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Optimization focuses on efficiency, which drives short-term profits, but doesn’t build anything for the long term. Welch’s layoffs created profits, but undermined GE’s ability to build capacity. In 2001, after a lengthy succession process, Jeffrey Immelt was named Jack Welch’s successor and he began his star-crossed tenure. Yet while Welch’s rise marked a new era of shareholder capitalism, the new CEO at GE, Larry Culp has taken a different turn.

As David Gelles explains in, The Man Who Broke Capitalism, Welch increased profits largely by "financializing" the firm and operations suffered. It is not even enough to have warrants or identify yourself after you have barged in, it is abysmal that security agent would even break down people’s doors, or jump people’s fences in the first place.

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