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Case Title:

General Electric (GE): Jeffrey Immelt's Cultural Revolution

Publication Year : 2005

Authors: Blessy keerthi & Srinath Manda

Industry: Conglomerates

Region:USA

Case Code: HRM0046

Teaching Note: Available

Structured Assignment: Available

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Abstract:
Jack Welch was the proverbial name that had redefined GE (General Electric) during the 1980s and 1990s. The management practices defined by Welch were path-breaking programmes, later adopted by several chief executive officers (CEOs) across corporate America and elsewhere in the world. Jack Welch's initiatives and his cultural changes within GE enabled the company to become one of the largest and most admired companies in the world. But the retirement of Welch and the appointment of Jeffrey Immelt as the new CEO raised speculations about the future of the company. This was followed by the economic slowdown and fall of several large American companies, eroding investor confidence. Under these circumstances, to suit the modern day environment requirements and continue GEs success in the 21 st century, Immelt launched a cultural revolution within the company. But the revolution is yet to yield substantial results.

Pedagogical Objectives:

  • To discuss the diverse changes introduced by Jack Welch at GE
  • To discuss the different leadership styles adopted at GE

Keywords : General Electric (GE) Company, Leadership Case Study, Largest company by market capitalisation, Jack Welch and Jeffrey Immelt, Cultural changes and cultural revolution, Work-out programme, Change Acceleration Process (CAP), Conglomerate with diversified businesses, Thomson-Houston and Edison General Electric, National Broadcasting Corporation (NBC), Rigid and bureaucratic culture, Aircraft engines, nuclear reactors, appliances, plastic, US economic recession, Neutron, Jack Crontonville, Six Sigma, Commercial and consumer finance, At the customer for the customer (ACFC)

Contents:

  • About GE
  • The Cultural Changes
  • Cultural Changes under Jack Welch
  • Cultural Changes under Immelt
  • The Road Ahead

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