From the Bookshelf This is a fortnightly review of bestsellers for business executives What does it take to win in business? By Robert Davies In business terms, Jack Welch has been there and done it, so it's well worth listening to his advice In order to be a winner in business, there are rules and guidelines to follow, assumptions to make and mistakes to avoid, says Jack Welch, the former chairman and chief executive officer of General Electric. Overall, though, the secret to winning is to make sure your team has the best players. To achieve that, he recommends following certain steps: keep the strategy simple, share learning relentlessly, have a positive attitude, never become a victim, and have fun. When Welch retired in 2001 he travelled the world, speaking to more than 250,000 people and answering their questions. It led him to write Winning, which clearly lays out his ideas on leadership, business and dealing with the problems of daily life. The book provides readers with an abundance of practical, no-nonsense advice. For example, when discussing how to manage talented but difficult people, Welch pays special attention to complicated relationships with "stars", "sliders" and "disruptors" within an organisation. His method calls for candor and action. He admits that you need stars to win, but that as soon as a star starts to get arrogant, "someone has to call them in for a candid conversation about values and behaviour" (p.110-111). Broad topics There is also solid advice on finding the perfect job, hiring the right team, leading in uncertain times, and surviving mergers and acquisitions. With such topics, Welch clearly has the general reader in mind. He addresses concerns such as what to do if you deliver great results but work for a boss who doesn't seem to care. The trick is to hang on and wait to be rewarded, while asking yourself why you work there anyway. If the answer is that your job is worth the price of enduring a bad boss, his advice is to "put up, and shut up" (p.311). Similar practical tips are offered on what to do if no one else can see the need for change, if the budget process is mismanaged, or if a head office doesn't provide the autonomy and resources you need to get the job done. Welch also explains candidly the practices he employed at GE, such as the controversial "differentiation", which involved culling 10 per cent of the workforce at regular intervals, and was one of the fundamentals of his business philosophy. Clear mission In the opening section, "Underneath it All", he says that mission and values are the two most abstract, misunderstood and overused words in business. The mission should announce exactly where you are going, balancing the possible and the impossible, while the values describe the behaviour that will get you there. "They give people a clear sense of the direction to profitability, and the inspiration to feel they are part of something big and important" (p.15). The author strongly emphasises the importance of candor in business, saying that, without it, ideas are blocked and action is slowed. He believes that some people find it is easier not to be open, but stresses that candor must be rewarded, praised and demonstrated at every turn. Using plain language, Welch's energy and passion for business jump out from every page. Sometimes, though, his enthusiasm appears to get the better of him, especially in the liberal employment of exclamation marks. However, this is an instructive and thorough look at how to succeed in business, which will be of as much value to college graduates as to those already occupying corporate suites. Content highlights: Lack of candor blocks smart ideas, fast action and the open communication of ideas. Leaders relentlessly upgrade their team, using every encounter to evaluate, coach and build self-confidence. The one question to ask a job candidate is why they left their last job. That tells you more about them than anything else. About the authors Jack Welch began his career with General Electric in 1960 and became the company's eighth chairman and CEO in 1981. During his tenure GE's market capitalisation increased by US$400 billion, making it the world's most valuable corporation. His nickname was Neutron Jack, inspired by the fact that 118,000 people left GE in his first five years at the top, including 37,000 working for businesses that were sold. He also became known as "the guy who removed the people but left the buildings standing", according to his best-selling autobiography Jack: Straight from the Gut. Winning is a top five bestseller on the New York Times hardcover advice list. "Welch dispenses the sharp-edged business acumen that earned him a reputation as a daunting corporate leader. He is giving back what he learned, and not just to fellow CEOs." - USA Today Taken from Career Times 24 June 2005 Your comments are welcome at [email protected]