Distinguished economist Song Qinghui points out straight from the shoulder: Cause GE the reason with the mainest predicament now is product innovation inadequacy, go gradually with Internet times gradually far. Want to solve the problem that faces currently truly, must rely on innovation get the upper hand of, finance abandons to change the strategy in the meantime, it gobbled up the innovation motivation of GE.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
GE is brought think be proud base course of study is evergreen experience, nowadays fast and nonlinear in metabolic times, became GE to jump out hard instead original and inertial deadly soft costal region. GE uses personal practice proof, the management of Internet times must have not at the tradition!
Instantly most the cosmopolitan business that gets attention, it is malic company without doubt. However a lot of people do not know, 2001, a company sits nowadays the position of malic company, unmanned compare. Geomantic turn by turns, ascend Wang Zhe when the apple when, this company is however how " subsist " and anguish struggles. This company is general and electric (abbreviation GE) .
Since since edison founded General Electric Company 1892, more than 100 years, GE is the surveyor's pole of the industry all the time, leading global industry science and technology the progress of research and development, generating electricity, the domain influence such as medical treatment, aviation, illume, home appliance is tremendous, the model that diversity of the whole world that be called runs. If want to choose hundred years will affect the biggest company to the mankind, GE is absolutely can go up a list of names posted up. Its market prise breaks through 600 billion dollar for a time, it is one of companies with the most successful whole world. Divine Ba Fei is its are highly praise more especially " of American business circles indicative " .
See this company nowadays again, be not former times comparing today however. Suffer a disastrous decline of company share price, at present market prise only 600 much dollars. Still was kicked to give Dow Jones index this year in June, avoiding to become rubbish hard nowadays. Of one disaster after another is, 2018 3 quarters because the business of 22 billion dollar praise reduce a cost, cause weak quarter loss 22.8 billion dollar. The share out bonus that take great pride is traditional also must with " 1 cent " awkward amount is maintained. Be in debt to rise ceaselessly, cash shedding foreground is ceaseless and exasperate, and 3 quarters are almost all domain outstanding achievement not beautiful lets this company obverse side face " break down " the brim, sell or come off the pronoun that had become this company. So, how does the crisis of GE produce after all? Can GE still greet next spring?
If want to see the reason of GE be on the wane, most expert is met above all from Jackie Welch the times speaks of. 1981, welch shows itself in numerous candidate, become GE steer a boat person. Inside 20 years of lieutenancy, welch from a turnover GE the change of industrial production company of 25 billion dollar is a turnover to be 125 billion dollar " immensity bound " commerce is Caesarean. 2001, company market prise breaks through 600 billion dollar, row world the first, also made the summit summit hour of GE.
Welch from go bureaucratic change, be opposite without a few attrib border organization, globalization, 6 respects such as Xigema general and electric undertook a series of reform, by right of outstanding outstanding achievement expression and outstanding administrative philosophy are outputted, let him become the pronoun of perfect CEO almost. That " autobiography of Welch of outstanding gram · " it is the price with 7 million dollar achieved what American biography publishs income at that time more most.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
The decline of GE is being buried right now just about below. Welch is advocated " with speed get victory " , practice but end is at 2 o'clock: One is to strive for shareholder interest the biggest change, one is to make a trade only the first or the 2nd. Former seek tall financial get one's own back namely actually, latter go up from commercial law itself is right, but in be being operated actually easy however a lot of burgeoning, the business that has tremendous progress latent capacity filters.
Truth much make a move, can become fallacious, excessive emphasize " with speed get victory " hind, GE appears piece more and more the development trend that deflection goes after short-term profit to grow research and development of technology of industry of redound, negligence. Financial business is short-term development rate is rapid, return rate is high, GE finance uses the advantage grade of GE group to obtain low interest loan, obtain accrual difference through consuming finance to shift cooperative business, got a large number of profit. Shareholder value is the greatest change how-to below, the innovation that ignored pair of manufacturing industry and upgrade. For outstanding achievement, employee must develop new financial business, add tall lever, or award a letter to lead taller person to break a contact, this accumulated more risks. Once the value direction sideslip of angle, turn round very hard. Welch is passed bold much " of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim " of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim yuan change manage, cross a state and buy, the method such as financial lever, the 13 billion dollar when making the market prise of GE assumes office from him rises to 480 billion dollar, when when Welch leaves off his post, GE is not a real industrial company already, and more resembling is firm of a banking, the profit that comes from financial business exceeded 50% of gross profit.
When Yimeierte was taken over 2001, the diversity company that GE has become an opposite maturity that pays close attention to short-term profit, financial drive. Successor although Yimeierte increased the investment to research and development, technology, but did not finish the trend that reverses GE whole to be made heavy finance, gently, last instead outspread finance capital, use short-term loan to maintain money forms for reporting statistics to show.
