Business, the Jack Welch Way: 10 Secrets of the World's Greatest Turnaround King
Business the Jack Welch Way
10 Secrets of the World’s Greatest Turnaround King
By Stuart Craner
In Summary 1. Make your job description easily understood…and then tell everyone 2. Revolutionize, don’t tinker 3. Change continually 4. Think positive 5. Surround yourself with quality 6. Learn, always 7. Keep it simple, stupid 8. Look after your people 9. Plan succession 10. Make mistakes
The life and times of Jack Welch • At the age of 33 he became GE’s youngest general manager • Jack Welch was an “entrepreneur …willing to take well considered business risks – and at the same time know how to work in harmony with a larger business entity” • The natural average life span of a corporation should be as long as two or three centuries, however the reality is that companies usually die young – 12.5 years or 40 years, for a multinational • Failure is attributed to the focus of managers on profits and the bottom line rather than on the human community that makes up their organization • For a company to survive, it has to be more like Ronald Reagan than James Dean • A successful company is one that can learn effectively • GE’s genius has been the faultless succession planning of CEOs • Success is also dependant on the climate of the company: respect for one another and working at our jobs to have as much fun as possible, keeping it simple and not being too smart • It is better and cheaper to nurture and promote from within • Jack Welch was considered to be a prophet/crusader whose management perspective…brought a renewed sense of purpose to the company • During the 1980s, Welch overhauled the whole business, throwing some entities out and acquiring others. Nearly 200,000 GE employees left the company and over $6b was saved • The leader who tries to lead a large organization counter to what his followers perceive to be necessary has a very difficult
10 Secrets of the World’s Greatest Turnaround King
By Stuart Craner
In Summary 1. Make your job description easily understood…and then tell everyone 2. Revolutionize, don’t tinker 3. Change continually 4. Think positive 5. Surround yourself with quality 6. Learn, always 7. Keep it simple, stupid 8. Look after your people 9. Plan succession 10. Make mistakes
The life and times of Jack Welch • At the age of 33 he became GE’s youngest general manager • Jack Welch was an “entrepreneur …willing to take well considered business risks – and at the same time know how to work in harmony with a larger business entity” • The natural average life span of a corporation should be as long as two or three centuries, however the reality is that companies usually die young – 12.5 years or 40 years, for a multinational • Failure is attributed to the focus of managers on profits and the bottom line rather than on the human community that makes up their organization • For a company to survive, it has to be more like Ronald Reagan than James Dean • A successful company is one that can learn effectively • GE’s genius has been the faultless succession planning of CEOs • Success is also dependant on the climate of the company: respect for one another and working at our jobs to have as much fun as possible, keeping it simple and not being too smart • It is better and cheaper to nurture and promote from within • Jack Welch was considered to be a prophet/crusader whose management perspective…brought a renewed sense of purpose to the company • During the 1980s, Welch overhauled the whole business, throwing some entities out and acquiring others. Nearly 200,000 GE employees left the company and over $6b was saved • The leader who tries to lead a large organization counter to what his followers perceive to be necessary has a very difficult