1 Caroline BIROS, Hanane EL JAMALI, Willy MARMUSE, Nicolas PETIT, François PITTET, Thomas ROMEYER HEC MS Management de Grands Projet

2 General Electric Presentation Born in 1892 from the merger of Edison General Electric company and Thomson- Houston company employees in more than 100 countries Turnover 2001:125.9 billions USD Profits 2001: 14,1 billions USD

3 General Electric Presentation 13 businesses in 3 types of product: –long cycle life (40% of profits : infrastructure technology and services: aircraft engines, medical systems…) –Short cycle life (20% of the profits: Industrial systems, consumer products, specialty materials…) –Financial services (40% of profits: commercial finance, consumer finance, insurance…)

4 GE Medical system Turnover 2001: 9 billions USD Leader in diagnostic and interventional medical imaging, in formation and services technology Products: X-ray, Functional imaging, radiology, cardiology, obstetrics… Centres of excellence: located in the Americas, Europe, Asia (more than 40 manufacturing facilities)

5 France & GE Medical system : History Commercialisation of US products GE + Airbus Airbus + Air France SNECMA + GE

6 France & GE Medical system: History Thomson GE CGR RCA GEMS GE-CGR europeenHeadquarter London Issy les moulineaux

7 France & GE medical systems : Today Issy les moulineauxBuc Opportunity: 15 Ha Excellence + Technology concentration The headquarter European (Europe, the Middle East, Africa) International (Asia, Australia) Global efficiency + Management skills

8 French characteristics: Opportunities French administration Possibility of state mobilisation for high interest projects (infrastructures, authorizations, …) Infrastructures Logistic + Telecom network U.E. + Euros (VS England) Strategic economic position

9 Localization in Europe Central position in the European continent Efficient Management Skills of managers Well trained Workforce Good qualification French characteristics: Opportunities

10 Good abilities to strategic change / flexibility Despite bad French image (strikes, 35h, …), government + population are able to be very reactive when needed. Capability in high + new technologies Modern development of technologies / sciences Quality of life Manager appreciate life in France French characteristics: Opportunities

11 French characteristics: Threats Disastrous international image 35H, RTT, strikes,.etc media aspect: French social change = a mess Cultural gaps between Firms / French people Problem of economical opening : Cultural misunderstanding of industry interests and development Union Action Political engaged Not enough oriented to a common employer-employee interest

12 French characteristics: Threats Facility / Taxes / Costs of benefits Complex, high, non uniformed, … Not motivating Administrative Relation Daily heavy management at mid-low level

13 Suggestion of improvements: Communicate on facts / realization. Put the stress on French state implications + efforts. Reduce the social fracture between companies and employees Reconcile population with « enterprise » Educate/train workforce to industry needs Encourage initiatives such as « invest in France » agency Get out from this “anti-enterprise spirit” image

14 Conclusion: comparison between GE’s criteria and others companies Criteria’s rank < 10% %> 40% Flexibility/ work law Social environment Administration Taxation burdens Internal Market Logistics Infrastructures Telecom Infrastructures Monetary stability Localization in Europe Quality of life Salary cost Subventions Expatriates Taxation Stock options Taxation Financial place Local centres of excellence Work force quality Strategic Threats Opportunities Critical handicap Average satisfaction rate Source: Ernst & Young, France je t’aime… moi non plus

15 Conclusion: comparison between GE’s criteria and others companies GE criteria’s rank < 10% %> 40% Social environment « French image » Taxation burdens Local administration Internal market Localization in Europe Infrastructure s National administration Quality of life Flexibility/ Work law Subventions Expatriates Taxation Stock options Taxation Financial place Local centre of excellence Strategic Threats Opportunities Critical handicap Satisfaction rate Work force Quality Euro zone Source: Ernst & Young, France je t’aime… moi non plus, used with GE’s information. Quality of management

16 Thanks We would like to thank: Francis BAILLY, National Executive GE France Sébastien DUCHAMP, GEMS International Corporate Communication Manager

17 Any Questions ?

18 Thank you for your attention