Jack Welch has been with the General Electric Company (GE) since 1960 and he is known for hisvisionthrough which he brought about a major transformation at General Electric. Although GE is a global manufacturer often noted for its technological prowess, it is also celebrated for the very human process used by Welch to drive change through GE's vast organization. Jack Welch demonstrated what hard work and perseverance could achieve, he knew thousands of employees by name and would send handwritten notes to voice his approval or dissatisfaction. Having respect for the individual as a pivotal force in organizational change, Welch created a model of exceptional performance from which every corporate leader can learn.

Today, we are living in a chaotic transition period to a new age defined by global competition, rampant change, faster flow of information and communication, increasing business complexity, and pervasive globalization. This new environment is also characterized by "more far-reaching technological advances, as current products are becoming obsolete faster than ever, to survive and prosper, organizations continually need to improve, innovate and modify their products and services and to be detail-oriented. While the economy is shifting and innovation is rampant, "doing it the same way" is a recipe for corporate extinction. Welch relied on unorthodox techniques to build GE; he to follow his instincts, flouted convention, and flourished. Jack Welch was a risk taker, and he expected other executives to take risks. He told employees at the factory level, "Make decisions yourself, be innovative and creative. If you are confident that you are right about something, do not just sit back and give in, you can change things and urge change upon your boss."

As Jack Welch wrote in a letter to shareholders: "In the old culture, managers got their power from secret knowledge: profit margins, market share, and all that...In the new economy, the role of the leader is to express a vision, get buy-in, and implement it. To inspire, you must both create resonance and move people with that compelling vision. You must embody what you ask of others, and be able to articulate that shared vision in a way that inspires others to act. You must offer a sense of common purpose beyond the day-to-day tasks, making work exciting. That calls for open, caring relations with every employee, and face-to-face communication. People who cannot convincingly articulate a vision will not be successful." His outgoing personality contributed to his success. Welch movedfrom meeting to meeting, conveying that message.

According to Welch, "To spark others to perform, you must lead by example." Jack Welch's mastery of the 4 Es of leadership-energy, energize, edge and execution were always in evidence. He had great energy, sparked others, had incredible competitive spirit, and had a record of execution that was second to none. This is a key of the Welch phenomenon. He believed that Leaders are people who inspire with clear vision of how things can be done better. He said, "What we are looking for are leaders at every level who can energize, excite and inspirerather than enervate, depress, and control. Leaders establish trust with honesty, openness, and transparency. Leaders never score off their own people by stealing an idea and claiming it as theirs. In essence his employees are valued and respected. At GE Leaders relentlessly upgrade their team and provide structure, using every encounter as an opportunity to evaluate, coach and build self-confidence. Take every opportunity to inject self-confidence into those who have earned it. Use ample praise, the more specific the better." rather than enervate, depress, and control. Leaders establish trust with honesty, openness, and transparency. Leaders never score off their own people by stealing an idea and claiming it as theirs. In essence his employees are valued and respected. At GE Leaders relentlessly upgrade their team and provide structure, using every encounter as an opportunity to evaluate, coach and build self-confidence. Take every opportunity to inject self-confidence into those who have earned it. Use ample praise, the more specific the better."

Each team at GE is provided with proper resources, encouragement, and support. Leaders make sure people not only see the vision, they live and breathe it. Welch says, "There were times I talked about the company's direction so much in one day, that I was completely sick of hearing it myself." Leaders should make sure every employee understand the objectives of the organization.

Under Welch's leadership, managers had wide latitude in building their GE units in an entrepreneurial fashion. Determined to harness the collective power of GE employees, Jack Welch also redefined relationships between boss and subordinates. He wrote: "The individual is the fountainhead of creativity and innovation, and we are struggling to get all of our people to accept the countercultural truth that often the best way to manage people is just to get out of their way." In the plant, equipment operators became responsible for the quality of their team's work, paying attention to details and reducing the need for inspectors and supervisors. In effect, employees were given the ability to eliminate those aspects of their job that were unproductive and thus unnecessary using problem solving and so solve their own problems. They are involved in the decisions that affect them. Leaders then empower their teams by delegating responsibility to them and rewarding the team's performance. An important aspect of this has been the Work-Out, which has opened the communication channels necessary. Open communication channels between Welch and his employees have been an important tool in this regard. These channels work in both directions, giving employees the ability to air their concerns and work towards a consensus for action. Jack Welch was always sensitive to their needs.

The Work-Out has been an empowerment concept greatly favored by Welch to help bring about innovative change. Thousands of GE employees get an opportunity to get together and share their ideas, thoughts, and know-how, while building and fostering a more creative and team-oriented atmosphere. The Work-Out encourages communication and accountability with the goal being to drive above average team performance. By providing each team member with the opportunity to contribute his ideas to the decision-making process, Jack Welch's hoped to stimulate individuals to constructively challenge their bosses and promote a more motivated workplace.

Welch advises that, "People do what they must do for a manager; they do their best for an inspirational leader. Managers muddle - leaders inspire. Inspirational leaderssupply a shared vision and inspire people to achieve more than they may ever have dreamed possible. People change when they are emotionally engaged and committed when they trust their leaders. Inspirational leaders create a 'can-do' attitude and make business fun. They unlock inner power of their people and sustain their commitment. They help employees to connect their personal goals to business goals. They build corporate communities in which people feel valued, capable, confident, and strong. They inspire team members to believe in the extraordinary work they can do together. Getting employees excited about their work is the key to being a great business leader. To encourage extraordinary performance and productivity, you must create an inspiring corporate culture that inspires, challenges, empowers, energizes, recognizes and rewards employees."

Source: Scribd.com

Question One22 Marks

a. Identify one type of contemporary leadership style Jack Welch exhibited. Using the table below identify any THREE (3) characteristics of this leadership style (left column) and provideone example from the case for each characteristic (right column). (10 marks)

Answer:

Jack Welch displayed:

Characteristic	Example

b. In the table below, use the Big Five Model to identify each of Jack Welch's personality traits that are associated with predicting leadership and describe how each may have contributed to him as a leader. Use examples from the case for each trait identified. (12 marks)

Answer:

Personality Trait Associated with predicting Leadership	Description of the trait as it is associated with leadership	Example from the case

Question Two16 Marks

Using the table below identify four (4) of the seven primary characteristics of culture that are evident in the case. Identify each characteristic (left column) and state whether each characteristic is high or low (middle column) and use one (1) example from the case to justify your answer for each (right column).

Primary Characteristics	High / Low	Justification

Question Three12 Marks

a. Identify the type of team evident at GE; provide one (1) example from the case as support your answer. (3 marks)

Answer:

b. Using the table below identify any three (3) contextual factors (left column) present at GE that may have contributed to the effectiveness of its teams. Provide one (1) example from the case for each contextual factor (right column) (9 marks)

Answer:

	Contextual Factor	Example
1
2
3