History of Jack Welch in Timeline
"Jack" Welch was an influential American business executive and chemical engineer who served as the Chairman and CEO of General Electric for two decades. His leadership and management style, often referred to as the "Welch Way," significantly impacted GE and the business world. During his tenure, he transformed GE into a global conglomerate, focusing on efficiency and shareholder value.
November 19, 1935: Birth of Jack Welch
John Francis Welch Jr. was born on November 19, 1935.
1957: Jack Welch Graduates from University of Massachusetts Amherst
Jack Welch graduated from the University of Massachusetts Amherst in 1957 with a Bachelor of Science degree in chemical engineering.
1960: Jack Welch Joins General Electric
Jack Welch began his career at General Electric in 1960 as a junior chemical engineer in Pittsfield, Massachusetts.
1960: Jack Welch Earns Master's and PhD in Chemical Engineering
Jack Welch furthered his education by obtaining both a master's and a PhD in chemical engineering from the University of Illinois at Urbana-Champaign in 1960.
1961: Jack Welch Considers Leaving GE
In 1961, Jack Welch contemplated leaving his position at General Electric due to dissatisfaction with his raise and the bureaucratic environment.
1963: Explosion at GE Factory Under Jack Welch's Management
In 1963, while under the management of Jack Welch, a significant event occurred at the GE factory when an explosion caused the roof to blow off, nearly resulting in his termination.
1968: Jack Welch Becomes Vice President and Head of GE's Plastics Division
Jack Welch's career at GE progressed significantly in 1968 when he assumed the role of vice president and head of the company's plastics division.
1971: Jack Welch Expands Role to Vice President of Metallurgical and Chemical Divisions
In 1971, Jack Welch's responsibilities at GE grew further as he took on the additional role of vice president of the company's metallurgical and chemical divisions.
1973: Jack Welch Appointed Group Executive at GE
Jack Welch's upward trajectory within GE continued in 1973 when he was promoted to the position of group executive.
1977: Jack Welch Takes Charge of Consumer Products and Services Division
In 1977, Jack Welch assumed a significant role at GE by becoming the senior vice president and head of the Consumer Products and Services Division, a position he held for two years.
1979: Jack Welch Becomes Vice Chairman of GE
Jack Welch achieved another milestone in 1979 when he was appointed as the vice chairman of GE.
1980: GE's Workforce at the End of 1980
At the close of 1980, General Electric had a total of 411,000 employees.
1980: GE's Revenue in 1980
In 1980, the year before Jack Welch took over as CEO, GE generated revenues of approximately $26.8 billion.
1981: Jack Welch becomes CEO of General Electric
In 1981, Jack Welch became the youngest Chairman and CEO of General Electric.
1981: Jack Welch's "Growing Fast in a Slow-Growth Economy" Speech
In 1981, Jack Welch delivered a significant speech in New York City titled "Growing fast in a slow-growth economy," outlining his vision for GE's future.
1982: Jack Welch Restructures GE Management
In 1982, a year into his tenure as CEO, Jack Welch initiated a major restructuring of GE's management, aggressively simplifying and consolidating the existing structure that was largely established by his predecessor, Reginald H. Jones.
1982: Jack Welch Receives Honorary Doctorate from UMass Amherst
In recognition of his accomplishments, Jack Welch was awarded an honorary Doctor of Science degree from his alma mater, the University of Massachusetts Amherst, in 1982.
1985: GE's Workforce at the End of 1985
By the end of 1985, the number of employees at General Electric had been reduced to 299,000.
1986: GE Acquires RCA
In a strategic move, GE, under the leadership of Jack Welch, acquired RCA in 1986.
1987: Divorce from First Wife
Jack Welch and his first wife, Carolyn, divorced amicably in 1987 after 28 years of marriage.
April 1989: Second Marriage
Jack Welch married Jane Beasley, his second wife, in April 1989.
1991: Jack Welch Emphasizes Succession Planning
In 1991, Jack Welch publicly emphasized the importance of succession planning, stating that choosing his successor was the most crucial decision he faced.
1991: Jack Welch Chairs The Business Council
Jack Welch held a prominent position in the business world as Chairman of The Business Council in 1991.
1992: Jack Welch Chairs The Business Council (continued)
Jack Welch's tenure as Chairman of The Business Council extended into 1992.
1995: GE Implements Six Sigma
In late 1995, Jack Welch made a significant decision to implement Motorola's Six Sigma quality program at GE.
1996: Welch's Retention Package
In 1996, Jack Welch agreed to a retention package with GE that included various benefits and perks even after his retirement. This agreement attracted media attention.
