Research Guidance. GE Global Research. Design for Breakthrough Research In an Academic Settings GCEP. November 11, 2005
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1 Research Guidance GE Global Research November 11, 2005 Design for Breakthrough Research In an Academic Settings GCEP
2 GE & Global Research Introduction GCEP Breakthrough Research Workshop Nov. 11,, 2005
3 GE Introduction 112-Year-Old, High-Tech, Growth Company $154 Billion in 2004 Revenues Only Company Listed in Dow Jones Index Today That Was in Original List in ,000+ Employees Worldwide 2004 GCEP Breakthrough Research Workshop Nov. 11,, 2005
4 Six business groups Infrastructure Industrial Healthcare Energy Consumer/Industrial Diagnostic Imaging Aviation Plastics Info Technologies Rail Oil & Gas Water Energy Financial Services Aviation Financial Services Equipment Leasing Silicones/Quartz Security Sensing Fanuc Inspection Techology Clinical Systems Services Bio Sciences
5 Six business groups Commercial Financial Services NBC/Universal Consumer Finance Leasing Network Personal Finance Insurance Entertainment Business Finance Real Estate Corporate Financial Services Healthcare Financial Services Sports/Olympics Europe Asia Americas Australia/New Zealand
6 GE Global Research Began in Schenectady, New York in 1900 Founded with the focus to improve businesses through technology One of the world s most diverse industrial labs Cornerstone of GE s commitment to technology c GCEP Breakthrough Research Workshop Nov. 11,, 2005
7 Global Presence Global Research Center Niskayuna, NY John F. Welch Technology Centre Bangalore, India China Technology Center Shanghai, China Global Research Europe Munich, Germany GCEP Breakthrough Research Workshop Nov. 11,, 2005
8 With a History of Innovation 1909 Ductile Tungsten 1913 Medical X-Ray 1932 Langmuir Nobel Prize in Chemistry 1942 First US Jet Engine 1952 LEXAN TM Polycarbonate 1955 Man-Made Diamonds 1973 Giaever Nobel Prize in Physics 1983 Magnetic Resonance Imaging 1995 GE90, The World s Most Powerful Jet Engine 1999 Digital X-Ray 2003 H Turbine GCEP Breakthrough Research Workshop Nov. 11,, 2005
9 Research Guidance
10 We are taking a new approach to solving some of our customers toughest environmental problems. We call it. GCEP Breakthrough Research Workshop Nov. 11,, 2005
11 xisting GE products make ecomagination a reality Renewable resources Our 3.6 MW turbine can power ~1,200 average U.S. homes. Water Technologies Helping customers conserve more than 3 billion gallons of water Nuclear New technology for emission free power generation Evolution The cleanest electric-diesel locomotive Cleaner coal GE s one-stop shopping for IGCC power generation Lighting & Appliances Energy Star Partner of the Year, 2004 GEnx engine A new generation of engine technology with profound environmental benefits H System Turbine Capable of achieving 60% efficiency efficiency. GCEP Breakthrough Research Workshop Nov. 11,, 2005
12 With new products right around the corner Hybrid locomotive Imagine a 40 ton Toyota Prius on rails Solar technologies Imagine powering your home with photovoltaic roofing tiles that convert the sun s rays into affordable electricity Solid oxide fuel cells Imagine powering 500 homes without releasing green house gases Solid state lighting Imagine a home with no light bulbs, illuminated by organic light emitting diodes for a fraction of the cost Hydrogen technologies Imagine a cost effective, scalable means of producing this clean burning fuel GCEP Breakthrough Research Workshop Nov. 11,, 2005
13 GE Businesses and GEGR One Team 13 Annual Strategic Business Reviews Growth play book growth priorities, role of technology, strategic collaborations Annual Operating Plan Reviews Next year s priorities, budgets Session T (echnology) Working meetings of GRC with Business Technology and Marketing Sr. Leaders to review GR new ideas and identify major new opportunities GE Proprietary
14 GE Businesses and GEGR One Team 14 Quarterly Review with Each Business CEO, Technology Leaders, Marketing Leaders Full Day of review of business projects, project decisions, market trends & technology discussions Quarterly Engineering Leader Meetings Foster synergies, share best practices, roll-out new cross business initiatives Business Program Office at GEGR Manage the linkage between Businesses and GEGR Exchange of People Between Businesses and Lab Nurture embedded innovation advocates leaders Integrated Business GR Operating Rhythm GE Proprietary
15 15 Organized for R&D effectiveness SVP Global Research Global Technology Organizations >Clear missions for each GTO >Distinct Centers of Excellence across the globe >Minimize overlaps in infrastructure, skills VP Adv Tech Programs Sustainable Energy Nanotech Biotech Global Tech Organizations Ceramics & Metallurgy Electronics & Energy Conv n Energy & Propulsion Business Program Offices GE Energy GE Oil & Gas GE Aircraft Engines $ People $ Next wave of inventions happen at Intersection of technical disciplines Advanced Technology Programs-IR&D Funding > Virtual Labs focused on long term, high impact technology developments >Seamlessly drawing on brightest global brains from across GEGR organizations >Strong Program Managers reporting to VP Business Program Offices- customer funding >Business Program Mgrs voice of customer at GEGR >Ensure right R&D portfolio and effective project execution >Leverage synergy across GEGR and GE businesses GE Proprietary
16 16 Managing the Portfolio for Success GEGR Effort Idea Discovery Feasibility Pre-NPI New Products Stage From idea to product Discovery to Feasibility: Technical concept demonstrated; Scientific principles understood Feasibility to Pre-New Product Introduction (NPI): Performance/cost potential demonstrated; Initial application concepts identified Pre-NPI to NPI: Major technical risks retired; Market opportunity validated Key Success Elements Explore options place big bets cut losses Look hard at alternate tech. solutions in Discovery Peer merit reviews of technology viability, competitiveness re alternatives, risk, time horizon Businesses / GEGR in synch on Feasibility priorities Manage risk Complete enabling materials and component development before launching system programs Subscale demos to prove out critical components Key optimize idea to- product yield GE Proprietary
17 Assessing Performance 17 GE CEO Perspective on GEGR Is GEGR filling the pipeline of new growth opportunities for the Businesses? Is GEGR providing technology to support key, next generation products? Is GEGR providing timely 911 response services for the businesses where needed? GE Proprietary
18 Assessing Performance-cont d GE GR Director Measurements 18 Driving growth Deliver on key growth programs Growth in Business funding Balancing big swings with meeting commitments Champion an external focus to understand changing markets and customer needs Leading technical organizations, with passion Be the employer of choice Drive functional depth in technical teams Find and retain the best talent; know the best people in the field Nurture engagement and innovation Ensure compliance, always Its all about making customer impact GE Proprietary
19
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