The Tsunami Effect In Business…Inspires Me To Speak
A recent article in the NYT spoke of the impact Jack Welch had on the world’s businesses. Not pretty as far as I am concerned. Writing in 2018 I referenced the impact of an article by economist Milton Friedman (also in the NYT Sunday Magazine) stipulating businesses exist to create shareholder value. I remember this period well, as I was at the then venerable Equitable Life Insurance Company, (owned by its policyholders), at the time. Jack Welch became CEO of GE in 1981 shortly after Friedman’s ideas becan to take root. The ground swell that occurred, quarterly profits tracking amongst others, began the dismantling of heretofore unspoken American business values. Why does this happen?.....
Dr Elliott Jacques, the architect of the Requisite Organization system of management, used to say that when a person ascends to the C suite of a company and doesn’t have the full potential capability required of the role, critical decisions will be made, the impact of which is not realized until 20-40 years later. Welch was CEO of GE for 20 years and during that time most academicians and Wall Street analysts thought “he walked on water”. Many executives who operated under him were poached by stellar corporations to lead them. Most if not all failed. Employees of the many GE Companies will tell you differently.
At the invitation of a curious HR professional Dr. Jaques and I conducted a pilot analysis of roles at GE Plastics. In one week we uncovered serious fractures in the hierarchy of roles (vertical slices) from top to bottom in two functional areas. Although each of the three executives who had sponsored the pilot clearly understood the potency and potential impact of the findings they filed the report away.
Choosing to do nothing is at the core of our disengaged American workforce. CEO salaries and benefits are at all time highs. Worker salaries have stayed the same or diminished. Millions of jobs have been sent offshore. The recent Pandemic and supply chain logjams have demonstrated our vulnerability. The list goes on and on.
I find myself asking “Is our rugged individualism finally on its last legs?” Inspired mindsets working together can realize extraordinary results-why don’t we encourage more of this type of thinking? The perils of planet change affect us all. Killing teachers and students to the point of their being unidentifiable to their parents, is insane. Elders shopping on a Saturday afternoon or praying in church have a right to do that. Murdering them is a disgrace. The right to bear arms is a fundamental right codified in the Second amendment. However, that does not include assault weapons made for the battlefield being available to teens.
As you can tell I have a passion about the deterioration of our society and particularly the workplace where we spend thousands of hours during our lifetimes. Please let me hear from you. Let’s create a dialogue so we can put our hearts and minds together to stem this destruction. I want to know what you think. Please!
One last thing. Today June 14 we celebrate our Flag and all it stands for. Sunday is Juneteenth a reminder of an ugly time in our country. Do take some time to ponder and reflect on these important dates and their meaning for you.