After financial crisis erupted 2008, of GE finance tall lever, high risk, high income " 3 tall mode " the problem is exposed in the round eventually come out.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
GE finance is decreased suddenly as a result of original leasehold dimensions, become then " indebted large family " , to make up for financing gap, GE finance is relied on again issue commercial bill to undertake creditor's rights financing. Such vicious circle, bring about financial business finally to be able to develop continuously no longer, ever was regarded as " help straw " financial business, became those who collapse GE finally however " last straw " . After financial crisis, yimeierte eventually open to financial business come off, change GE hard time for an industry company. Through a series of financial capital comes off, recombine, establish new company, reduce the kind such as investment, GE realized the thin body of financial business.
One disaster after another, step on a fault the world is new general trends of revolution of round of the sources of energy
Grow to maintain outstanding achievement, GE once more open " buy buy buy " mode.
2015, GE costs 12.35 billion euro and buy French A Ersi to connect. Actually the whole world had been entered new period of revolution of round of the sources of energy, oil and natural gas price are long-term and character lies glide in the trend, but second birth the sources of energy is developing flourishingly inside global limits. This is bought, be proved to be the largest a faulty stroke in calligraphy or painting later.
In July 2017, GE bought the 3rd lard of world to take company Bei Kexiu this, total investment is as high as 300 much dollars. What Yimeierte does not have expect is, what the process that changes direction to clean the sources of energy from fossil the sources of energy wants to compare his forecast is fast much, oil price is low the rise that confuses together with new energy resources, make after buying, GE does not have gain quick buck not only, brought huge risk and potential trustful crisis for GE itself instead, GE is immersed in very quickly and buy Bei Kexiu this the management lair after.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
Look from the process, yimeierte is being managed on get the influence of Welch, produce be in harmony to combine this to go up especially. Early days continues the practice of Welch, add lever, insanity and buy, later period criterion with " super buy " enlarge market dimensions to draw a look, keep the show on outstanding achievement for the interest with short time. Just Welch caught up with a good times, yimeierte was caught up with a series of " black swan incident " .
Look from management, the cadre that Yimeierte cancelled Welch times on management annulus hillock system and personnel 10% end wash out a mechanism, make on certain level its manage the GE below to appear bureaucratism, let should lead tide originally " industry is digitlized " reduce " chicken ribs " , the Internet enterprise that is risen abruptly finally falls in back aloof. In the 10 old time after Yimeierte assumes office, the dimensions of general and electric capital substantially shrink.
The fact proves, yimeierte's movement often appears slow pat partly. Yimeierte lacks the insight of pair of industry general trends, fail to jump out periodic thinking, have an insight into those who give an age is nonlinear change trend. Disregard the world general trend of events of revolution of the sources of energy, excessive give as security fixes fossil fuel field, it is GE now one of main reasons of walk with difficulty, be heavily in debt.
Those who freeze 3 feet are not a day is cold, the be on the wane of GE, result from on one hand Yi Mei Er has an insight into especially capacity is insufficient; On the other hand, also result from the nearsightedness that super success brings Welch era and the side-effect of utilitarian culture.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
And further, distinguished economist Song Qinghui points out straight from the shoulder: Cause GE the reason with the mainest predicament now is product innovation inadequacy, go gradually with Internet times gradually far. Want to solve the problem that faces currently truly, must rely on innovation get the upper hand of, finance abandons to change the strategy in the meantime, it gobbled up the innovation motivation of GE.
3
Experience " history on the most short-lived CEO " , the success management experience of GE becomes a burden
On August 1, 2017, john Fulannali (John Flannery) the reform that bold and resolute undertook after assuming office. His explain him palpability saves the strategy of GE: Cut down culture of cost, specific company namely, contract to core business, adopted for this cut down the member of persons employed, come off, recombine wait for act, try managing cost, redeem declining tendency.
Regrettablly, GE already bad old practices die hard. The newspaper showed 2017, GE annual total battalion receives 122.1 billion dollar, electricity Department door year income 36 billion dollar, profit drops considerably 45% . This year in June, GE announces to will come off medical treatment, oil gas, traffic Wu of 3 great undertaking board piece, future wants focusing to be in aviation, generate electricity to go up with business of new energy resources. Fulannali expresses, the problem of the company is done not have at present " quick solution " .
