Jack Welch and The 4 Es of
Leadership: How to Put GEs
Leadership Formula to Work in Your
Organizaion by Jeffrey Krames
A Brilliant Synthesis, Eloquently Expressed
Proven leadership lessons from the author of the international bestseller
The Welch Way
Techniques Jack Welch used to create great leaders and drive
unprecedented financial performance
Jack Welch and GE used the celebrated 4e model to measure
leadership potential and enhance profitability at every level of the
organization. Jack Welch and the 4 Es of Leadership delivers a thought-
provoking and in-depth analysis of this signature model. Pragmatic and
handson, it explains how the model helped Welch to consistently spot 4e

leaders--individuals with energy, the ability to inspire others, and the talent
to consistently make the difficult decisions and meet financial goals.
Jack Welch and the 4 Es of Leadership reveals how the 4e model
helped GEs best and brightest eliminate bureaucracy, hire and promote
energetic people, find new ways to increase the organizations customer-
centricity, and more. Beyond the nuts and bolts of the 4e model, however,
it outlines a step-by-step blueprint anyone can follow to stock an
organization with performance-ready leaders and leaders-in-training.
Examples include:
How to recognize and encourage each of the 4es--Energy,
Energizers, Edge, and Execute Leadership theories of Drucker, Senge,
and others, and how they support and validate Welchs 4e model Seven
rules for successfully driving change, and leveraging it to gain long-term
competitive advantage Leadership lessons of the 4e all-star executive
team Valuable implementation insights on virtually every page, along
with a 4e leader to-do list Jack Welch is universally recognized as the
greatest CEO of his era. In Jack Welch and the 4 Es of Leadership,
bestselling author Jeffrey A. Krames examines Welchs seminal 4e
leadership model and provides a penetrating and uncompromising look at
how to recognize and develop authentic leaders.
Personal Review: Jack Welch and The 4 Es of Leadership: How
to Put GEs Leadership Formula to Work in Your Organizaion by
Jeffrey Krames
I greatly admire Krames's previous books, notably The Welch Way: 24
Lessons From The World's Greatest CEO and What the Best CEOs Know:
7 Exceptional Leaders and Their Lessons for Transforming Any Business.
He is an exceptionally clear and insightful thinker. In this volume, Krames
focuses on the "4E Leadership Model," an abbreviation of "The GE
Authentic Leadership Model" which Welch introduced to GE almost ten
years ago. Previously, Welch had stressed Head, Heart, and Guts.
Eventually, he recognized the need for a more fully developed concept
which could guide and inform the development of leaders within the GE
organization. It should also be noted that he hired Noel Tichy to head up a
management training center for GE to which Welch then committed about
20% of his time.
Welch believed that there are essentially three different types of leaders:
Type A's live the values and make the numbers, Type B's live the values
but do not always make the numbers, and Type C's do not live the values
but may make the numbers. To Welch, the A's were GE's "best and
brightest," the B's were the ones who received the most intensive training,
and (with very few exceptions) C's were strongly advised to seek new

career opportunities elsewhere. Welch discusses all this in his own
recently published book, Winning. Here are some brief excerpts:
"The first E is positive energy. For example, they start the day with
enthusiasm and usually end it that way too, rarely seeming to tire in the
middle. They don't complain about working hard; they love to work. They
love to play. People with positive energy just enjoy life.
"The second E is the ability to energize others. Positive energy is the ability
to get other people revved up. People who energize can inspire their team
to take on the impossible -- and enjoy the hell out of doing it. In fact,
people would arm wrestle for the chance to work with them.
"The third E is edge, the courage to make tough yes-or-no decisions.
[Those with edge] know when to stop assessing and make a tough call,
even without total information.
"The fourth E is execute -- the ability to get the job done.... It turns out you
can have positive energy, energize everyone around you, make hard calls,
and still not get over the finish line. Being able to execute is a special and
distinct skill. It means a person knows how to put decisions into action and
push them forward to completion, through resistance, chaos, or
unexpected obstacles. People who can execute know that winning is about
results.
What else?
"Passion! By that I mean a heartfelt, deep, and authentic excitement about
work. People with passion care -- really care in their bones -- about
colleagues, employees, and friends winning. They love to learn and grow,
and they get a huge kick when people around them do the same. The
funny thing about people with passion, though, is they usually aren't
excited just about work. They tend to be passionate about
everything!...they just have juice for life in their veins."
Krames does a brilliant job of organizing and presenting material in such a
way that his reader can more easily understand it and, of greater
importance, then put it to effective use. Krames agrees that "winning is
about results" and does all he can to help his reader understand both the
WHY and the HOW of "The Four E's of Leadership." He offers a self-audit
in the Introduction (pages 18 and 19) followed by the first of several "4E
Leader to Do" lists with which Krames concludes each of the chapters in
Part I.
In Part II, he shifts his attention to "Leadership Lessons" to be learned from
five of GE's "4E All-Stars": Jeff Immelt, James McNerney, Larry Bossidy,
Robert Nardelli, and Vivek Paul. He devotes a separate chapter to each,
again concluding all of the five chapters with an appropriate "4E Leader to
Do" list. Yes, almost all of the material which Krames discusses can be

found in other sources, including Welch's book and others written by
Krames as well as Robert Slater's Jack Welch & The G.E. Way:
Management Insights and Leadership Secrets of the Legendary CEO.
What makes this book so valuable is the fact that, as indicated earlier,
Krames presents the material within a framework which helps the reader
not only to understand the core leadership concepts but also to understand
HOW to apply them effectively within her or his own organization.
One final point: Welch and Krames would be among the first to point out
that there is no one "formula" which guarantees business success.
However, the one which has proven so successful at GE affirms values
and suggests core concepts, strategies, and tactics which -- if properly
understood and then effectively applied -- can substantially assist the
achievement of such success.
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