After selling the controlling stake in NBC Universal, General Electric adjusted its business structure to its present state, consisting of seven business divisions: (Seven business divisions of General Electric)
1. GE's global growth and; Operation)
It was formally established in August 20 1 1. Headquartered in Hongkong, headed by John Rice, the second person and vice chairman of General Electric, it is responsible for managing the global business development outside the United States, allocating funds and developing high-growth markets (such as China).
The reason why it is necessary to set up a special department to strengthen business management in high-growth markets is because GE is increasingly dependent on sales revenue and business drivers from high-growth markets. As shown in the following figure, in the past ten years, the contribution of high-growth market in the income of GE industrial sector (excluding GE finance) has been rising continuously, from the initial 18% to 20 1 1 37%.
(The proportion of revenue in high-growth markets is rising, source: General Electric)
In 20 1 1 year, GE's three main businesses (medical care, aviation and energy) all increased by more than 20% in China market, and a joint venture company was established with Huadian Group in Shanghai (aviation modified gas turbine is the core equipment of distributed energy power generation system, which is improved from the core engine of GE aero-engine, using natural gas as fuel, which can provide a useful supplement for large power grid.
According to official data, GE has achieved rapid development in high-growth markets, driven by global growth and business headquarters. In the past six months, the total orders from high-growth markets exceeded $654.38+08 billion. (In the past six months, GE received orders of more than $654.38+08 billion in high-growth markets. Source: GE).
The chart below shows the revenue contribution of high-growth markets in the five major industrial sectors of GE. Nearly half of the revenues of GE Energy Group and GE Transportation System Group come from high-growth markets, accounting for the highest proportion.
(The proportion of income from high-growth markets in GE's industrial sector, source: Goldman Sachs)
2. General Energy Group
In the past decade, through internal growth and mergers and acquisitions, GE Energy Group's business has expanded from power generation equipment manufacturing to power generation equipment (including distributed energy power generation equipment), water treatment, smart grid, oil exploitation, natural gas exploitation (including shale gas), liquefied natural gas (LNG) production and storage, fluid technology development and energy solution provision. On the basis of the original high-power gas turbine, combined cycle steam turbine and aviation modified gas turbine, its product line has also added wind turbines, gas internal combustion engines, submarine oil mining equipment, natural gas mining equipment, water treatment technology, LNG storage and transportation technology, and thin film photovoltaic technology.
In 2002, the revenue of GE Energy Group also relied heavily on the single product type of US+gas turbine, accounting for 44% of the revenue. 20 1 1, the proportion has dropped to 9%. New markets, new businesses, new products (and related services) have become the main source of income and the driving force for growth. Taking wind turbine manufacturing as an example, in the 20 10 ranking of global wind turbine manufacturers, GE Energy ranked third, second only to Danish Vistas and China Huarui Wind Power, occupying most of the wind power market in the United States.
(Income composition of General Electric Energy Company, source: General Electric)
At present, the business of GE Energy Group is mainly divided into three parts:
-Power generation equipment and water treatment business (electric power &; Water)
-Oil and gas business (oil&; Gas)
-Energy service business (energy service)