Meanwhile, because share price steeps fall, general and electric was given by eliminate Dow Jones index, the class status that ended its to be as long as in this index 111 years the history, present GE is the delegate of American economy no longer.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
Regrettablly, what Fulannali did not think of is, assumed office more than one year to get the air. Debenture stage is built high and share price drops madly, rangfulannali becomes the CEO with the shortest term on GE history unfortunately. On October 1, 2018, member of general and electric directorate Lawrence Kaerpu (Lawrence Culp) replace Fulannali. This also is a talent those who come forth in large numbers is general and electric, first " airborne " CEO, education of and rather than, your person heaves a sigh! The analysis says, fulanneili assumes office more than one year to be changed, as a result of,be board of directors to him " reforming plans " progress is slow feel malcontent. It is we also can see from which only, ever was regarded as GE outstanding tradition " successor plans " had been pounded tumbledownly.
General and electric by the person of take delight in talking about, it is achievement of its science and technology not merely, still have its remarkable talent government. This one tradition continues hundred years, education gives talented people of a batch of another batch of management, best show of the United States that be called manages the talent's West Point. Have statistical discovery, complete beauty " fortune " 500 strong in, the CEO that has 173 companies actually is to come from GE. Since half many century, GE every new person that steer a boat is counted from a last a period of time year, the interior with firm order chooses flow to be chosen, the tradition of this CEO inheritance also is regarded as one of successful experience with GE radical evergreen course of study. Nowadays, this one tradition is in fast nonlinear in metabolic times, became GE not to jump to give original and inertial soft costal region instead. GE uses personal practice proof, the management of Internet times must have not at the tradition!
To GE, "Airborne " CEO also is helpless lift. Face nowadays predicament, the board of directors must take more radical action. Current, GE finished assets of 20 billion dollar basically already to offer a plan, predict cut before 2020 of 25 billion dollar be in debt completely, so that reduce the company dependence to the short-term financing such as commercial bill.
Although general and electric took out the stance that cuts debt and reforming problem business, the confidence of capital market did not increase it seems that. General and electric announce money newspaper to show, every accrual and battalion receive the 3rd quarter to all anticipate not as good as this year. Include to decrease write down inside, caustic of 3 quarters net loss 22.8 billion dollar, have a deficit less compared to the same period 27.8% . Hold the post of CEO Ka Erpu newly to must raise money quickly cash reduces debt, in order to avoid the rubbish step that its debt grade drops to second investment grade further.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
Have 126 years of histories as " hundred years old name " , GE had become the whole world to be in debt the 6th high blame banking company. Up to by September, general and electric not countervail debt is 115 billion dollar about, huge debt load, in case this company is lowered to be rubbish class, the panicky enough shake that causes the market is whole the market.
Be worth what carry is, in GE thin body while, sea Er buys GE home appliance board piece move with respect to Ceng Hong temporarily. The fact proves, similar professional work, there can be distinct effect below different company management. Data shows, lose first half of the year in market of American home appliance those who grow 1% is low confuse a circumstance to fall, the GE home appliance that already was bought by sea Er goes against force growth 11% , it is the brand with market the rapiddest growth, its successful key is Er of profit from sea " person odd syncretic " of mode introduce.
GE whether walk out of predicament, become true base course of study is evergreen company, fix eyes upon for place of global business circles.
To reduce the travel before weighing, in last few years, general and electric begin ground of bold and resolute to undertake reform, sell asset is mixed cut down dividend to become GE short-term the main method that save oneself.
Come off with great quantity business while, general and electric the new field that also exploring to be thrown for a long time. From general and electric official the net can see: Welcome to digital industry times. This industry tycoon had levelled software field, turning industry of a number into the enterprise from the enterprise exuviate of a diversity.
"Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
Digitlization, Internet is changing consumer stealthily, and in industrial world, digitlization just just starts. Beyond question is, the bold and radical digitlization transition that GE oneself takes the lead in starting, accepted this one concept to erect surveyor's pole for global industry. In GE whole world president of China of senior vice president, GE holds presiding apparitor Duan Xiaoying concurrently to look: Industrial Internet needs transverse Internet technology not only, still need fore-and-aft industrial knowledge. From transverse look, the technology such as computation of content couplet net, cloud is already mature, the advantage of GE is fore-and-aft industry knowledge.
The times of new productivity serves as in data, how to answer technology, market, capital, and the challenge of mode, the new option of GE yields the daring and resolution when we see industrial tycoon seeks to live on absolutely. Nowadays, GE and Microsoft had cooperated in development, expedite the be born application of industrial Internet. Industrial digitlization strategy is the only chance that the person that GE implementation business saves atone for, real king returns probably.
On the whole, the ups and downs of GE is the epitome of times of American big industry on certain level, general and electric fall from the sky also refracts the development way that gives American economy, the United States nowadays, be the world of the tycoon of science and technology such as apple, Gu Ge, Facebook. To a company that has had 126 years of histories, historical burden really very heavy. But if GE can cast off historical burden, nie renascence, will create greater than associate with miracle! Original title: "Of American business circles indicative " , global market prise is highest, why be reduced to poverty arrives " rubbish class " the brim
