FIU MAN 6726 GE’s TWO DECADE TRANSFORMATION CASE
Case 1: GE’s Two Decade Transformation: Jack Welch’s Leadership-HBS # 9-399- 150
Case Overview: GE is faced with Jack Welch's impending retirement and whether anyone can sustain the blistering pace of change and growth characteristic of the Welch era. After briefly describing GE's heritage and Welch's transformation of the company's business portfolio of the 1980s, the case chronicles Welch's revitalization initiatives through the late 1980s and 1990s. It focuses on six of Welch's major change programs: The "Software" Initiatives, Globalization, Redefining Leadership, Stretch Objectives, Service Business Development, and Six Sigma Quality.
Subjects Covered: Business policy; Change management; Conglomerates; Corporate strategy; Executives; Implementing strategy; Leadership; Organizational change; Organizational culture; Organizational development
Case Questions:
How difficult a challenge did Welch face in 1981? How effectively did he take charge?
What is Welch’s objective in the series of initiatives he launched in the late 1980’s and early 1990’s? What is he trying to achieve in the round of changes he put in motion in that period? Is there a logic or rationale supporting the change process?
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?
What is your evaluation of Welch’s approach to leading change?How important is he to GE’s success? What are the implications for his replacement?
N.B.: You never need to look up for information beyond the case to do well in the class. The key is to using the information provided effectively. Collecting additional data is more likely than not to be a distraction