Business Case: Managerial Skills and Leadership at General Electric

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This report presents a business case study of General Electric (GE), focusing on the managerial skills and leadership qualities of its top executives. It examines the roles of leaders and managers in achieving organizational goals, including planning, organizing, directing, and controlling employees. The report delves into specific situations faced by GE, such as conflict management, new product development, and the installation of new technology, highlighting the leadership styles employed by key figures like Jack Welch, Jeff Immelt, and Henry Lawrence Culp Jr. It analyzes the strengths and weaknesses of situational, systems, and contingency leadership styles in different contexts. The report emphasizes the importance of effective leadership in driving innovation, managing conflicts, and adapting to technological advancements, ultimately contributing to GE's success and competitive advantage in the market.
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Business Case of GE
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Managerial skills and leadership qualities of company’s top managers................................3
Strengths and weaknesses of leaders in various situations.....................................................5
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
Leaders and managers play an important role in achieving the long term goals of an
organisation by delivering goods and services to customers so that profits can be earned.
Managers help in planning, organising, directing and controlling the employees so that they can
perform a task in a particular manner which will help in achieving organisational benefits.
Leaders on the other hand motivate the employees of company so that they can increase their
work efficiency and performance which can help in achieving goals on time and also help the
company in gaining a competitive advantage through increased performance. In this report
General Electric Company which is an American multinational company headquartered in
Boston which deals in aviation, healthcare, power, renewable energy, digital industry, additive
manufacturing, venture capital and finance and lighting etc. is taken. The managerial skills and
leadership qualities of the company’s leaders in different situations will be discussed in this
report along with the strengths and weaknesses of these leaders
TASK 1
Managerial skills and leadership qualities of company’s top managers
In an organisation various situations occur while carrying out the operations and functions that
can help in achieving company goals on time which require efficient managerial skills and
leadership qualities so that effective decisions can be made and different situations can be
efficiently dealt with (Bens, 2017). Managerial skills help the managers in properly planning,
making decisions, problem solving, establishing effective communication, delegation of work
etc. in an organisation so that work can be completed in an efficient manner. Leadership qualities
on the other hand help in coordinating the work of employees and directing them so that they can
complete their work on time and in a desired manner. GE has had many leaders and mangers
who helped in the success of company through their effective managerial and leadership skills
making it an international brand in various segment in the market. Following are certain
situations faced in GE and the role of its leaders and managers:
Conflict management: Leaders and mangers play an important role in managing conflicts
among workers which is important so that disruptions in continuation of work can be
limited and employees can use their efforts in achieving company goals. Leaders of
company use their qualities such as forming effective teams in the company so that
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people having similar skills and talents can be grouped together to perform their work.
Mangers on the other hand help in building an effective communication in the company
so that employees know the goals they have to achieve and also understand the way in
which they can use their skills in achieving these goals. Jack Welch was the CEO of GE
and helped the company in increasing its operations and stocks through his efficient
managerial skills (Bandow and Self, 2016). Welch followed autocratic leadership under
which decisions were made by the top managers so that employees can follow certain
rules and regulations that can help in decreasing confusion and also help in managing
conflicts. Jeff Immelt was the 9th CEO of GE encouraged participation of worker in
making decisions which helped in increasing employee engagement and reducing
conflicts among workers. Henry Lawrence Culp Jr is the current CEO of GE follow
leadership style that can help in creating value among employees for the company so that
they can improve their performance and reduce the conflicts in company.
New product development: Managers and leaders play an important role in encouraging
the employees to come up with new and innovative ideas that can help in building a new
product or service so that customer demands can be effectively fulfilled. Leaders by the
way of participative leadership can help in engaging employees in decision making so
that they can come up with their opinions and ideas on making better products and
services (Teske and Schneider, 2016). Managers on the other hand can help in building
an organisational culture that encourage employee engagement so that they can be
involved in decision making of company. GE has been known to expand its operations in
various segments leading to its production of a variety of products. Jack Welch had great
visions about the company and with the help of effective communication skills his
visions were circulated in the company so that all the workers can be engaged in
achieving those visions. Jeff Immelt revamped the company’s strategy, global footprint,
workforce and culture so that GE can be positioned at the top among its competitors.
With the help of participative leadership and management he encouraged innovation in
the company. Lawrence Culp with the help of effective leadership skills helps in
innovating the company’s products so that the changing demands of customers can be
met in an efficient manner. He also motivates the employees so that they can be
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encouraged to participate in decision making so that highly efficient decisions regarding
new products can be made.
Installation of new technology: While the installation of new technology in company it
is important that the managers and leaders help the employees in effectively using the
technology so that work can be made more cost and time efficient. The managers of
company can with the help of efficient planning and launching seminars, training and
development programmes can help the employees in understanding the new technology
installed in the company (Grady and Hinings, 2018). Leaders with the help of efficient
leadership qualities can help in collaborating the employees so that they can learn to use
technology and accept change in the company. Jack Welch with the help of his strong
determination and managerial powers helped in installing new technologies in company
so that profits can be maximised. He eliminated unproductive mangers from the company
so that profits can be increased with the help of better management. Jeff Immelt always
tried to install new technologies in the company so that a competitive advantage can be
gained in market and profits can be maximised. Leadership skills wherein he encouraged
participation of workers helped him in installing technological changes efficiently. Henry
Culp tries to make GE highly efficient and with the help of managerial skills is able to
install technology efficiently in company.
