Downsizing Strategies: Explained with examples and case study
Below are a few types of downsizing strategies: Attrition: Attrition involves not replacing employees when they leave. This is one of the least disruptive downsizing strategies and can be particularly effective when downsizing is part of a long-term strategy. However, there may be more efficient methods if rapid downsizing is needed.
Organizational Downsizing, Work Conditions, and Employee Outcomes
The present study found that some combinations of the nine out of 12 work conditions mediated the association of downsizing to the 16 employee outcomes. As discussed earlier, we found only one significant direct association of downsizing to employee anger. There were several noteworthy patterns of mediational effects.
Downsizing
Suzy Wetlaufer. Bob Peixotto. Jim Emshoff. Richard Manning. Gun Denhart. Saul Gellerman. Harry Denton, the CEO in this fictional case study, has been caught off guard. As the head of Delarks, a ...
Preserving Employee Morale during Downsizing
The Dark Side of Downsizing. The promised payoffs of downsizing have been mixed at best. One study found that (1) a 10 percent reduction in people resulted in only a 1.5 percent reduction in costs, (2) the average downsized firm's stock price rose 4.7.
Downsizing: Managing Redundancy and Restructuring
Introduction and Background. Employee downsizing is a term used widely to describe processes that result in the elimination of jobs from an organization and that are often accompanied by the dismissal of the job incumbents. A typical definition is 'a planned set of organizational policies and practices aimed at workforce reduction with the ...
Employee Downsizing
Downsizing as a management tool was first introduced in the US during the mid-20th century. It refers to the process of reducing the number of employees on the operating payroll by way of terminations, retirements or spin-offs. The process essentially involves the dismissal of a large portion of a company's workforce within a very short span of ...
Does Employee Downsizing Really Work?
Abstract. Over the past couple of decades, employee downsizing has become a fact of organizational life, not just in the U.S. but, increasingly so, in other countries, with unprecedented levels of downsizing occurring in several countries during the last recession. Seen as being inevitable in an increasingly competitive global marketplace, the ...
How to Slim Successfully and Ethically: Two Case Studies of ?Downsizing?
A model for managing "downsizing" in two organisations (one public sector and one private sector) which carried out programmes which substantially reduced personnel numbers is examined. The ...
A case study of workplace learning after the emotional impact of downsizing
The authors elected to study an energy company based in Oklahoma City that had experienced several downsizings over the previous 10 years. More recently, there had been a major restructuring on departments as a result of the downsizing. At the time of the study there were 400 employees. They carried out 30-60 minute semi-structured interviews ...
Causes and Effects of Employee Downsizing: A Review and Synthesis
As employee downsizing has become increasingly ubiquitous in recent years, the study of this phenomenon has assumed greater significance. This article develops an integrative framework that incorporates environmental and organizational antecedents as well as the implications of downsizing for individuals and organizations.
Employee Downsizing|Human Resource|Organization Behavior|Case Study
The case examines the increase in employee downsizing across the world in the late 20th and early 21st century. The case discusses in detail the downsizing concept and explores its positive and negative impact on both, organization and employees. The case also examines the 'best practices'regarding downsizing and the steps downsized employees need to take, to overcome the trauma of being ...
Preserving Employee Morale During Downsizing Case Solution And Analysis
Preserving Employee Morale During Downsizing Case Solution. As companies continue to downsize, they have to consider the best way to maintain their workers' morale to realize increases such as higher productivity and more flexibility. Those who survive layoffs and the supervisors who must implement those layoffs frequently show decreased commitment.
Downsizing for Optimizing Firm Efficiency Case Study
According to Ferrary, downsizing is an effective technique for any firm whose results are lower overhead costs, faster decisions, and increased production. He further clarifies that the main reason for downsizing is to improve its efficiency compared to its competitors (Ferrary, 2019). A business will grow if its revenues are high enough to ...
Effects of Downsizing Strategies on Employee Motivation: A Case Study
As employee downsizing has become increasingly ubiquitous in recent years, the study of this phenomenon has assumed greater significance. This article develops an integrative framework that … Expand
Employee Downsizing
Mob: +91- 9640901313, Ph: +91- 8417- 236667, Fax: +91- 8417- 236668. E-mail: [email protected]. Website: www.icmrindia.org. This case study is intended to be used as a basis for class discussion rather than to illustrate either effective or ineffective handling of a management situation.
