Extract from Terry Deal and Allan Kennedy , in “ Corporate Culture “ :-

 

When Jack Welch was an up - and – coming group executive, he had a special telephone installed in his office with a private number which was made available to all the purchasing agents in his group. If an agent ever got a price concession from a Vendor, he could call Welch and the call would come in on his telephone. Whether he was making a million – dollar – deal or chatting with his secretary, Welch would interrupt what he was doing, take the call and say, “ That’s wonderful news; you just knocked a nickel per ton off the price of steel.” Then, straight way, he’d sit down and scribble out a congratulatory note to the agent – a profoundly messy and ambiguous motivational procedure. But Welch not only made himself a hero by the symbolic act, he also transformed each and every purchasing agent into a hero, too.

 

[Later, Deal and Kennedy go on to analyze what went on. ]

 

Welch could have attacked the problem of high cost in a number of ways. He could have appointed a task force to study the problem and come up with a solutions. Or he could have hired a  consultants to do the same. Or he could have reassigned his best managers to head up the purchasing function. What he chose to do was, install a telephone in his office. Suppose no one called? Suppose people called but the impact on purchasing costs was negligible?

 

It took COURAGE to pursue such unconventional, culture-reinforcing approach to the problem- the COURAGE to trust others in the culture to do the right thing!