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Neutron Jack Neutralized?

Posted by Matt Kucharski on July 28, 2006 at July 28, 2006 11:23 AM

Hiring a Jack Welch disciple has long been a de facto way to implement his time-worn rules for "winning." Now it seems to be popular to call those rules into question, as the good folks from Fortune do in this recent article.

Personally, I think they're on to something. Welch certainly knows how to run a company, but those who try to follow his rules without really understanding what's behind them create soul-less companies with low morale and short-term success at the expense of long-term sustainability. Here's a summary of Fortune's "New Rules."

Old: Big Dogs Own The Street
New: Agile is Best: Being Big Can Bite You
Comment: So many big companies fail to re-invest in innovation because they're busy paying off the investors

Old: Be #1 or #2 in Your Market
New: Find a Niche, Create Something New
Comment: Define your OWN market

Old: Shareholders Rule
New: Customer is King
Comment: Show me a company with strong long-term investment growth who doesn't take care of its customers

Old: Be Lean, Be Mean
New: Look Out, Not In
Comment: Cutting back without re-investing the savings is like going on a diet without exercising to build muscle

Old: Rank Your Players -- Go With the A's
New: Hire Passionate People
Comment: People who make mistakes while trying to do something new are infinitely better than people who never make mistakes.

Old: Hire a Charismatic CEO
New: Hire a Courageous CEO
Comment: The CEO with true vision is a rare jewel indeed.

Old: Admire My Might
New: Admire My Soul
Comment: Microsoft vs. Apple. Wal-Mart vs. Target. United vs. Southwest Airlines.

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Neutron Jack Neutralized?

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