Chapter 26, "New Guy" Summary and Analysis

Picking a successor is Jack's most difficult task. He begins the process 7 years before he is due to retire. He approaches the process differently from the business-centric model used when he was selected. His primary goal is to 1) be sure his successor is GE's unquestioned leader, 2) take the politics and divisiveness out of the process, 3) deeply involve the board, so they will be united behind one person, and 4) pick someone young enough that he or she will be in the position for at least a decade; time enough for the CEO to live with his or her decisions and mistakes. Most important, Jack wants to take the politics and divisiveness out of the process.

The task of selecting 23 candidates to be Jack's successor begins in 1994. Eight remain by June 1998. The basic criteria are narrowed to...