Change Management in GE, Ford Assignment Example | Topics and Well Written Essays - 2250 words

Change Management in GE, Ford - Assignment Example Jeffrey R Immelt, the chairman, and CEO of GE has been trying to bring about a cultural revolution. He has been on a mission to transform the hard driving, process-oriented company GE into one that is steeped in creativity and wired for growth (Hitt, Ireland, Hoskisson, 2009, P.143). He wanted to move GE`s average organic growth rate for increasing the revenue that comes from their existing operations rather than dealing with currency fluctuations. Immelt has initiated the change process by welcoming outsiders into highest ranks GE made it compulsory for every employee to have at least a green belt training and wanted them to be involved in one quality control project to be eligible for promotion in the management level. Black belts and master belts were awarded for a higher level of management.GE ensured that the best employees were trained for the black belts and master belts(Bertels, Rath & Strong, 2003,P.263) At GE management meetings, head of all businesses were encouraged to ta lk about the new initiatives in their own units so that the ideas and best practices could be transferred among the various businesses(Harvard Business School Press,2010,P.25) The business heads speak mainly about the methods that are used in every individual center for decreasing cost and increasing efficiency. Communication was emphasized in all direction i.e. top down, bottom up and lateral communication. Effective communication has helped in promoting GE`s informal culture. Every employee in GE is encouraged to express their opinion candidly to their superiors (Nilakant, Ramnarayan, 2006, P.70).The GE Change Acceleration Process measures the effectiveness of change as the product of quality (the technical aspect of change) and the acceptance (by those who embrace it). The only way to get a very high score is to score high on both the factors. For years GE has applied this thinking to the Six Sigma by giving change management methods and tools to the leaders and trained employees .