1998: Critics Question Jack Welch's Management Style
In 1998, BusinessWeek reported on criticisms directed at Jack Welch's management style, with some questioning whether the intense short-term performance pressure he placed on employees might have contributed to subsequent scandals involving defense contracts and the Kidder, Peabody & Co. bond-trading scheme in the early 1990s.
1999: Jack Welch Named "Manager of the Century"
Jack Welch's exceptional management skills earned him the prestigious title of "Manager of the Century" by Fortune magazine in 1999.
2000: End of Welch's Tenure at GE
By the end of Jack Welch's tenure as CEO of General Electric in 2000, a hypothetical investment of $100,000 in GE shares at the start of his term would have significantly declined in value.
2000: GE's Revenue in 2000
By 2000, the year before Jack Welch retired, GE's revenue had increased significantly to nearly $130 billion.
September 11, 2001: September 11 Attacks Impact GE
Jack Welch acknowledged that the September 11, 2001, terrorist attacks had a significant impact on GE's performance under his successor, Jeff Immelt.
2001: Jack Welch retires from General Electric
After leading the company for two decades, Jack Welch retired from his position as CEO of General Electric in 2001.
2001: Scrutiny of Welch's Compensation
During his divorce from his second wife in 2001, Jack Welch's income and assets came under intense scrutiny. This led to an SEC investigation into his employment contracts with GE.
2001: Jack Welch Retires, Believes Legacy Will Be Determined by GE's Future Performance
Upon his retirement from GE in 2001, Jack Welch expressed his belief that his effectiveness as CEO for two decades would be judged by the company's performance under his successors for a similar period.
2002: Affair and Resignation
Suzy Wetlaufer's affair with Jack Welch while she was editor-in-chief of the Harvard Business Review came to light in 2002, leading to her resignation.
2003: Divorce from Second Wife
Jack Welch's second marriage to Jane Beasley ended in divorce in 2003.
April 24, 2004: Third Marriage
Jack Welch married Suzy Wetlaufer on April 24, 2004.
September 2004: CIA Parody
In September 2004, the Central Intelligence Agency released a humorous parody imagining Jack Welch applying his management style as the Deputy Director of Intelligence.
2005: Co-authoring "Winning"
Suzy Welch co-authored the book "Winning" with Jack Welch in 2005.
2005: GE's Classification and Financial Performance
In 2005, there were discussions about GE's classification in the Fortune 500 and observations about the lower price-earnings ratios in the financial services sector compared to GE.
2005: Publication of "Winning"
Jack Welch co-authored the book "Winning" with Suzy Welch in 2005, which achieved significant success as a bestseller.
January 25, 2006: Naming of Sacred Heart University's College of Business
On January 25, 2006, Sacred Heart University's College of Business was named the "John F. Welch College of Business" in honor of Jack Welch.
September 2006: Teaching at MIT Sloan School of Management
Starting in September 2006, Jack Welch began teaching a leadership class at the MIT Sloan School of Management.
2006: Jack Welch's Net Worth Estimated at $720 Million
In 2006, Jack Welch's net worth was estimated to be $720 million.
2008: Welch's Renunciation of Benefits
In a 2008 interview, Jack Welch stated that he had given up the benefits outlined in his 1996 retention agreement with GE in response to public criticism.
2008: Welch's Views on Shareholder Value
In a Financial Times interview during the 2008-2009 global financial crisis, Jack Welch expressed his views on shareholder value, stating that it is a result of good business practices, not a strategy in itself.
November 2009: Comcast Acquires NBC Universal
Comcast completed its acquisition of NBC Universal from General Electric in November 2009, a deal satirized in a "30 Rock" episode featuring Jack Welch.
November 2009: End of BusinessWeek Column
Jack and Suzy Welch ended their popular BusinessWeek column, syndicated by The New York Times, in November 2009.
2009: Jack Welch Receives Honorary Doctorate from UCLA
Jack Welch's contributions were further acknowledged in 2009 when he received an honorary doctorate from the University of California, Los Angeles.
2009: Welch's Perspective on Business Priorities
During the financial crisis of 2008-2009, Jack Welch emphasized the importance of employees, customers, and products as primary constituencies in business, suggesting that shareholder value naturally follows from taking care of these stakeholders.
2009: Founding of the Jack Welch Management Institute
Jack Welch established the Jack Welch Management Institute (JWMI), an online executive MBA program, in 2009.
March 11, 2010: Welch's Cameo on "30 Rock"
On March 11, 2010, Jack Welch made a cameo appearance as himself in an episode of the NBC sitcom "30 Rock," satirizing the 2009 acquisition of NBC Universal by Comcast.
