Hasfhi Rahmat

1121002033
Accounting 2012
Questions
1. How would you characterize jack Welchs leadeship style?
Jack Welch joined GE in 1960, and was named the CEO in 1981.
In the initial years as CEO, Jack Welch initiated a restructuring plan, which
included massive job cuts, positioning the various businesses as number one
or number two in the respective segments, and selling off unprofitable ones.
Although Jack Welch is "the celebrated leader of a global manufacturer
often noted for its technological prowess, he has utilized a very human
process to drive change through GE's vast organization. Having respect for
the individual as a pivotal force in organizational change, Welch created a
model of exceptional performance every corporate leader can learn from.
Under Welch's leadership, managers have wide latitude in building their
GE units in entrepreneurial fashion. Determined to harness the collective
power of GE employees, Jack Welch redefined also relationships between boss
and subordinates. He wrote: "The individual is the fountainhead of creativity
and innovation, and we are struggling to get all of our people to accept the
countercultural truth that often the best way to manage people is just to get
out of their way. Only by releasing the energy and fire of our employees can
we achieve the decisive, continuous productivity advantages that will give us
the freedom to compete and win in any business anywhere on the globe."
Jack Welch developed 4 E model of leadership.
a. Energy - Individuals with energy love to "go, go, go." These people
possess boundless energy and get up every day ready to attack the job at
hand. High energy people move at 95 miles-per-hour in a 55 mile-per-hour
world.
b. Energizers - know how to spark others to perform. They outline a vision
and get people to carry it out. Energizers know how to get people excited
about a cause or a crusade. They are selfless in giving others the credit
when things go right, but quick to accept responsibility when things go
awry.
c. Edge - Those with edge are competitive types. They know how to make
the really difficult decisions, such as hiring, firing and promoting, never
allowing the degree of difficulty to stand in their way.
d. Execute - The key to the entire model. Without measurable results, the
other "E's" are of little use. Executers recognize that activity and
productivity are not the same and are capable of converting energy and
edge into action and results.
2. What made him so effective?
For a large organization to be effective, it must be simple. For a
large organization to be simple, its people must have self-confidence and

intellectual self-assurance. Insecure managers create complexity.

Frightened, nervous managers use thick, convoluted planning books and
busy slides filled with everything theyve known since childhood. Real
leaders dont need clutter. People must have the self-confidence to be
clear, precise, to be sure that every person in their organizationhighest
to lowestunderstands what the business is trying to achieve. But its not
easy. You cant believe how hard it is for people to be simple, how much
they fear being simple. They worry that if theyre simple, people will think
theyre simpleminded. In reality, of course, its just the reverse. Clear,
tough-minded people are the most simple.
Soon after he became CEO, you articulated GEs now-famous
strategy of number one or number two globally. Was that an exercise in
the power of simplicity?
In 1981, when he first defined their business strategy, the real focus
was Japan. The entire organization had to understand that GE was in a
tougher, more competitive world, with Japan as the cutting edge of the
new competition. Nine years later, that competitive toughness has
increased by a factor of 5 or 10. We face a revitalized Japan thats
migrated around the worldto Thailand, Malaysia, Mexico, the United
Statesand responded successfully to a massive yen change. Europe is a
different game today. There are great European business people, dynamic
leaders, people who are changing things. Plus youve got all the other
Asian successes.
3. Would you like to have worked for him?
After answer the two question above, if i had an opportunity to work him.
Yes i will take taht change for sure, because he have good leadership
styles. He will encourage his employess to get a great impact and learn a
lot.
Questions
1. What went wrong?
In order to implement the new vision for Xerox to be the world
leader in developing the architecture of information appropriate a new
information technology era, CEO Peter McColough invested in PARC (Palo
Alto Research Center). The first achievement of PARC is the major
breakthroughs in copier and computer technology in both hardware and
software. However, few of these discoveries, Xerox did not realize the
opportunity to develop their commercial products for non-experts due to
the wrong direction from the top management. Since that, most PARC
scientists who worked for Xerox, left company and join others company
and gained a lot of Award personally.
The new vision from Xeroxs CEO set the company two major tasks
needed to achieve. Unfortunately, they only accomplished the first one,
but the second which is to transform Xerox from a copier company into an
office systems company. Obviously, Xerox was showing the world that they
are incapable of learning how to develop, manufacture and market office
systems that customers actually needed or wanted. Investing much on

discovery new technology, developing these products to be marketable is

what Xerox does not do well.
In addition, PARC helped Xerox developed innovative products for its
traditional business, such as laser printer. But the company failed to
capitalize on the greater prize PARC led the way towards. On the higest
pinnacle of conflict when PARC offered Xerox the opportunity to define and
and dominate the emergent personal computing business that required
Xerox to change its identity, however, Xerox refused to do so. Thats the
reason why Xerox is always the invincible one in copier industry, no more
than that.
2. what the lessons for companies which need to innovate?
Once companies need to innovate their ways to produce products,
should reflect the case of Xerox firstly. They need to carefully listen and
analyze comprehensively the opportunities offerd from their experts who
are put all of their of efforts on how to create a new applicable products,
especially in technology industry. Regardless to the case of Xerox, other
technological companies which need to be more innovative, have to do
R&D as much effective as they can, as follow:

At the ideation stage, researchers should have an ability to gain insight

into customer needs and wants and an understanding of the potential
relevance of emerging technologies.

Then, at the product development stage, these scientists show their ability
to engage actively with customers to prove the validity of concepts and to
assess market potential and risks, and the ability to leverage existing
product platforms into new products.

At the commercialization stage, an ability to work with pilot users to roll

out products carefully but quickly, and to coordinate across the entire
organization for an effective launch.

3. What is the future for Xerox?

Continuous innovation is compulsory requirement for Xerox in order
to sustain their competitive advantage. In further, the role of R&D should
be encouraged and empowered more because they a back born of firm. In
addition, the better understand themselves and external environment also
the key to help them position themselves in the market and have a good
growth strategy for future.