"I try to pick out what matters."
Welch was an interesting anomaly in the area of how much he got involved with managers, businesses and departments within the General Electric (GE) fold.
Other than large initiatives, placing new executives or large acquisitions where he was obviously needed in some capacity to be involved, nobody ever knew where or when Welch would insert himself into some part of the company to let his will be known.
On the other hand, those that did there job and performed well, according to one former executive, were probably given more freedom than the vast majority of 
CEOs in a public company. But if a division was underperforming, the noose could be pulled tight fast.
Welch was asked one time what it was that was the deciding factor on these decisions and he said: "It's this," putting his forefinger to his nose. "I smell it."
What's important here in talking about he "smelled it" was that he was a student of the GE businesses. He would look at all the interests of GE over the weekend and see how they were doing while studying them.
When he used the term "I smell it," it talks of his knowing where each division and unit was performing at, and if the numbers are telling him the right story. Many times what people call "intuition" or "gut feelings," are nothing more than business leaders that are immersed in the businesses they're involved in and know from looking at data if they're really where they're supposed to be at. Alarms go off when something in what is being read and seen reveals some type of problem.
It's amazing how intuitive people are in business the more they study and look at what's going on. Welch was able through this, to know and pick out the most necessary parts of the GE network that needed his help and input. It all came from being a fervent student of the overall businesses he oversaw.
Other Jack Welch Resources:
Jack Welch's advice to MIT Sloan students
Remember to Sign up for my feed, bizzbite and digg this!
Sponsored link: The outsourcing every manager requires - Tampa Locksmith
Comment Preview