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Jack Welch Lexicon of Leadership

01 Aug 2007 on Learning

Key themes of Welch…

- Command and control is not the best way to run a business - Involving everyone is the key to enhancing productivity - Ideas and intellect rule over hierarchy and tradition - Market-leading businesses can ensue long term growth - Finding leaders who live the values is more important than finding who makes the numbers

Developing a learning culture is the key to creating a competitive enterprise Lessons for spreading knowledge…

1. best practices begins with the assumption that a company does not have all of the answers 2. engage everyone 3. devise a system for identifying best practices 4. invite ‘competitors’ to teach your managers acquisition lessons…


- do not hesitate to defy the company history - be aggressive and move quickly - do not limit acquisitions to US borders - make infusing your culture into the new firm a top priority lessons in the art of managing…. - Never back down from reality - Tell employees that change is ‘never-out’ - Hold regular meetings and encourage your managers to do the same Lessons in removing the boss element… - Do not tolerate managers who lead my intimidation - Simplify practices and procedures - Hire the As and Es Lessons in building confidence… - Build strong businesses - Let the employees know that you value thei ideas - Push decision making down the hierarchy ‘council’ lessons… - Meet with your managers on a regular basis - Do not set a rigid, minute-by-minute agenda - Find a comfortable setting for such meetings, out of reach of emails and phones Delayering lessons… - Limit the number of layers in your organization - Fire the strategic planners - View delayering as a prerequisite to learning and self-actualization Lessons of the Es… - Look for leaders with incredible Energy - Look for managers who share your sense of urgency and competitive drive - The ability to ignite productivity is the key - Examine the manager’s track record Simplicity lessons… - Never stop simplifying - Start work-out at your company - Simplify the organizational structure Change lessons… - Change is a constant, and people in the organization must face it - Never stop communicating on the topic of change - Stay one step ahead of change