Executive Summary
The relationship between the organization and its environment is complex and hard to
understand. This report seeks to provide strategic recommendations for General Electrics
(GE) management by examining its internal and external environment. In addition, GEs
critical success factors and strategies were investigated.
This report focuses on 3 of GEs businesses: GE Aircraft Engines, GE Medical Systems and
GE lighting, evaluating their performance in the industry. By assessing their
environment-strategy-capability, potential flaws were identified and recommendations
were suggested for improvement.
It is recommended that GE should incorporate sourcing and acquisitions. In conjunction,
Blue Ocean Strategy is recommended to enable GE to achieve greater altitude of
excellence.
Finally, GE must learn to apply the suitable and appropriate strategy to the respective
businesses. With this in mind, GE will thus be able to perform better, achieving superior
revenues.
Introduction
General Electric (GE), established in 1878 by Thomas Edison, is one of the worlds leading
diversified industrial company. From aircraft engines to power generation, and financial
services to medical imaging to plastics, GE is dedicated to be the leading solution provider
in terms of its products and services.
Strategic management is a continuous, iterative process aimed at keeping organizations as
a whole appropriately matched to its environment (Certo and Peter, 1990). Being a
for-profit organization, GE will have to identify and resolve problems that will impede the
growth of the company. Furthermore, in highly diversified organizations like GE,
strategies should constantly be reviewed so as to seek necessary changes to progress
efficiently and effectively (Beckhard and Pritchard, 1992).
This report seeks to analyze GEs macro-environment and micro-industry, as well as its
