The 2006 Forte Corporate Best Practices Summit

Cathy FriersonGE Energy Financial ServicesMay 3, 2006

•Intense Performance Culture

•Shared Values and Growth Traits

•Disciplined and Rigorous Process

GE…

Core business processes

CECCECCECCECC-DebriefC-Debrief CECCEC

GlobalLeadershipMtg. (GLM)

GlobalLeadershipMtg. (GLM)

CorporateExecutiveCouncil(CEC)

CorporateExecutiveCouncil(CEC)

Session CDevelopment& Succession

Session CDevelopment& Succession

Session DComplianceSession D

Compliance

Session CFollow UpSession CFollow Up

GrowthPlaybookGrowth

Playbook

C-IIFollow Up

C-IIFollow Up

GE GE OpinionOpinionSurveySurvey

SEBSEBOrientatioOrientatio

nnMeetingMeeting

S-IIOperating

Plan

S-IIOperating

Plan

April June August October December

March May July SeptemberJanuary November

February

CorporatCorporatee

OfficersOfficersMtg Mtg

(COM)(COM)

GE Operating System…Performance GE Operating System…Performance CultureCulture

Leadership meetings

Key Development Process … Session C

Focuses both on the individual + the company

Individual

– Feedback–

Development

– Career

Company

– Organization

– Leadership– Initiatives

Who• GE Leaders own the process ... HR leaders deeply involved• Leaders committed to developing themselves and others

What• Review of individuals and organizations

– Individuals > accomplishments, strengths/development needs, career– Organization > structure, succession plans, pipeline

• Progress on key initiatives

When

Where• At the business location ... significant leadership interaction

How• Company wide digitized process

The Session C Process

1Q• Bottom up• EMS reviews• Org. reviews

2Q• CEO visits/Leadership reviews• C Wrap up• CEC debrief

3Q• Follow up reviews• BOD Committee review [MDCC]

4Q• C-II prior to S-II• Full BOD review

1. Business Leadership•Direct Report organization chart•Overall rating/promotability - Officers & SEBs•Succession Plan for direct reports•Organization restructuring plans

2. Pipeline•Overall rating/promotability - EBs•VP and SEB potentials•Diverse representation and trend•Retention initiatives•Training nominations

3. Growth & Culture•Commercial Excellence•Globalization•“Expert Paths” in Careers•Growth Leaders

Business Session C Agenda

Consistent agenda… Discussion varies by

business needs

EMS-2EMS-2 EMS-3EMS-3

Session C Begins With 2 FormsSession C Begins With 2 Forms

People have an obligation for continuous improvement as well as the organization

9 Block

POTENTIAL

OV

ER

ALL R

ATIN

G

TopTalent

HighlyValued

LessEffective

High Medium Low

Driving Growth … leadership, capability & process

Growth … As a Person & GE Leader

Growth … As a Business Process