Jack Welch
Essay by 24 • December 6, 2010 • 636 Words (3 Pages) • 1,623 Views
07-06-06
Jack Welch Era
After reading the passage one learns that there were factors that were of help to the GE and were harmful to the work force.
One can appreciate that the arduous and hard work and non-hesitant decision taking of Jack Welch have made the GE make a huge profit, instead of just mere survival. The GE was able to make 400 billion profit over 20 years. One basic reason for this success was the fact of buying and selling of properties and reduction of the work force by layoffs and termination of thousands of workers.
Jack Welch theory that GE business had to fit into one of three areas that is core manufacturing, technology, or services. Businesses that did not have one of these aims were apt to be closed or sold, because they would not make profit. Businesses that could not produce and make profit were also closed or sold.
Workers were also classified on the scale of A, B, C. The A and B groups were those employees that were hard working and in a way considered intelligent enough, whereas those in the category C were considered unfit the GE and were considered not worth dealing with. This has contributed to the hard working of the employees with erroneous error that people in class C were considered useless.
The other factor that leads Jack Welch to the success of his company was the fact that he has fought bureaucracy relentlessly. He encouraged workers to come forward with their complaints regarding bureaucracy.
All the above factors were positive contributions to the GE and indirectly to the society. The other important contribution to the society was that Jack Welch having come from poor working class society has inspired many to try to aim to succeed, without thinking that they need to be rich to do so.
The drawbacks to Jack Welch approach were many to cite a few:
Many workers were not t happy as they were laid off in thousands, were left with no means to sustain themselves and their families.
The fact of classifying workers in class C was inappropriate and was objected by may of the workers and managers, nonetheless that rule was not considered for change by the dictator so to
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