Introduction
In the modern world, businesses have become competitive, leading to change in the way of life for most companies and their employees. In the past years, companies have undergone important changes including and not limited to streamlining processes. When implementing the changes, companies always require effective leadership and in particular at the top management. Besides, the fact that many tense changes which are occurring today and seem new to the employees play a vital role in organizations. A glowing example of a company that made changes long before is the general electric under the leadership of Jack Welch. The leadership roles expounded by Jack Welch serve as an example to today’s leaders facing similar problems in the workplace.
Two Key Changes in the management style
In every company, there are definite ways of management. Jack Welch initiated various management styles that did fit in the running of the company. The boundaryless company was one of the changes made in the management styles. In an economy instituted on change and innovation, one of the main challenges of management style is how to design a more flexible style. Different companies are replacing the vertical hierarchies with the horizontal enabling the linking of traditional functions via inter-functional teams. The linkage helps in forming alliances with the customers, suppliers, and competitors. Jack Welch came up with the corporation without boundary notion where he described it as a new organizational model. In the general electric report in the 1990s annual report, Welch noted that the vision of the company is to remove barriers among the traditional functions and recognize no distinction between domestic and foreign operations. Additionally, erasing of group labels including hourly, management among others helps in getting the way people work together.
Additionally, Welch stressed on the importance of the six-sigma style. He analysed that a six-sigma company manages and understands that variation is evil. He emphasized that companies should implement six sigma as it places the needs of customers above anything else, thus streamlining the services and efficiently meeting those needs (Spitzer,2007).
Senior Management role
There are different managerial roles in every organization which facilitates in running of an organization. The major managerial role that Welch played is the leading role which focused on changing the structure of the company. Welch emphasized the aspect of bureaucracy structure and the need to get rid of it. Bureaucracy structure is an element that can create slow decision making leading to redundant procedures and approvals. Therefore, the company becomes less competitive.
Welch believed in a no complicated business and simplified things as well as insisting on dropping unnecessary work (Slater,2003). Therefore, his major goal was to decomplicate work at the general electrics which appeared to be the major issue in the company at that moment.The company was ruled by hierarchy and orders before Welch joined. This was a horrible way of running a business as it subjects the staff to listening and doing what the managers say. Welch was able to turn the general electric company into a learning organization in which intellect rule was implemented over the hierarchy and tradition.
Management’s decision
Critical decisions in any company are significant. Jack Welch critically made decisions based on the core of decision-making and intuition. Welch was able to make the company go to international levels in terms of market reach which positively impacted the organization. He was able to raise standards in decision making in which his intuition decisions had demonstrated wise decisions. Jack had principles and among them, the core principle was to face the reality as it is and not as you wish or as it was. Facing reality to him was a crucial aspect in life and not only in business as it helps in making rational decisions.
Based on long-term planning in terms of strategic imperatives, Jack developed an environment that was committed to availing opportunities to the professional and personal growth of the employees who include the vendors. Workout initiative that helped in accelerating the speed of decision-making considered the ideas of external and internal stakeholders from all ranks.
Innovative idea
Jack Welch used to lay off workers whom he thought the better option is them moving on to another place. Ten percent of employees who were identified as being underperforming were laid off. Being a leader, I would come up with a way in which the particular employees would receive more training so that they can improve on their productivity other than laying them off (Lee et al,2008). Training would help the relationship between the customers and the employees since the people in that category also get in touch with the customers.
Communication
Communication is the core of every successful reform. Organizational change and communication are connected thus they must be implemented together. Managers use communication to organize activities, discuss opportunities and plans as well as motivating people. Additionally, employees use communication during their everyday activities within the company.
Effective communication strategies should be used while making changes within the organization (Baldoni,2003). Communication strategies should match the general stages involved in the change process as well as suitable related information that is necessary. Additionally, objectives and communication needs for each stage in the change process should be stipulated. Welch emphasized the need for diverse ways of communicating in which he encouraged proper and interactive communication between the managers and employees. Therefore, this will enhance the entire stability of the company.
Jack Welch believed in the eradication of unnecessary communication filters. He encouraged that every employee should contribute starting from the factory floor to the executive ranks. Welch needed the establishment of clear communication lines in the organization to facilitate empowerment and goal setting. Employees in the company are from different backgrounds and have different experiences, thus he did not want to deprive away from the benefit of those backgrounds. In essence, he wanted open-minded workers.
Open communication channels in the general electric company played an important role in this regard. The channels worked in both directions which gave employees the ability to express themselves and give their concerns. Their contribution motivated them in that they felt like part of the company and that they contributed to its success.
Conclusion
Welch’s style of leadership and actions have been imitated by most companies. However, it should be noted that there is also a danger in copying other companies’ management styles and systems from other companies It is the mandate of every company to develop its unique cultures and management practices. Additionally, it is of great significance not to imitate rather understand what other companies are doing and import what fits the particular company.
References
Baldoni, J. (2003). Great communication secrets of great leaders. New York: McGraw-Hill.
Lee, D., Frenzelas, G., & Anders, C. (2008). Blended learning for employee training: Influencing factors and important considerations. International Journal of Instructional Media, 35(4), 363-373.
Slater, R. (2003). 29 leadership secrets from Jack Welch. New York: McGraw-Hill.
Spitzer, D. (2007). Transforming performance measurement : rethinking the way we measure and drive organizational success. New York: American Management Association.
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