Among the Top 10 industrial corporation
1980 Jack Welsch CEO
Simplified and decentralized corporate structure
54 business corporation reduced to 13
Layers of management and corporate planning department were eliminated Autonomous divisions
New driver: empowerment and customer focus
Integrated organizational model Direct-connect (detail)
Local managers responsible only for unique local issues
Looking for opportunities to leverage local strengths on a global basis
Covered the multitude of ways that energy could be optimized, including conservation, use of efficient appliances and off-peak usage. Resurfaced due to the environmental movement and the increasing need for cost competitiveness in the late 1980s. Utility-sponsored programs -> formation of many ESCos (Energy Service Companies) High-demand -> rapid growth ($80m revenue growth in 3 years) Three major segments:
Commercial: office buildings, hospitals and other public buildings Industrial: factories and production plants
Residential: single-family dwellings
Energy audits on client sites.
Engineer and provide access to hard-to-get Energy Efficient technologies. Install new Energy Efficient equipment under Performance Contracts: ESCO installs energy-efficient technologies at no upfront cost to client. Cost would be recouped from savings realized.
GE Energy Management Initiative
Prequalification for GE Canada to bid $1B (50,000 federal buildings) project for Federal Government. GE had advantage over other ESCos because of many areas of expertise (lightings, motors, controls, finance)
Raj Bhatt (Business Development Manager)
29 years of age, MBA graduate at the University of Western Ontario Business Development Manager at GE Canada
Role: Attempt to identify investment or market opportunities in Canada that are valuable on a global basis with a main focus on the Energy Efficiency...