Skill approach: -

This theory evaluates the success of a leader on the basis of what they can accomplish. By
focusing on what they can do instead of who they are, this concept allows for leadership to be
available to everyone instead of a select few with the right leadership traits.
So, the skills approach to leadership focuses on the belief that certain abilities, knowledge,
and skills that can be learned or developed are important to leadership.

Three different abilities that a leader should have, namely:

 Technical skills
 Human skills
 Conceptual skills

1. Technical skills: - Refers to the knowledge and expertise required in a specific type
of work or activity.
From the time Jack Welch taken over the organisation grew many folds. GE has been
a highly sophisticated technology business along with their other business segments.
GE along with their strong business focus adapted to the technological changes very
quickly. This happened due to the powerful role played by the top management. All
the business units made sure they have to identify and adapt to what the people need
GE as revenues increased in multiples and later introduced Six Sigma for managing
quality, cost and process which boost the company profits through an improvement in
process and quality. He had a much-focussed R&D through strategic alliances and cut
several extra costs on R&D even.

2. Human skill: - This skill refers to the people skills required to work effectively with
followers, peers and superiors. This includes verbal and written communication skills,
the ability to motivate others and create a positive team spirit.
We can corelate this ability as the followers that Jack Welch had been carefully
selected and the system and processes have been created and managed in such a way
that only the best people are part of the businesses. Welch, however, always believed
that people should come first. GE is known for its people and during Welch everyone
is encouraged through reward systems, incentives and the stock options made
employees very loyal to the firm. Those people that were let go were provided with
help finding a new job, or given training in a new skill to make them more marketable
to other employers. While in the downsizing process, he also invested in his people by
revitalizing the Crotonville Management Development Facility better train future
leaders and treat the process as a reward for the best employees. Welch used stories at
GE to create a unique culture and make the values come alive throughout the
organization. In the end, by putting people first, Jack earned the love and respect of
GE staff and overcame the Neutron moniker.

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3. Conceptual skill: - This refers to the skills that allow the leader to think through and
work with ideas, hypotheses and concepts. Leader must have proper understanding of
organisation behaviour, organisation competition and organisation financial status.
We can corelate with Jack ideas towards organisation behaviour and financial status
as that they have to focus only on key businesses and therefore shut down all the non
performing businesses. He particularly focussed on where they are doing well like
technology, manufacturing, and finance, consumer and industry segments. At
introduction stage when Jack Welch has taken position as the CEO the first move was
to dismantle the organizational structure and to restructure or rebuilt new type of an
organization. He did not like the bureaucracy that existed in GE from a very long time
and being in the same company from the past 20 years made him realise what all
changes required for GE to grow. He also had sold some subsidiaries and cut basic
R&D costs, slashed payrolls and then he started various acquisitions and one of the
majors being RCA. This reduced the cost of production and also controlled errors in
manufacturing. He also their business on closely related products through innovations
on known technologies and competencies instead of acquiring new ones.
Another idea i.e. boundaryless approach for no distinction among domestic and
foreign describes barrier free vision of GE create another success story within five
years

Leadership Communication

Communication is a critical characteristic that a leader must possess to ensure

business success. Without it a leader is unable to foster positive engagement, enhance
motivation and produce innovative ideas from employees. It is fundamentals to
achieving better productivity levels, increasing employee morale and creating an
energetic and stimulating work environment. Similarly, Jack welch posses important
key skill like trustworthy and transparent, fair and objective, respectful, lead by
example, effective listener, provide proper information and example.

Empowerment
Empowerment is a means to include the team in decision making, to give them a
participatory role which capitalizes on their own expertise. Empowerment also
demonstrates that you have good listening skills, and that care about the input of
everyone on your team.
While during his career also he emphasized to empower the employees and to
improve their talents whose living example is Jaffery R. Immelt who is current and
successful CEO of GE after Jack Welch. This leadership quality reflects the
delegating style of leadership through which Jack Welch believed to empower the
people who posses the skills and abilities and are able to work. Like Jaffery R. Immelt
was one of 20 candidates to replace Jack Welch as CEO but Jaffery was found to be
more willing to serve his life for GE which was appreciated by Jack Welch.

The concept of empowering the members is visible in Jack welch where he delegates
power/authority among Baughman, Armond Lauzon and Frazier, Paolo fresco.
Elements of empowerment-

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  Make substantive decision like “Work Out”, “Best practice” &
“Boundaryless” approach with their subordinates.
 Employee take part in decision making role and asked to come up with
creative ideas in his workout session.
 Jack welch is never a task-oriented person. He weeds out people who fulfil
their task only not providing or having different values for the company.
 The reward system is very open and a continuous process at GE under Jack.
He started rewarding the top 20% of the GE managers with bonuses and stock
options. This in a way boosted the confidence of the performing employees
and paved the way for GE to become of the biggest companies in the world.

Myers-Briggs Type

Jack welch show ENTP characteristics in MBIT type.

Destaffing, delayering and downsizing of the company, hierarchical level also reduce from
nine to four show rule breaker characteristics and selling some subsidiaries and cut basic
R&D costs, slashed payrolls and then he started various acquisitions and one of the majors
being RCA. This reduced the cost of production and also controlled errors in manufacturing
shows risk taker nature.
Jack Welch is emotionally stable and agreeable person, who is also open to new and creative
ideas and he likes to get those idea implemented very soon. He is outspoken and he meets
everyone in his company, which makes him extrovert as well. In conversation he is dominant.
He always motivates his followers. Thus, all these natures together show ENTP
characteristics in MBIT type.
Leader’s mind
 Independent thinking: The explanation of this skill by his fourth initiative e-business
“destroyyourbusiness.com” which shows his intellectual stimulation to solve problem
of upcoming internet uses creatively.

 Open- mindedness:
 Systems thinking:
 Personal mastery: Company was not resistant to the changes because due to the
situation (current truth), everyone was expecting changes and they accepted the
changes easily. So, the situation helped here. We also see that the time was of
recession. This is about a leader who led a company for twenty years and made for
tune for the company. The manager of the century, Jack Welch, has been so
charismatic that even today people give examples of his leadership (end result).
Servant leadership

Main goal of this philosophy is to serve. A servant leader shares power same as welch
shares his among subordinates like Baughman, Armond Lauzon and Frazier, Paolo
fresco. Put need of the employee first and help people develop and perform as highly
as possible. He studied and implemented Six Sigma while this concept leads us to the
telling style of Hersy and Blanchard’s contingency model. This style of leadership he

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also applied in GE and encouraged the employees to learn to attain the competitive
edge. He not only believed to attain the confidence and willingness of his followers
but he emphasized on choosing the right person on right place and at right time.
Jack Welch was a realistic leader and he motivated his employees towards innovation
and he always tried to achieve the delegating style of leadership given by Hersy and
Blanchard as he says, “I've learned that mistakes can often be as good a teacher as
success”.