The problem with GE is that they hire college graduates, and put them in positions where they don't stay long enough to make any real change. Take a look at most of your PQEs and Obsoletors in your area. Most are in that position for only 2 years or less, before they move on to their next role. This is great for their resume, but terrible for the company. By the time they actually become familiar with the area and processes, they're gone. And now we're left with someone new again who knows nothing, and who also will be gone within a year or two. Nothing ever gets changed for the better.
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If it weren't for kids with college degrees GE would be doing just fine.
I tend to disagree. The purpose of the rotations are not to quickly gain promotional opportunities or to build resumes. Rather, they are more like trial periods for the program members to experience a new team within the business and the work that team does, like a deep-dive internship/co-op.
In seeing more teams, the program member can determine where they fit best and then later off-board onto those teams. At least that's how the program members I know have treated it. They're not seeking promotions, they're trying to create a win-win for the business by placing themselves on the team where they will have the most impact. A secondary benefit of this format is that when the program members off-board they have a more holistic view of how various teams work together for the broader business, which IMO is something lacking for the majority of the "old-timers."
OP here. I wasn't at all blaming the young people for GE's failures. These are some of the most intelligent, hard working people I know. I was blaming GE. GE leadership encourages them to constantly change roles, and move to different areas to move up the ladder. The obvious problem with this is they gain no real experience in the time they're there before they move to another position. No real change is ever made. While all us old timers working on the floor can see obvious changes that need to be made, but never happens
Was a GE employee for 7 years and worked with GE research Center in Bangalore. Also was there when GE started its new venture: GE Digital. Only problem with GE Digital was that the thought process was correct but not the strategy. Mainly because of the mass hiring conducted for GE Digital throughout the world and specially India. Issues always arise in any organization when more priority is given on Quantity than Quality. More than 3 years have passed since formation of Digital but only breakthrough which was achieved was reducing contractor workforce, but no major milestone in terms of innovation or technology. All in all none of the new initiatives post 2014 have had a major impact on the Org. Alstom deal also did not give a breakthrough
Young smart people does not equal experience. Figure it out, Get it done. They will do just that, and fast to impress an accountant boss. The processes, the controls, requirements, procedures, rules, regulations and technology, well who cares. Then a couple years later after learning nothing but - be fast - that person is a manager. And well, Katy bar the door. The young hires that get into the training programs, they may be good decent people, but you have to teach people more then how to speak in front of a crowd, the buzz words, the best charts. Gotta know how to make parts. It is being tossed aside. It has been this way for years. The stock is 9.
TL;DR - If you develop leaders, the rest will take care of itself.
If read carefully, the OP’s post here is titled "The Problem with GE".
Going back 25 years or so, the problem with GE is that C-suite only worried about developing leaders and considered everyone else commodity labor that can be easily replaced in the labor market.
To deliver a world class product, you need world class leaders, engineers, supply chain, and world class shop labor.
GE only worries about leaders and can't be bothered to think about the rest, as you post illustrates.
Some have commented below on the post with emotion and indignation over what they perceive as blaming the generation of younger employees for the failures of the “old guard.” It seems they may be missing the key point this post is trying to make.
No one questions why and how this company has found itself at this juncture. This has been analyzed broadly and reported on at large. For example, see this article: http://fortune.com/longform/ge-decline-what-the-hell-happened/.
If read carefully, the OP’s post here is merely trying to convey that the leadership development programs currently in place have failed to generate maximized returns for the company. The manner in which those programs are structured and executed prevents the company from deriving true competitive advantage across the organization, and in the market. The leadership programs seem to work for the leaders-in-development – at least on paper – as they quickly collect titles of progressively growing responsibility that make for an impressive resume. However, the rotational tenures are too short for the leader to develop true expertise in any given area. People get into a role, spend 6 months learning the ropes, have 6 to 12 months to try to create some impact, and then start looking into securing their next role, next title. For the company, this creates a lot of thrashing in the system. For the team, it creates a challenging discontinuity that is tiring and demotivating over longer period of time. Leaders come, learn enough to be “dangerous,” try their best to make some impact, and then move out. The cycle repeats, ad infinitum.
There is no opportunity for the leader to develop deep, meaningful expertise, true bond with the team, loyalty and commitment to shared cause, and the sense of shaping the company’s future as a collective. And, the company is getting leaders who know just a little bit about many things, and not much about anything in particular. Two miles wide, one inch deep. The two miles are great – a leader needs broad exposure and perspective. The one inch is a serious problem, as it generally tends to breed ignorance.
Many companies have similar leadership development programs, and they take greater care in ensuring that such opportunities are extended to people with demonstrated capabilities and proper predisposition to lead. The competencies are built over time, with sufficient depth. True leadership skills and behaviors are developed and cultivated. The position of a leader is earned, not bestowed. This leads to increased organizational stability, consistency, quality, and better optimized outcomes.
The younger employees going through the leadership development programs are not at fault. They merely follow the pattern presented to them, which has been developed, codified, and reinforced by the organizational culture currently in place. Many fall into the trap of aligning to this pattern without any critical thinking – and some perhaps doing so consciously and selfishly – and ultimately end up failing.
There are many young, very smart, educated people with great ideas and energy, who are able and willing to demonstrate true leadership in many forms and ways. They all are much needed in this organization, and they are its hope. It is a task for every young person in this position – and for any young employee for that matter -- to introspect deeply about the kind of a leader they want to be, now or later in life. The answers and choices people will make will have profound impact on the future of this company, and they do have the power to make or break this organization in the long run.
Young people… Do not get offended easily. Show some grit. Look around and think hard about how you can change this place for better. Clench your teeth. Roll up your sleeves. Lead.
TRULY, lead.
If you are true leaders, in your heart and your soul, you will find true followers. There will be nothing you cannot do -- TOGETHER.
It's rude to call them stupid people. You are supposed to use the letters they prefer... OMLP etc.
So the stupid people think there is some problem with the smart people but the stupid people can't quite describe what the problem actually is. Okay
Right, let’s blame the youn employees for the Alston acquisition, the over production of AGP, and the over investment in Digital. It’s certainly the new employees that are to blame.
The development programs have been around at GE for ages. Quit blaming them for GE’s recent failures.
The main topic of a recent meeting was around the idea of diversity. The slide deck shown 53% of the team is employed 3 years or younger and 83% are male. The VP talked about how we need fresh ideas and new talent while in the same breath talked about providing domain knowledge for our Power customers. She also talked about shrinking the gender diversity. Being a 20-year veteran and a white male my time was limited, with a heavy heart I decided to move and left GE. The last person please turn off the lights.
Problem with GE it employed Immelt and a bunch of overpaid myopic executives to lead the company to the edge of the cliff. Immelt calls it a business cycle, it is best described as a death spiral.
Don't blame the kids it's their baby-boomer generation greedy sobs that are to blame. Furthermore they should be applauded for joining a company in this much turmoil!
Yes, this is absolutely and completely true. Things will never turn around until the company has thoroughly revamped how they source and develop leaders and managers. The current system has resulted in a catastrophic leadership failure, on many levels.
They know that their JOB and/or future promotional opportunities depend directly on their ability to 'play nice'. Collusion is such an ugly, loaded word, let's just call it 'an understanding'.
There is a common saying at GE..."there is money in chaos." Because everything is so badly managed by inexperienced people, we get lots of overtime. Sure, this place could be ran alot better, and more cost efficient. But it will never happen as long as you constantly have new, inexperienced people running things.