Lenwood M. Ross’ Post

Is there an upper limit to how big a company can or should get? You might think not, and that economies of scale and market dominance support ever increasing scale. Well, as companies like Apple and Google are finding out, when you get to their size, some people get nervous about how much commercial power that means. In the case of GE (I am old enough to remember calling it "General Electric"), not only did Larry Culp, its CEO, find out that breaking up is hard to do (thank you Neil Sedaka https://lnkd.in/gxcy8ayg), but it takes a long time. I grew up in a period when people bought and held GE stock because it was too big to fail. And then, in 2021, Larry announced that the company—the quintessential American conglomerate, which at one point or another sold washing machines, credit cards, plastic resins and TV advertising slots for NBC’s Super Bowl broadcasts—was breaking up. None of those efforts would’ve been as successful, and perhaps wouldn’t have even been possible, if Culp hadn’t tightened up GE’s operations and turned key businesses into stable, cash-generating entities that could stand on their own, which I think was the key - make sure the value of the parts is greater than the whole. Until you read this Bloomberg article by Brooke Sutherland and Ryan Beene, it is hard to picture how you could break up Apple or Google.

Siemens achieved a robust fourth quarter in fiscal 2024, with orders increasing by 10% and revenue by 2% on a comparable basis, leading to a net income of €2.1 billion. This performance underscores our commitment to innovation and excellence. As we advance into fiscal 2025, Siemens plans to enhance value creation through continued investments in research and development, as well as strategic acquisitions, such as the planned acquisition of Altair, reinforcing our leadership in industrial software and AI. Proud to be part of Siemens as we close fiscal 2024 with a strong fourth quarter—orders up 10% and revenue up 2%—reflecting our dedication to innovation and excellence. Looking forward to advancing our leadership in industrial software and AI in fiscal 2025. 🔢 📈 Our #SiemensResults for Q4 and for fiscal 2024 overall are in: “Strong fourth quarter completes successful fiscal 2024.” Check out our key figures ➡️ https://sie.ag/5yFuFL

🏢 Which Blue-Chip Stock Has the Edge: GE HealthCare or GE Aerospace? 💹 🌟 General Electric spinoff stocks, GE HealthCare and GE Aerospace, have been shining stars in the investing world, outperforming the broader market in 2024. 📈 Bullish analysts foresee up to 25% upside potential for both, creating an opportunity that investors can't afford to miss! 🚀 👉🏼 With so much potential on the table, it's crucial to determine which of these two blue-chip stocks is the better buy. ⚖️ Making the right choice could significantly boost your Health Savings Account, perfectly aligning with your #hsa goals for financial success and security. 💰 🏥 GE HealthCare, a cutting-edge leader in the healthcare industry, has harnessed innovation to drive impressive growth and deliver essential solutions to improve global wellness. 💪 On the other hand, GE Aerospace dominates the skies, revolutionizing aviation technology and making air travel safer and more efficient. ✈️ 📚 Join me on this exhilarating analysis as we evaluate the strengths and potential of GE HealthCare and GE Aerospace, helping you make an informed investment decision aligned with your aspirations for #healthcare, #health, #family, and #wellness. 📊✨ ⏳ Don't let the Fear of Missing Out hold you back! Act now and embark on a proactive journey towards maximizing your HSA investments, while investing in the future of these remarkable companies. 🚀💼 #investing #hsa #healthcare #health #family #wellness 🌱💲

Lights Out How could General Electric--perhaps America's most iconic corporation--suffer such a swift and sudden fall from grace? This is the definitive history of General Electric's epic decline, as told by the two Wall Street Journal reporters who covered its fall. Since its founding in 1892, GE has been more than just a corporation. For generations, it was job security, a solidly safe investment, and an elite business education for top managers. GE electrified America, powering everything from lightbulbs to turbines, and became fully integrated into the American societal mindset as few companies ever had. And after two decades of leadership under legendary CEO Jack Welch, GE entered the twenty-first century as America's most valuable corporation. Yet, fewer than two decades later, the GE of old was gone. Lights Out examines how Welch's handpicked successor, Jeff Immelt, tried to fix flaws in Welch's profit machine, while stumbling headlong into mistakes of his own. In the end, GE's traditional win-at-all-costs driven culture seemed to lose its direction, which ultimately caused the company's decline on both a personal and organizational scale. Lights Out details how one of America's all-time great companies has been reduced to a cautionary tale for our times. #BookRecommendation #GoodReads #Books #ReadingList #BookCommunity #BookLovers #Bookworm #NowReading #BookClub #Inspiration #Motivation #GrowthMindset #LifelongLearning #ThoughtProvoking #MustRead #BookOfTheDay #WeekendReads #PageTurner #TopPicks https://lnkd.in/gkrn63qB

Engineering and quality cannot be compromised. I see companies regularly try to transfer commercial risk to their suppliers and wipe their hands of responsibility in exchange for short term gains. In the end, the OEM ultimately pays the price regardless of what contracts say with suppliers. Really good engineering is actually the lowest cost option in the long run but short term thinking has a hard time financially justifying. It takes strong leadership to set the standard that there will be no compromise on engineering and quality. When you read about Jack Welch, his insights are often correct. He was an engineer turned executive. It looks like somewhere along the way, the implementation was wrong. https://lnkd.in/g7beZumX

