Efficiency: How Sharp Is A.T. &T.?

For all its celebrated troubles with broken equipment, overloaded circuits, inept operators and backlogged demands for service, American Telephone & Telegraph has retained the admiration of most businessman for its managerial skill. Now the flaws in performance are prompting the Bell System's critics to question management's ability to plan ahead. Last week Federal Communications Commissioner Nicholas Johnson, one of A.T. & T.'s most outspoken detractors, charged that, instead of finding innovative ways to increase telephone usage and company revenues, A.T. & T.'s managers have adopted policies that "simultaneously produce higher prices and worse service for the public, and lower...

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