General Electric New StrategiesGeneral Electric New Strategies:GE goes through to facilitate innovation from company-wide perspective. Innovation breakthrough is his new strategy which works for improve existing products and developing new ideas. All the business leaders need to work out at least 3 ideas per year under the innovative program. In order to ensure that these new ideas from employees are quantified under the program, the ideas need to lead GE into a new line of business, new geographic area or a new customer base, or even have the potential bring $100 million incremental revenue for GE. GE has invested $5 billion to 80 projects with this innovation program, and Jeff Immelt announced the innovated products would generate $25billion to their company ( Aron, 2010).
Jeff Immelt stated that his current main job is “pick initiatives and business to get involved in, shape the company culture and pick great people”. Picking initiatives and business can be understood as actions like creation and allocation the right resources to the right places in right way over time (Bradt, 2011). Jeff also believes that there are going to be multiple investment opportunities with attractive returns. GE is always rebalancing their portfolio as they are looking for the opportunities to put capital into new business. Their ever-changed portfolio is the essence of strategy decide which business to be in.
GE’s signature environment effort “ecomagination” was conceived in 2004, which has influenced a majority of strategies and core businesses. Ecomagination aims at driving innovation and generating superior returns, energy efficiency. From GE’s annual strategic planning review in 2004, management team realized that their six core businesses were deeply involved in environment and energy-related projects. When ecomagination was announced, investors’ reactions were mixed, some of investors thought the strategy is sensible and intelligent, and also well aligned with the market demand. However, some investor were worried about the projects could be more profitable and whether the environmental market is actually materialize (Jeffrey Immelt and the reinvention of GE, 2011).
The Future
Although ecomagination is a viable development plan, it needs to generate long term growth for both the company and its long-term investors. This is why we are focused on establishing a more inclusive and constructive environment. In 2012, we established a “TECHINESS POLICY” in response to a recent survey of our customers. This plan reflects our core mission to bring innovative strategies to market with a set of core technologies. For example, the first ten companies described a strategic investment plan (TFP) that reflects our company’s strategic commitment to sustainable, environmentally-friendly products for our community, and the success of both investors and our employees. The core core technologies that we value most are low-priced energy efficiency, and we believe a diverse set of products will be able to meet the needs of consumers, businesses and other stakeholders. In a recent study of GE’s new products published in the Journal of the New York Academy of Sciences, employees rated a variety of environmental products, all products including a wide range of technologies such as solar panels, wind, wind turbines, geothermal power, biofuels, solar thermal power, hydroelectricity, and other such technologies that are available to the general public. Our vision is to find an environment for sustainability while expanding its portfolio of products for the benefit of our communities. Our products will be able to meet this objective to a certain extent in the next 10 years. Our success is being driven by our strong commitment and vision, which embodies our commitment to the long term sustainability of our business model and our commitment to the well-being of the communities of which we are a part.
The goal of Ecomagination is not something for the few, but for our long-term investors. The industry will need to develop diverse products and platforms that will create a positive or neutral environment for all stakeholders: business operations, employees, partners, regulators, consumers, consumers groups, and the public. Moreover, we will need to develop innovative ways to facilitate the development, implementation, and dissemination of those products, thus encouraging new generations of employees and their communities to come forward and contribute towards more resilient ecosystems. In this way, Ecomagination can help companies continue to lead the way today. The ECOMAGINATION plan has been a positive development in the last five years and may be as successful as we would like to replicate. The benefits for both investors and Ecomagination team are significant, and will remain so for a long, long time.
What can Ecomagination achieve with our products? From the start, we started with the commitment the company needs to ensure the sustainability of its investments. Our core mission is to create the safest and most efficient solution for your project—an approach which is well suited for all business and investor environments. The combination of our integrated processes and our focus on the long-term sustainability of our business model helps our teams adapt to today’s global warming and climate change. Our team also aims to build and maintain a business of high quality, efficient businesses at the lowest costs. Ecomag