From the Book

firing the bottom 10 percent of staff

"This is hard stuff. No leader enjoys making the tough decisions. We constantly faced severe resistance from even the best people in our organization. I've struggled with this problem myself and have often been guilty of not being rigorous enough." (page 161)

his reputation as Neutron Jack

"I hated it and it hurt." (page 125)

"I took too long to act. I waited too long to close uncompetitive facilities. I took too long to take apart the corporate staff, keeping on economists, marketing consultants, strategic planners, and outright bureaucrats much longer than I needed to." (page 132)

the significance of the RCA purchase

"RCA ended up giving us a great network and station lineup with strong cable assets, a truly global medical business, a significant position in a global satellite company, and tens of billions of dollars in cash -- all for an investment of $6.3 billion in 1985. RCA was a strategic win for GE. The emotional lift from the transaction was every bit as important." (page 154)

the purchase of Kidder, Peabody

"Frankly, I was just full of myself. While internally I was still searching for the right 'feel' for the company, on the acquisition front, I thought I could make anything work." (page 218)

the high tech revolution in business

"I've passed up opportunities to acquire high-tech companies in Silicon Valley that appeared to be a good strategic fit. I didn't want to pollute GE with the cultures that were developing there in the late 1990s. Culture and values count too much." (page 229)

PCBs, one of the most frustrating issues of his career

"Extremists have latched on to issues like PCBs or globalization to challenge the basic role of the corporation. These people often see companies as inanimate objects, incapable of values and feelings." (page 283) .

"The truth is, we never 'dumped' PCBs and we never made them." (page 290)

on globalization

"Like our other initiatives, the seed bloomed into a garden. We moved from thinking of globalization in terms of markets to thinking of it in terms of sourcing products and components -- and finally tapping the intellectual capital of countries (page 313)

Six Sigma

"Overall, Six Sigma is changing the fundamental culture of the company and the way we develop people -- especially our 'high potentials.' We've always had great functional training programs over the years, particularly in finance. But the diversity of the company has made it difficult to have a universal training program. Six Sigma gives us just the tool we need for generic management training since it applies as much in a customer service center as it does in a manufacturing environment." (page 339)

E-business

"E-business became part of the DNA of the organization because we eventually came to see it as a way to reinvent and transform GE." (page 351)

the failed Honeywell merger

"Once the merger task force struck at the strategic rational for the deal, it wasn't in the interests of our shareholders." (page 374)

being CEO

"Being a CEO is the nuts! A whole jumble of thoughts come to mind: over the top. Wild. Fun. Outrageous. Crazy. Passion. Perpetualn Motion. The give-and-take. Meetings into the night. Incredible friendships. Fine Wine. Celebrations. Great golf courses. Big decisions in the real game. Crises and pressure. Lots of swings. A few home runs. The thrilling of winning. The pain of losing." It's as good as it gets! Your get paid a lot, but the real payoff is in the fun." (page 377)

business strategy

"Business strategy is less a function of grandiose predictions than it is a result of being able to respond rapidly to real changes as they occur. That's why strategy has to be dynamic and anticipatory." (page 390)

golf

"Golf is game where you constantly seek the illusion of perfection. If you enjoy the give- and-take of a match -- and I certainly do -- the game is a real high." (page 402)

naming his successor

"For at least a year, it was often the first thing I thought about each morning and the last thing on my mind at night." (page 407)

retiring as CEO

"The journey has been a great one. Yet what GE became in 20 years is a small snapshot of a company's lifetime. We built on the 100 years that came before us. What excites me even more is what the organization might become in the next 20 years. I know that its future will be guided by a spectacular team that will take the company to greater things." (page 431)

the future of business

"The capitalist genie is almost out of the bottle in China. This country will have enormous influence in the new century. Trade tensions will increase. Hierarchy is dead. While information will be available as never before, it will always be human judgment that will make the organization go." (pages 433-434)