2010: Allegations of Data Manipulation Debunked
A New York Post article suggested manipulation of unemployment survey responses by an individual in 2010. However, the article was widely debunked as the employee in question had not worked at the Bureau since 2011, and no evidence of systematic manipulation was found.
2011: Acquisition by Strayer University
Strayer University acquired the Jack Welch Management Institute in 2011.
2011: Employee Departure from Bureau of Labor Statistics
The employee accused of manipulating unemployment data in 2010 had left the Bureau of Labor Statistics in 2011, further discrediting the allegations of data manipulation.
January 2012: Column for Reuters and Fortune
Jack and Suzy Welch started a biweekly column for Reuters and Fortune in January 2012.
September 2012: Jack Welch's Criticism of Job Numbers
In September 2012, Jack Welch publicly questioned the legitimacy of the U.S. unemployment rate figures released by the Bureau of Labor Statistics, sparking controversy and accusations of political motivation.
October 9, 2012: Departure from Reuters and Fortune Column
Both Jack and Suzy Welch left their positions as columnists for Reuters and Fortune on October 9, 2012.
2012: Break with Fortune and Reuters
Jack Welch and his wife, Suzy Welch, ended their association with Fortune magazine and Reuters in 2012 following critical articles published about Welch's comments on economic statistics and job losses at GE during his tenure.
2014: GE Capital Settlement and Restructuring
GE Capital, the financial services branch of GE, agreed to a significant credit card discrimination settlement in 2014. This event highlighted concerns about the company's practices during Welch's tenure and led to regulatory changes.
2015: Relevance of Welch's Management Approach
In 2015, a Harvard Business Review article argued that despite changing business landscapes, Jack Welch's approach to breaking down organizational silos remained relevant and effective, citing examples of engineering companies benefiting from his methods.
December 2016: Joining Trump's Business Forum
Jack Welch joined a business forum formed by Donald Trump, then president-elect, in December 2016 to provide advice on economic matters.
2016: Renaming of the College of Business
The "John F. Welch College of Business" at Sacred Heart University was renamed the "Jack Welch College of Business" in 2016.
2016: JWMI Recognition and Rankings
The Jack Welch Management Institute received recognition for its online MBA program, being named a top business school and achieving high rankings.
2017: New York Times Critiques GE's Performance Under Welch and Immelt
In 2017, The New York Times published a critical analysis of GE's performance, suggesting that the company's stock price was overvalued during Welch's tenure due to the growth of the financial services sector. The article also highlighted the decline of the conglomerate in the 16 years under Immelt's leadership.
2017: JWMI Ranked Among Top Online MBA Programs
The Princeton Review ranked JWMI's MBA program among the Top 25 Online MBA Programs in 2017.
2018: JWMI Maintains Top Ranking
JWMI's online MBA program continued to be recognized as one of the Top 25 Online MBA Programs by The Princeton Review in 2018.
2018: Welch's Remarks on Financial Culture
In 2018, Jack Welch discussed the financial culture of Kidder, Peabody & Co., a company he acquired during his time at GE. He reflected on their short-term bonus-driven approach.
2018: Inflation Adjustment of Jack Welch's Starting Salary
In 2018, Jack Welch's starting salary of $10,500 in 1960 would be equivalent to approximately $90,000, adjusted for inflation.
2018: Appointment of H. Lawrence Culp Jr. as GE CEO
H. Lawrence Culp Jr. was appointed as the CEO of General Electric in 2018, becoming the fourth CEO since Jack Welch's departure and leading the company through a period of significant transformation.
2019: JWMI's Continued Success in Rankings
In 2019, The Princeton Review once again included JWMI's online MBA program in its list of Top 25 Online MBA Programs.
March 1, 2020: Death of Jack Welch
Jack Welch passed away on March 1, 2020.
2020: JWMI's Consistent Excellence
JWMI's online MBA program maintained its position among the Top 25 Online MBA Programs according to The Princeton Review in 2020, highlighting its consistent quality.
2021: Decline in GE Share Value
By 2021, a $100,000 investment in GE shares made in 2000, near the end of Jack Welch's time as CEO, would have lost a substantial portion of its value.
2021: General Electric's Restructuring Plan
In late 2021, General Electric, under the leadership of H. Lawrence Culp Jr., announced plans to separate into three independent public companies focusing on aviation, healthcare, and energy, marking a significant shift from its conglomerate structure.
2022: Critique of Welch's Business Practices
Author David Gelles, in 2022, argued that Jack Welch's business practices, while celebrated by some, contributed to widespread negative consequences for corporate America.