Thread regarding General Electric Co. layoffs

@QKpvClX-2hkt another PR, now they want us to feel bad for him and just stand by his side during this tough times. Dude just go home you have done enough and him included

I feel sorry for Flannery having to deal with such problems with how bad GE business have been destroyed.

It must be miserable coming to work instead of being happy no matter how much you get paid.

Hope he doesn't quit just to walk away from this mess.

GE Transportation used to be a very good company that made lots of money making locomotives for decades in Erie, PA.

Then they decided to move out of Erie and spent a fortune building new factories in Texas and India. In Texas, they have to compete for high labor with all the refineries and chemical plants instead of in Erie where there was a stable work force.

Now these new factories cant make money because their costs are too high and utilization factors very low. Operating at low utilization factors can easily make unit costs per locomotive go up by 40% or more, and with long supply lines for material unlike making parts in Erie, total unit cost increase can be over 50% or more.

Now because they cant make money in Transportation with the new structure instead of staying in Erie, GE wants to sell the business. When they do that, GE parent company will have less cash flow and income.

What happened at Erie Transportation is exactly what has happened in Power and other traditional GE businesses. Fake cost savings big changes promoted by new inexperienced managers has destroyed GE cost structure. No old type GE manager would have done such bad moves because they knew better.

The problem is GE management that doesn't know the business and now GE management itself.

GE has destroyed itself from within, even though we hear all sorts of lame management excuses and that just cuts across the board will fix it

Its all a GE six sigma fanatasy.

All these fake cost savings are what has made GE cost structure explode where many businesses like Power and Transportation now cant make money.

While labor is cheaper there, but efficiency and long transportation lines negates what labor savings. GE spent a fortune building all these new facilities and unfortunately paid for them by selling off many GE cash cow businesses that will no longer contribute to bottom line.

Now GE product departments are burdened with duplicate functions and employees and worse these facilities operate at very low utilization factors like 26% where unit costs are now sky high. GE is now bloated with duplication all over the globe and sky high costs of doing business.

This is why Power and Transportation cant make money anymore

interesting he mentioned all of the GE businesses in India...must never mention GE transportaion or the factory that was just built there

Because he is a used car salesman.

Please lets give Mr. Flannery an evaluation after he has been on the job for at least a year. Too early to be so negative on him. Give him a chance and then lets look at the numbers. I am not in management.

Really glad he had an energizing trip to India. I'm sure the folks that will be trying to figure out how to pay their mortgage while standing in the unemployment line give a $h!t. So far he just seems like Immelt Jr. Flying around doing nothing of substance other than going to places to get his ego rubbed.

Hey send all the jobs to India and shut down USA and Europe. Great idea it saves money.

I second that. Flannery looks to already be a failure for GE leadership. No confidence in him.