Thread regarding General Electric Co. layoffs

GE Power is only the tip of the iceberg

GE is now essentially comprised of 3 Tier-1 businesses - GE Power, GE Renewable Energy, and GE Aviation.

We all know how GE Power is the supposed problem child. I submit to you, dear reader, that GE Renewable Energy is right behind. I can't say for GE Aviation. However, given GE management's epic ability to f$%&-up, I suspect GE Aviation is just as screwed.

I hope I'm wrong but I believe GE Renewable Energy is in for a rude awakening. These guys have been on a drunken, out-of-control hiring binge for the past few years. They have developed quite an impressive bureaucracy.

GERE senior management breakdown: 5 CEOs, 16 Vice Presidents, 3 CFOs, 1 CCO, 1 CTO, 1 CDO, 20 Senior Executives, 64 Executives, (and 1 Chauffeur!)

That doesn't include 100s of senior managers, managers, project manager, team leaders, chief engineers and other controlled title holders.

The reaction to GERE missing their numbers in 2018Q2 and then again in Q3 was telling. The very top GERE dude appeared to be astonished! Both times we were told to execute better. Flawless execution. What a joke! I've never seen flawless execution within the walls of GE.

GERE is asleep at the wheel just like GE Power. All the excuses from GE Power management will be dredged up again come late January when 2018 earnings come out. What a pitiful bunch these GE management types. No amount of 6sigma or buzzword bingo or s-xy powerpoints or smooth talking bullsh%t will help them.

Seriously with all that management in place, how is it possible to NOT notice economic and industry trends.

And keep your eyes on Aviation. No telling what corruption has yet to be uncovered there.

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| 2301 views | | 4 replies (last January 2, 2019) | Reply
Post ID: @OP+WOuKYn1

4 replies (most recent on top)

Renewable energy is running on low single digit Profit %. The margin reported is so thin that more than likely it is some "aggressive accounting" (!ong term maintenance / service contracts ) that is covering up an actual loss . The guys doing the accounting have previous experience / leveraging "best practices" in accounting from gas / thermal service contracts - which itself is under DOJ and SEC investigations. Power has taken all the negative press , but RE is just as bad. Combined with the fact that Production tax credit driven projects will dwindle in the US in the next years ...it is mostly headwinds in to the future. It will be interesting to see if the French CEO continues to survive based on his wife being a politician / senator .

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Post ID: @7awe+WOuKYn1

Aviation is screwed up. Just a matter of time before it comes out.

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Post ID: @ojr+WOuKYn1

"Both times we were told to execute better. Flawless execution."

No business has ever been executed flawlessly but it does provide an excuse for the CEO when he's able to point a finger. Demanding "flawless execution" is just a way of grandstanding for effect. I remember Jack Welch would cut that management behavior off short by asking "I know that guy made some kind of mistake. Who put him there? Who is his manager? What do his last three evaluations look like? If they were poor, why wasn't he moved out? If they were good, why wasn't his work process six sigma reliable?"

Sad to say, our management doesn't expect flawless execution from itself. It rewards finger pointing.

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Post ID: @gts+WOuKYn1

The New Leader has to be careful that the core businesses do not rot from the inside out. Wall Street is being wooed by the split-ups and sell-offs right now, but they don't see the bureaucratic mess created internally right now. Hopefully this will be cleaned up in due time.

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Post ID: @rpd+WOuKYn1

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