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Research Article

The Workout Case in General Electric

Lee · Lee

University of Ulsan

Published: January 2004 · Vol. 7, No. 2 · pp. 117-147
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Abstract

At its core, Work-Out is a simple, straightforward methodology for cutting out bureaucracy and solving organizational problems-fast. While developed at GE in the late 1980's, and now part of GE's DNA, Work-Out also has been successfully adapted in many organizations. But in all of these organizations, no matter what the issue, the process remains much the same. Work-Out brings together the people from the organization who know the issues best, enforces them to develop creative solutions and decide on the solutions immediately in a Work-Out session, and empowers people to carry them out.And Work-Out is used to resolve problems together with customers or supplies to develop innovative ways of doing business together. It is also a catalyst for destroying the inevitable growth of organizational bureaucracy. It can help create a culture without boundaries. Having Work-Out in its DNA has given GE a powerful foundation for implementing other important initiatives, including Six Sigma and e-commerce.This case describes GE's Work-Out approach to busting bureaucracy and solving organizational problems. And it will show how to apply Work-Out in the organization to solve organizational problems. Work-Out can help the organization develop the culture and the skills necessary to move more quickly, nimbly, and successfully in the complex, global world.