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About the 
author 
• Born Nov 19, 1935. An American 
business executive, author and chemical 
engineer. 
• Chairman and CEO of General Electric 
(1981-2001) 
• During his tenure at GE, the company's 
value rose 4000%
1.Harness the POWER OF CHANGE 
• BRINGING IN BIG NUMBERS 
• MAKE EACH DAY YOUR FIRST DAY ON THE 
JOB 
• THE GENESIS OF “NUMBER ONE, NUMBER 
TWO” 
• EMPLOYEES HAVE GOOD IDEAS TOO
2. FACE REALITY! 
• Deal with situations 
as they are 
• Move and Act on 
Reality quickly! 
• Turn your business 
around
3. MANAGING LESS IS MANAGING 
BETTER 
• less monitoring and less supervising 
• Show Respect, Instill Confidence 
• Get out of the way 
• Emphasize vision, not supervision
4. CREATE A VISION AND 
THEN 
GET OUT OF THE WAY 
• Business is simple 
• Always keep the five key questions in 
mind 
i. What does your global competitive environment 
look like? 
ii. In the last 3 years, what have your competitors 
done? 
iii. In the same period, what have you done to 
them? 
iv. How might they attack you in the future? 
v. What are your plans to leapfrog them? 
• Managing is allocating people and 
resources
5. NURTURE EMPLOYEES WHO 
SHARE THE COMPANY’S VALUES 
• Give employees more responsibility 
• Nurture the employees who live up to company 
values 
• Eliminate employees who do not live the 
company values.
6. KEEP WATCH FOR WAYS TO CREATE 
OPPORTUNITIES AND TO BECOME MORE 
COMPETITIVE 
• Don’t stick your head in the sand 
• See things for what they are 
• Begin with a vision
7. BE NUMBER ONE OR NUMBER TWO 
AND KEEP REDEFINING YOUR MARKET 
• Setting the bar as high as possible 
• Develop market-leading businesses 
• Define markets broadly
8. INCULCATE THE BEST IDEAS INTO THE 
BUSINESS, NO MATTER WHERE THEY COME FROM 
• Make searching for new ideas a priority 
of every employee 
• Hold idea-sharing meetings on a regular 
basis 
• Reward employees for sharing knowledge
9. SPARK PRODUCTIVITY THROUGH THE “S” 
SECRETS 
“S” Secrets 
Speed Simplicity 
Self- 
Confidence
• Promote the three “S’s”: speed, 
simplicity, and self-confidence 
• Start with a simple message 
• Establish systems that foster self-confidence
10. ACT LIKE A SMALL 
COMPANY 
• Assume that your big company can act small 
• Structure for smallness 
• Check reality: Do you know your customers
11.REMOVE THE 
BOUNDARIES! 
• Root out boundaries 
• Model behaviours with senior managers 
• Involve everybody
12. UNLEASH THE ENERGY OF 
YOUR WORKERS 
• Unleash productivity by involving everyone 
• Turn workers into owners 
• Have patience; attitudes don’t change 
overnight
13. LISTEN TO THE PEOPLE WHO 
ACTUALLY DO THE WORK 
• Turn hierarchy upside down 
• Enable people to speak out freely 
• If a full-blown Work-Out session is not 
possible, consider a half-day mini-session
14. USE E-BUSINESS TO PUT THE 
FINAL NAIL IN BUREAUCRACY 
• Manage in Internet time, using the latest 
technologies 
• Reinvent the company to compete in 
Internet time 
• Build on strengths
AFTERWORD 
• Jack Welch retired as chairman and CEO of GE (Sep 
2001) 
• GE “Most Admired Company” for the fifth year in 
a row – Fortune Magazine 
• “World’s Most Respected Company” for the fourth 
time – The Financial Times
Sanket 
Bhawarkar 
MBA-3,

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Leadership secrets from Jack Welch

  • 1.
  • 2. About the author • Born Nov 19, 1935. An American business executive, author and chemical engineer. • Chairman and CEO of General Electric (1981-2001) • During his tenure at GE, the company's value rose 4000%
  • 3. 1.Harness the POWER OF CHANGE • BRINGING IN BIG NUMBERS • MAKE EACH DAY YOUR FIRST DAY ON THE JOB • THE GENESIS OF “NUMBER ONE, NUMBER TWO” • EMPLOYEES HAVE GOOD IDEAS TOO
  • 4. 2. FACE REALITY! • Deal with situations as they are • Move and Act on Reality quickly! • Turn your business around
  • 5. 3. MANAGING LESS IS MANAGING BETTER • less monitoring and less supervising • Show Respect, Instill Confidence • Get out of the way • Emphasize vision, not supervision
  • 6. 4. CREATE A VISION AND THEN GET OUT OF THE WAY • Business is simple • Always keep the five key questions in mind i. What does your global competitive environment look like? ii. In the last 3 years, what have your competitors done? iii. In the same period, what have you done to them? iv. How might they attack you in the future? v. What are your plans to leapfrog them? • Managing is allocating people and resources
  • 7. 5. NURTURE EMPLOYEES WHO SHARE THE COMPANY’S VALUES • Give employees more responsibility • Nurture the employees who live up to company values • Eliminate employees who do not live the company values.
  • 8. 6. KEEP WATCH FOR WAYS TO CREATE OPPORTUNITIES AND TO BECOME MORE COMPETITIVE • Don’t stick your head in the sand • See things for what they are • Begin with a vision
  • 9. 7. BE NUMBER ONE OR NUMBER TWO AND KEEP REDEFINING YOUR MARKET • Setting the bar as high as possible • Develop market-leading businesses • Define markets broadly
  • 10. 8. INCULCATE THE BEST IDEAS INTO THE BUSINESS, NO MATTER WHERE THEY COME FROM • Make searching for new ideas a priority of every employee • Hold idea-sharing meetings on a regular basis • Reward employees for sharing knowledge
  • 11. 9. SPARK PRODUCTIVITY THROUGH THE “S” SECRETS “S” Secrets Speed Simplicity Self- Confidence
  • 12. • Promote the three “S’s”: speed, simplicity, and self-confidence • Start with a simple message • Establish systems that foster self-confidence
  • 13. 10. ACT LIKE A SMALL COMPANY • Assume that your big company can act small • Structure for smallness • Check reality: Do you know your customers
  • 14. 11.REMOVE THE BOUNDARIES! • Root out boundaries • Model behaviours with senior managers • Involve everybody
  • 15. 12. UNLEASH THE ENERGY OF YOUR WORKERS • Unleash productivity by involving everyone • Turn workers into owners • Have patience; attitudes don’t change overnight
  • 16. 13. LISTEN TO THE PEOPLE WHO ACTUALLY DO THE WORK • Turn hierarchy upside down • Enable people to speak out freely • If a full-blown Work-Out session is not possible, consider a half-day mini-session
  • 17. 14. USE E-BUSINESS TO PUT THE FINAL NAIL IN BUREAUCRACY • Manage in Internet time, using the latest technologies • Reinvent the company to compete in Internet time • Build on strengths
  • 18. AFTERWORD • Jack Welch retired as chairman and CEO of GE (Sep 2001) • GE “Most Admired Company” for the fifth year in a row – Fortune Magazine • “World’s Most Respected Company” for the fourth time – The Financial Times