research laboratories were asked to produce cash crops, and did so.

As a result of these economies -- and more efficient use of manpower -- Sinclair in 1964 handled 179 million barrels of sales with fewer employees than had been required in 1950 on a volume of 116 million barrels.

[ Previous | Index | Next ]