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From Desire to Implementation

Annika Steiber ()
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Annika Steiber: Menlo College

Chapter 13 in Leadership for a Digital World, 2022, pp 107-115 from Springer

Abstract: Abstract Here the author traces the initial stages of introducing Haier’s RenDanHeYi philosophy at GE Appliances (GEA). It was clear that RenDanHeYi would constitute a major disruption of GEA’s previous trajectory, which had focused on cost efficiency, and on maintaining product quality to protect the General Electric brand. Typically, such disruptions must be driven by a powerful force, and in GEA’s case there were two such forces: Haier’s leverage as the new owner, and the appointment of GEA’s former Technology VP Kevin Nolan as the new CEO. Using the analytic framework presented in Chap. 12 , we find that the new CEO first saw change as “desirable” because he was deeply worried about GEA’s course up to that time. Further, he and other senior leaders were persuaded that RenDanHeYi would be “feasible” at GEA since it had worked well at Haier in China, which like GEA made home appliances. Expert but “light-touch” guidance from Haier helped to move the process forward, as GEA’s leaders saw that RenDanHeYi would be implemented with their full participation and input, as opposed to being masterminded from above. Finally, GEA chose to implement RenDanHeYi company-wide without pilot testing, in order to move expeditiously.

Keywords: GE appliances; Haier; RenDanHeYi; Transformation; Disruptive change; Desirability of change; Feasibility of change; Implementation of change; Sustaining change (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:spr:mgmchp:978-3-030-95754-4_13

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DOI: 10.1007/978-3-030-95754-4_13

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