Ge Case Study

797 Words4 Pages
Write Summary section of Short Case Write-Up Five key employees of GE were released because they were stating their own business without company’s permission. The ABC Company is including one president and four offices or founders. They use the off-work hours to work on their own business in the company building. GE policy does not allow part time job that might cause opposition. Garfield thinks ABC could be a supplier for GE. GE’s Acting Vice President Mark Stone states that GE probably might no problem if their business is known and evaluated by company before they launch out. Stone has to make a decision of rehiring or confirming the release of five key employees. Stone should revise the company moonlighting policy with considering about approval, law and morality. Write Central Issue How GE might deal with employees who develop their own business. Recommended Course of Action The five key employees’ release should be confirmed and become a supplier for GE. Basis for Recommendation GE defends the company policy by confirming the five key employees’ release at once and may work with their company to improve production technology in the near future. Hirschman (2000) states that the main positive role of company’s moonlighting policy is communication between employees and managements, avoid employees’ unhealthy competition and protect company’s proprietary and important business information. Five key employees worked on their own business without the company’s permission is a dishonorable event for GE because it may cause a negative impact on the company’s reputation. If GE dose not fire the five key employees, the company will be considered to justify a fault which may hurt confidence of the investors causing the company’s stock prices to fall sharply. Thus, GE should deal with this problem directly and resolutely, bringing the situation
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