ntial for success.Part II- Igniting a Revolution: Strategies for Dealing with ChangeLeadership Secret 7- Evaluate Your Business with a Fresh Eye and Decide What Needs Fixing, What Needs Nurturing, and What Needs to be Jettisoned!This secret is a prelude of how Jack Welch moved against the traditional grain of the 115 year old GE Empire and made unconventional decisions to carry the company into the 21st century. It expresses the need to have your “...finger on the pulse of the environment inside and outside the company.” Don’t be bound by tradition and control.Leadership Secret 8- Be number One or Number Two and Keep Redefining Your MarketThe Number One, Number Two Concept was Jack Welch’s way of demanding the most out of his managers and businesses. His strategy was every business unit in GE either be number one or number two in their respective markets. His reasoning behind this is that the top two competitors in a market could survive a slow growth economy and that everyone else would experience compounding problems during an economic downturn. Also, the top two companies would generate enough income to advance the technology of products and the production processes, which would result in higher quality and competitive pricing.Leadership Secret 9- Downsize, Before it’s Too LateDownsizing is a nasty word in business and is usually only associated with companies in some type of economic turmoil. When Jack Welch became CEO at General Electric, profits were over one billion dollars a year and there seemed to be no apparent problems. But, he knew that some business units were not going to succeed under his Number One, Number Two strategy and not all the those employees could be reassigned. He also knew that he needed to upgrade equipment to surpass the productivity of GE’s competitors. Jack Welch stressed the need to downsize now, before it presented more complex problems in the future. He k...
