Ge Aviation’s Vision and Mission

Abstract

This paper explores several articles that report information regarding General Electric (GE) Aviation and their new location in Lafayette, IN. This information would include their vision/mission statement, overall strategy to maintain a competitive advantage, structure to meet customer demands, and specific environmental challenges. After examining the researched information and developing a better understanding of GE Aviation, recommendations will be made on the type of culture that needs to be created in order for the Lafayette facility to be successful. Suggestions will also be given on how to make sure goals/strategies are aligned with the organizational vision, strategy, and goals. The success of this report will be determined by whether or not there was a proper understanding of GE Aviation and if the recommendations/suggestions were appropriate for the vision and goals GE has for this new location.

GE Aviation’s Vision and Mission

GE Aviation is a world-leading provider of commercial, military and business and general aviation jet and turboprop engines and components as well as avionics, electrical power and mechanical systems for aircraft. GE has a global service network to support these offerings. GE and its customers are also working together to unlock new opportunities to grow and deliver more productivity beyond traditional services. Across GE, the GE Advantage is applied, which is an “approach to delivering high-performance products and services to solve [their] customers’ most pressing challenges.” (GE Advantage, 2016)

Their mission as stated within their annual report reads, “Providing our aviation customers with the most technologically advanced and productive engines, systems and services for their success.” (GE 2015 Annual Report, 2015, p. 40) The aviation mission correlates with GE’s overall vision to usher in the next industrial era.

GE Aviation is becoming a digital industrial business with its ability to harness large streams of data that are providing incredible insights and, in turn, deliver real operational value for customers. (Customer Support, 2015) GE Aviation is differentiating themselves through this digital industrial transformation and their position to be a leader in this movement. “The future of industry is digital.” This is the opening line in the announced Digital Industry Insider, which is a collaboration between GE and Business Insider Studios. The online publication focuses on stories around the intersection of industry and digital technology. (The Bike Shop, 2016, July 12) In addition to the publication, GE is using commercials launched for the 2016 summer Olympics that reinforce to the public, both their work as an industrial company in building world-changing machines, as well as the digital side of machines communicating. (The Bike Shop, 2016, Aug 12)

GE Aviation’s Strategy

The Aviation division’s strategy is to reshape its portfolio from a broad conglomerate to a more focused industrial leader. The portfolio goal for 2014-2016 is to achieve 75% of operating EPS from industrial businesses and to grow EPS each year, returning $50 billion to investors to repurchase shares in order to increase margins and returns. The company also plans to exit those businesses that are deemed to be non-strategic or that are underperforming or does not have a dominant market share. (Stephans, p. 3) This strategy can be achieved with the aid of their competitive advantages. These advantages include:

• Extensive financial resources

• State-of-the-art manufacturing technologies

• Excellent customer service

• Great product quality

• Safe manufacturing practices

GE has identified performance drivers that will move them toward their strategies of driving rigor, operational excellence, and enhanced customer value. These drivers include increasing speed to market, improving the quality of products and services, and reducing costs (GE Advantage, 2016).

GE Aviation’s Structure to Meet Customer Demands

GE Aviation has multiple channels of customers that include indirect customers, such as air passenger traffic which do not directly purchase from GE but benefit from their products, or direct customers such as government, military or business-to-business (B2B) contracts.

When it comes to meeting customer demands, GE’s digital industrial business is providing insights and operational value for their customers; unlocking opportunities to deliver more productivity beyond their traditional