Strengths and weaknesses of leaders in various situations
While carrying out the business activities and operation so that the goals and objectives of
company can be achieved the leaders and managers of company face various situations wherein
they use their managerial skills and leadership qualities so that positive results can be achieved
(Scott and Thomas, 2017). It is important that leaders and managers of company analyse the
situations so that effective decisions can be made that can help in dealing with these situations
and achieving company goals on time and in an efficient manner. Following are the leadership
styles that can be used by company leaders while managing the situations that are faced in GE so
that the organisational objectives are effectively achieved on time:
Situational leadership: There are situations where employees indulge into conflicts with
each other that can lead to disruption in work and also can lead to strikes which affect the
overall productivity of company. It is important that the leaders and managers of
company effectively mange conflicts in the company so that employees can continuously
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work towards achieving company aims and objectives. Situational leadership can be used
while managing conflicts in the organisations so that the situation can be understood and
reasons behind conflicts can be found so that effective steps can be taken to deal with this
situation. This style also help in managing the workers effectively so that they do not fall
into conflicts with each other helping the company to continuously achieve its objectives.
Jack Welch used this type of style while dealing with conflicts. However there are
following strengths and weaknesses of the leaders while applying this type of leadership
style:
Strengths Weaknesses
He has a great vision in making the
company successful in market by the
way of innovating company’s products
so that it can grow and expand in
market.
With the use of this style the cause of
conflicts can be identified which can
help in effectively managing conflicts
in company.
Welch is able to identify the manager
who were ineffective and unproductive
in their work and could not manage
conflicts and eliminated them from
company so that company can run
smoothly.
Sometimes there can be wrong
evaluation of causes which can create
problems in the company to further
arise.
As managers who are unable to manage
conflicts are eliminated this affect the
brand image of company and also
talented managers can be lost by
company.
Wrong judgement can also affect the
motivation level of employees and they
can become demotivated to work with
their complete efficiency.
Systems leadership: In order to develop new products so that market can be captured by
the company and more number of customers can be attracted towards company products
and services. This requires a participation of workers in taking company decisions so that
effective decisions can be made that can help in increase in company profits(Choi, Kim
and Kang, 2017). It is also important that the views and opinions of employees are
involved in taking decisions and developing new products so that innovation can be
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brought in company. Jeff Immelt use this type of leadership so as to collaborate the
people in company who can work together so that innovations in company can be
brought. It also help in mobilising innovations and insights within the company so that all
the employees can be motivated to work together and develop new ideas that can help in
increasing innovation in company. Following are the strengths and weaknesses of using
this leadership style by leaders of company:
Strengths Weaknesses
It help the leaders in involving all the
employees of company so that they can
collaborate their work and use their
skills and talents that can help in
increasing innovation.
It help in effectively integrating the
work of all workers so that they can be
motivated to perform their work with
efficiency so that high profits can be
achieved.
The coordination among workers is
difficult to be coordinated which can
affect the efficiency with which ideas
are used in innovating company’s
products and services.
It can also lead to competition among
workers so that their ideas are given
more importance by the leaders while
taking decisions.
Installation of new technology: In order to make the company to continue to work in
market it is important that technology is upgraded which can help in using technological
advancements efficiently so that cost and time effective results can be drawn. Henry Culp
uses contingency leadership style so that new technology can be efficiently installed in
company that can help in increasing benefits for company (Yusuf, 2016). This style
emphasises on the effectiveness of leaders in matching the leadership style with the right
situation. This can help Culp in determining the time when there should be an installation
of new technology in the company. Following are the strengths and weaknesses of using
this leadership style:
Strengths Weaknesses
This help in increasing the
effectiveness with which leadership is
implemented in the company to install
There can be confusion in determining
the time when the new technology
should be installed in company.
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new technology in the company.
It also help in improving the way in
which technology is accepted by
employees of company.
It can affect the ability of workers tom
accept changes in an efficient manner.
CONCLUSION
From this report it can be said that leaders and managers play an important role in the
success and sustainability of company and also increase its competitiveness in market. It is thus
important that the style of leadership used by them is chosen prudently so that employees can be
efficiently lead to achieve company goals.
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REFERENCES
Books and Journals
Bens, I., 2017. Facilitating with Ease!: core skills for facilitators, team leaders and members,
managers, consultants, and trainers. John Wiley & Sons.
Bandow, D. and Self, T.B., 2016. LEADERSHIP AT ALL LEVELS: DEVELOPING
MANAGERS TO DEVELOP LEADERS. Journal of International Business Disciplines, 11(2).
Teske, P. and Schneider, M., 2016. The bureaucratic entrepreneur: The case of city managers.
In Local Government Management: Current Issues and Best Practices (pp. 384-400). Routledge.
Grady, C.M. and Hinings, C.B., 2018. Turning the Titanic: physicians as both leaders and
managers in healthcare reform. Leadership in Health Services.
Scott, T.A. and Thomas, C.W., 2017. Unpacking the collaborative toolbox: Why and when do
public managers choose collaborative governance strategies?. Policy Studies Journal, 45(1),
pp.191-214.
Choi, S.B., Kim, K. and Kang, S.W., 2017. Effects of transformational and shared leadership
styles on employees' perception of team effectiveness. Social Behavior and Personality: an
international journal, 45(3), pp.377-386.
Yusuf, A.F., 2016. Influence of principals’ leadership styles on students academic achievement
in secondary schools. Journal of innovative research in management and humanities, 3(1).
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