Straight from the Gut
Plenty of times you have read me quote the famous Jack Welch and my examining many of his management practices. So it was about time I reviewed one of his many books that I read. I decided to start with his inspiring biography which is a classic tale of the working class kid who makes the hard climb to the top. With both the succinct title Jack and the subtitle Straight from the Gut promising a story as direct, tough and passionate as the man himself, the book tells the story of Welch’s progress from childhood in Salem, Massachusetts, to 20 years as General Electric CEO. Welch pays tribute to his mother, Grace, who taught him from an early age to relish competition, to motivate people and to stretch goals. These were qualities he took to GE, where he started work in 1960 after completing degrees and a Ph.D. in chemical engineering.
Welch’s rise through the ranks is related along with some temporary hiccups not quite befitting a budding CEO, such as the day he blew up a factory and the time his swanky new convertible squirted him with oil. Regarded as a rebel of sorts, Jack nevertheless continued his progress while honing his talent for encouraging leadership skills in people. He coined the term “boundaryless” to demolish invisible walls of bureaucracy and drove GE towards the Six Sigma quality level, a measure of both leadership and quality control.
A couple of excellent examples of the success of Six Sigma are:
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•CT scanner improvement from 3 minutes to 17 seconds
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•Processing mortgage insurance from 54 days to 1 day
It is truly an absorbing story of one man’s rise and Jack is also a fascinating lesson in how to succeed as a CEO. There is, as Welch himself found, no magic formula. At the same time, while pointing out that the methodology is a matter for the individual, he gives 10 helpful tips that can benefit other aspiring CEOs.
What are the tips? Well you have to read the book. I recommend this one and his latest book Winning which I will review in a few weeks.
Monday, May 14, 2007
