GENERAL ELECTRIC Appliances Turnaround 1990 - 1994
"The way GE Appliances used Workout made it the most culturally transformed among all of my businesses." - J.F.Welch, Chairman and CEO, General Electric Company, June, 1994

In 1990, GE Appliances was a $5+B business contributing about 10% to GE's total revenues, in an industry known for cut-throat competition and emerging overcapacity. The business had recently suffered an extremely costly product failure which revealed underlying structural and cultural issues - most notably seen in confrontational management - union relations. With a new leader at the helm, a consulting team including Pilot used the Workout town meeting process to engage the core business challenges, including (43) "Save the (Appliance) Park" initiatives, new product design, and gaining incentives from the State of Kentucky. Massive skills and facilitative leadership training supported a new attitude of cooperation across the various business units.

Results as of May, 1994 included:
  • Significant cultural change seen through institution of work teams, re-engineered skill trades, focused factory practices, and massive investments in training and leadership development
  • (10) major town meetings in 1990 alone to launch change which gave all people a voice in their future and started proactive relations with union/hourly employees
  • Highly visible and focused business leadership involvement
  • Newly found cooperation altered "old way" culture and ultimately allowed "Save the Park" to succeed
  • Highly increased supplier and customer participation gave birth to highly effective Quick Market Intelligence and New Product Introduction processes
  • Workout, its toolset and its mindset became aligned with GEA's "One Team" vision, mission, and strategic imperatives…business targets were met and often significantly exceeded.




  • "Workout, its toolset and its mindset became aligned with GEA's "One Team" vision, mission, and strategic imperatives…business targets were met and often significantly exceeded."
    Chris Cappy, Pilot Consulting


    Results:
  • "ABC" and ACT
  • Transamerica's Turnaround
  • GE Appliance's Turnaround
          & Workout process



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