The world’s most profitable public companies per employee…highlights ⬇️ 🇺🇸 The United States outrageously dominates with 13 companies in the top 20 or 7 out of the top 10 ⚡️Companies in the energy sector represent 40% of the top 20, Saudi Aramco tops the ranking with $1.65M/employee (38.6% more than second) 💻Technology companies represent 25% of the top 20, Nvidia tops the high tech ranking by claiming 4th position overall with $1.01M, more than double that of Google(rank 23rd)and Microsoft(rank 26th)… 📱Apple stands out with its 161,000 employees (more than double compared to second place Saudi Aramco) and makes a profit of $602,453 per employee, ranking 12th overall and demonstrating its remarkably profitable business model. 🇸🇪The first European company is Swedish, Investor AB ranks 10th… This Swedish group holds stakes in numerous listed Swedish groups (Seb bank, the defense group Saab, Electrolux, the Swedish-British pharmaceutical group Astrazeneca and Husqvarna) ❇️In addition to #Apple, Retail and e-commerce are also represented by #Pinduoduo (parent company of #Temu) and KKR which has invested in numerous retailers and brands via its PE branch… #profit #employee #retail #tech

“ A man who was richly rewarded for using financial engineering to goose his company's share price at the expense of its employees' jobs.” No long term total stakeholder value. Only short term personal…positioned as share holder value. Financial engineering adds no value beyond lined pockets. True across all industries and the CEOs responsible are not versed in the business beyond the script….only the mechanics of profit. It’s the last gasp of the Barbarians….Boeing maybe is the case that will bring an end to rewarding short term profit over, even, safety and life. We talk sustainability…financial markets mouth the phrase but don’t apply it to the entity…see the IRONY? Stand for long term value. Sustainability. Does not conflict with profit. To the contrary….over time should deliver more. Short term? Long Term? Where do you stand?

Really enjoyed this look into Larry Culp’s work as CEO of GE. How is he reshaping a 131-year-old industrial giant? - Simplifying and streamlining operations - Reducing massive debt - Embracing lean manufacturing There are plenty of universal lessons in Culp’s strategic commitment to a problem solving culture, making sure teams feel comfortable ‘tearing down monuments’, and that they sweat the small stuff and make improvements fast. “‘No one is perfect.’ That kind of talk might’ve gotten a Welch-era executive fired, but it’s part of Culp’s belief in continuous improvement that his team routinely parrots. This often manifests with seemingly small changes that can make a big impact on productivity over time. In one instance... Even something as small as reorganizing the toolboxes used by turbine repair technicians can make a big difference.” “[During kaizen events] executives and hourly workers dedicate a week to improve a production process... The goal is to come up with a solution by Friday and have the new process in motion on Monday.” “When Larry Culp shows up and wants to see how long your material’s been sitting on the factory floor, that simple gesture really sets a tone.”

Some reads for your Easter weekend about or for the top brass in business and the issues they need to care about. ⭐ AN EMPIRE DIVIDED - The inside story of how GE CEO Larry Culp dismantled a 131-year-old American giant https://lnkd.in/eWsz89vX (BUSINESSWEEK) ⭐ EXHAUSTED BY CONSTANT TRAUMA - What have 14 years of conservative rule done to Britain? https://lnkd.in/en4x_tzB (NEW YORKER) ⭐ SPEAK UP CULTURE? - CBI uses gagging clauses to prevent discussion of sexual misconduct claims https://lnkd.in/eYEZjEWm (GUARDIAN) ⭐ NEW DISCLOSURES - In a bumper year for CEO pay, one chief’s $161m award swells to $1.3bn https://lnkd.in/ef5GYRZg (WSJ) ⭐ TURMOIL AT THE TOP - How an anonymous letter caused chaos at McKinsey https://lnkd.in/eYUXe37y (TIMES) ⭐ VERY DIFFERENT - What’s it like to work for a Gen Z boss? https://lnkd.in/eZ6a37gp (WSJ) ⭐ SECURE THE FUTURE - Larry Fink calls on boomer generation to fix ‘retirement crisis’ https://lnkd.in/eRZtmJgr (BBG) ⭐ DEEP POCKETS - How Big Tech is winning the AI talent war https://lnkd.in/eMqHAgve (FT) ⭐ LEANER MACHINE - NatWest CEO shrinks executive team weeks after securing top job https://lnkd.in/e7zmAc7G (BBG) ⭐ COMPUTER SAYS NO - For young people, the job search has never been so miserable https://lnkd.in/e2zydtse (FT)

75 years of the Basic Law ('Grundgesetz') and the Federal Republic of #Germany – a significant moment in our history. For us at Siemens this is also a special moment to look back on the journey we have taken together during this time. #75YearsBRD ⚫️🔴🟡 The #history of this republic is inseparably linked with 75 years of our company's history. From post-war reconstruction and the economic miracle to #reunification and #DigitalTransformation, the events that have shaped Germany have also shaped us.🤝 #Siemens remains committed to core values: #respect, #tolerance, #openness, and #diversity. These values have made the company strong in the past and will continue to guide Siemens' actions in the future. ☮️🌈☯️🕊️ ❇️ More information about 75 years of the Federal Republic of Germany 🇩🇪 and Siemens 🏢 can be found here💡 👉 https://lnkd.in/g4WRYNJw #WeStandForValues #TransformTheEveryday #SiemensHistory