Funny how this system lends itself so nicely to age discrimination.
All hail this great management icon: https://www.thestreet.com/story/14315785/1/how-to-fire-people-like-jack-welch.html
Hate the HON management culture? Blame this guy, who started it all.
In any mention of purging the bottom 10% there is never any mention of hiring anyone to replace them. Welch never said it, I don't here it now. Determining the bottom 10 is also very subjective. A manager can always come up with a reason to put someone in that group. It is just a different set of words for leaders to describe getting rid of employees. By saying this it tries to give an impression that leadership is just doing what they have to do and it was the employees fault for not performing. Not true of course, they just want less people and more cash for themselves.
For the apologists for this horrible culture. Let's do a thought experiment. Year 1 -- the legitimate bottom 10% slugs are shoved out. Year 2 -- the new bottom 10% (not slugs) are pushed out. Year 3 -- the new bottom 10% (average, but useful and productive employees) are pushed out. See where this is going? The Romans invented decimation -- but did they do it every year without fail? This is management declaring war on their employees. Justify it all you want. It is cruel and dysfunctional.
Bottom line, he shrunk the employment of GE significantly in his tenure. The bottom 10 that was purged was not replaced. He never cared about people, he loved to compete and winning was everything, for himself. He also got out of a lot of manufacturing. He actually turned GE into a financial company, then it took a big hit during 08-09. Immelt tried to turn it back into industrial away from financial, didnt go too well. Cote following Welch model, just in it for himself.
Summary of what Jack Welch actually said about getting rid of people who clearly just do not have what it takes to be part of the company's success:
Do it before they’re 30 years old.
Don’t do it unfairly.
Don’t do it cruelly.
Don't do it in one day.
Coach them out.
See how their job search is going.
From https://blog.kissmetrics.com/winning-and-profitability/
I have a small poster up outside my cubicle (thanks to Demotivators & Despair, Inc.) that says: "When the going gets tough, the tough get going -- the smart left a long time ago." There's absolutely no doubt that it all began with Welch/Bossidy, he of "product knowledge isn't necessary in the management team."
Honeywell Is losing their top talent because the culture is horrible. Getting rid of the bottom 10% is way different than losing the top 10%.