How does such a large, complex, diversified conglomerate defy the critics and continue to grow so profitably?

how does such a large, complex, diversified conglomerate defy the critics and continue to grow so profitably? have welch’s various initiatives added value? if so, how?

Welch recognized that in tough times, methodology was not just about creating a sustained upper hand position but about arranging and executing a strategy focused on improving ideal responses and adaptability to make gradual temporary gains.

  • Settling organizations in which GE is not a market leader and operates only with those in which they are successful (#1 or #2: fix, sell or close)
  • Undersizing or downsizing
  • Understanding their shortcomings
  • Deep responsibility in creating individuals Welch himself took a journey to impart leadership qualities to the leaders he chose.
  • Open talk meetings and work out options
  • Open to benefit from other influential organizations (Ford, HP, Xerox, Toshiba)
  • Excitement to get along
  • 4E Process - Energy, Energy, Edge, Performance
  • Stretching the boundaries (goal stretch)
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