Let's take a brief look at the man who took over General Electric which was still a profitable company at the time. To the powerful industry disruptor and innovator that he is today. The leader is John Welch, his methods and insights were not common in the 80s. However, by the end of his reign in 2001, he took GE from a modest $13 billion enterprise to a $400 billion powerhouse. In 2001 he stepped down to retire as GE's most successful CEO to date. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay Humble beginnings. John Welch, received his bachelor's degree in chemical engineering from the University of Massachusetts in 1957, from there he received his PhD in the same field from the University of Illinois in 1960. With no notable training in the areas of management corporate, his only training in the matter would appear to have been dealing with GE as he rose through the ranks. Which by the end of his 20-year reign would have led to a 410 billion dollar industry. He ignored the old way of doing business and made his way into the mix. One thing he was known for is his disdain for any kind of bureaucratic nonsense that his predecessors might have had. He took over in 1981, becoming the company's eighth CEO, and apparently ran the business as a group of smaller cells or independent companies. With this methodology, it would appear that they could change what they were doing on a whim to better fit market trends. It would appear that his philosophy was to continually adapt to consumer demands and what was needed. And thanks to his intuition this method worked. The first goal was to eliminate the company's usual rigors. General Electric had been involved in many different aspects of almost everything. Even though they were still making money, they had aid scattered across areas where there was no sure return. He decided to simplify this task and focus on what mattered to the company, knowing that spreading the company too thin was hurting the possible revenue it could generate. The decision was not to eliminate everything, but only some areas so as to be able to narrow the focus. Giving a frank message to the company that it was not possible to focus on everything and that objectivity is needed in the long term. Doing anything else loses the company money. One impactful idea adopted in his time was to make sure to reward management based on their style of business acumen. He believed that they should run themselves without any interruption from GE and the people under them. As long as they followed the code of ethics and conduct that he had established for them. A key takeaway from this short speech is that you need to love and respect the people you put in your company. After all they are here for you, they got into this position because you needed them and they are doing you a service. They help make you and your company money. While you can never be quite sure they are making the right choice, it is best to let them flourish or die, but never ignore them. After all, it is better to keep up with your choice and make sure that it was a good option. If they're not the right choice, you can't just kick them to the curb. Much praise goes to this man and the way he takes care of hiring mistakes, and it's not a cold shoulder, rather a warm hand and an even kind goodbye. Empower employees. Most of the time, for small business owners and the like, it's about empowering them.