CEO Jeff Immelt in Annual Letter to Shareowners: "We are transforming GE around the culture of Simplification."
GE today released its 2013 Annual Report, available at www.ge.com/annualreport. The title of the report is "Progress," also the theme of GE Chairman and CEO Jeff Immelt's letter to shareowners. "Progress is about getting better, being better, doing better; this is why GE people get up every day," Immelt writes.
Simplifying the Company is central to GE's progress, notes Immelt. "Simplification is making us more competitive. This is not a reorganization or an initiative. Rather, it defines the way we make decisions, work together and work with our customers. We are focused on efficiency, speed and market impact. We are driving decisions closer to markets and making our teams accountable for outcomes, not process."
In the letter, Immelt details GE's progress in:
- Delivering customer productivity: "We can draw on the 'GE store'--- gas turbine technology, aviation materials, healthcare imaging, global capability --- to solve customer problems."
- Linking the "iron and the data": "Our assets have sensors that produce a customized stream of performance data. We know that smart machines, guided by domain-based analytics, in a distributed setting, will drive new levels of productivity. We call this the Industrial Internet."
- Leading in advanced manufacturing: "We are a leader in advanced fabrication innovations like 3D printing, to lower product cost and drive speed. We are at the leading edge of robotics and automation. Our factories are smarter, more distributed and reconfigurable."
- Driving the "age of gas": "There are billions being invested in gas exploration, transportation and monetization to connect gas supply with demand. GE can participate in every step of the gas value chain."
- Delivering for investors: "Our total shareholder return expanded by 38% in 2013, ahead of the market. We added $64 billion of market cap and, at $282 billion, are the sixth most valuable company in the world. At year-end, we increased our dividend by 16%."
"I am investing right alongside of you," Immelt tells shareowners. "I have invested my entire bonus in GE stock and have purchased 145,000 shares so far this year. Like the rest of our leaders, I believe in GE."
Immelt concludes by highlighting GE leaders who embody the Company's progress. "Our team is excited and united," he writes. "We will execute the strategy: driving infrastructure leadership; investing in the innovation of efficiency; building competitive advantage; achieving a culture of simplification; and investing your cash wisely."
Distribution of printed annual reports and proxy statements begins this week in preparation for GE's annual shareowners meeting on Wednesday, April 23, 2014, in Chicago, Illinois.
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GE Corporate, Director Financial Communications
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