What must a CEO do to gain the employees' support, to persuade them to follow their lead, and to understand the company's vision and assimilate it? Jack Welch (photo), one of the most famous and controversial CEOs of all time, gave a simple answer: "Keep supporters close, and get rid of those who oppose you," he said yesterday in Bucharest, at an event organised by training programmes provider Qualians. A manager's biggest gain is to see people grow and develop. "Big people make big businesses, but big businesses don't make big people," explained Welch. One of the main beliefs of the man who was at the helm of General Electric for 20 years, and who brought the company from a market value of 14 billion dollars to 410 billion dollars, is the principle of differentiation. According to him, in each organisation, there are three categories of employees: the top performers, which account for 20% of the total number of employees, the middle category - 70%, and the weakest people in the organisation, which make up 10%. Welch calls this system "20-70-10". "Whatever happens, it is very important to take care of the top performing employees - the 20%," Welch told Romanian managers, and outlined that in all cases a CEO's concerns must lie with the company's best employees. Moreover, the weakest 10% must be removed from the organisation. "These employees pollute the company. They are not a neutral force, but one that pulls down the business," said Welch, who said he hates the argument that it is better to keep weak people in an organisation than to fire them and be left without employees.
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