Employee Downsizing at OYO in 2020
These included employee restructuring initiatives such as layoffs in early 2020. The case describes in detail the layoff process and the separation package and outplacement support services provided by OYO to employees who were let go. It also captures the dissatisfaction of the employees who complained of lack of transparency in the downsizing ...
People, performance and transition: A case study of psychological
Three of the many findings they identify are particularly relevant to our study: (1) the negative effects of downsizing on job involvement, satisfaction, and loyalty are mitigated by supervisor support, perceived control and empowerment, management trustworthiness, and perceptions of distributive justice as fairness; (2) employees' perceptions ...
The aftermath of downsizing: A case study of disengagement
The results indicated that corporate culture was incongruous with employee culture, thus impeding the downsizing process. Recommendations for management to correct this structural and process problem are given in addition to an action plan to implement all variables previously described in the literature and tested in this case study.
Downsizing and the Organizational Performance: A Case Study from a
The case explores in a comprehensive approach the downsizing process that took place at the EDU-X Center in 2011 and its impact on the stakeholders of the organization before, during, and after ...
Impact of Downsizing on Organizational Performance (Case study of
Restructuring or downsizing gives loss of highly skilled and reliable workers and causes decline. in customer services because employe es feel that th ey lack job securi ty after layoffs (Karl ...
Employee Downsizing at OYO in 2020
Employee Downsizing at OYO in 2020. In March 2020, India-based OYO Rooms (OYO), a provider of budgeted hotels, received a capital infusion of about US$807 million from SVF India Holdings and RA Hospitality . Also in March 2020, the company declared a reduction in its global workforce by about 5,000 to bring it down to 25,000, a 17% fall from ...
Downsizing in indian organisation case study on boeing company
When you provide job search support, employees feel better about handling such a situation. Step 7: Communicate with Staying Employees: Be honest and business like in your communication with staying employees. Share with them the business case for downsizing and the support that is being provided to downsized employees. Let them mourn.
Downsizing office space
Here are some reasons why it's a good idea both operationally and for your employees: Increasing commercial real estate prices. High office maintenance (supplies, utilities) costs. Poor office utilization - office space demand is often lower than available workspaces. 5/10 employees prefer hybrid work. Money saved on a smaller office space ...
COMMENTS
Below are a few types of downsizing strategies: Attrition: Attrition involves not replacing employees when they leave. This is one of the least disruptive downsizing strategies and can be particularly effective when downsizing is part of a long-term strategy. However, there may be more efficient methods if rapid downsizing is needed.
The present study found that some combinations of the nine out of 12 work conditions mediated the association of downsizing to the 16 employee outcomes. As discussed earlier, we found only one significant direct association of downsizing to employee anger. There were several noteworthy patterns of mediational effects.
Suzy Wetlaufer. Bob Peixotto. Jim Emshoff. Richard Manning. Gun Denhart. Saul Gellerman. Harry Denton, the CEO in this fictional case study, has been caught off guard. As the head of Delarks, a ...
The Dark Side of Downsizing. The promised payoffs of downsizing have been mixed at best. One study found that (1) a 10 percent reduction in people resulted in only a 1.5 percent reduction in costs, (2) the average downsized firm's stock price rose 4.7.
Introduction and Background. Employee downsizing is a term used widely to describe processes that result in the elimination of jobs from an organization and that are often accompanied by the dismissal of the job incumbents. A typical definition is 'a planned set of organizational policies and practices aimed at workforce reduction with the ...
Downsizing as a management tool was first introduced in the US during the mid-20th century. It refers to the process of reducing the number of employees on the operating payroll by way of terminations, retirements or spin-offs. The process essentially involves the dismissal of a large portion of a company's workforce within a very short span of ...
Abstract. Over the past couple of decades, employee downsizing has become a fact of organizational life, not just in the U.S. but, increasingly so, in other countries, with unprecedented levels of downsizing occurring in several countries during the last recession. Seen as being inevitable in an increasingly competitive global marketplace, the ...
A model for managing "downsizing" in two organisations (one public sector and one private sector) which carried out programmes which substantially reduced personnel numbers is examined. The ...
The authors elected to study an energy company based in Oklahoma City that had experienced several downsizings over the previous 10 years. More recently, there had been a major restructuring on departments as a result of the downsizing. At the time of the study there were 400 employees. They carried out 30-60 minute semi-structured interviews ...
As employee downsizing has become increasingly ubiquitous in recent years, the study of this phenomenon has assumed greater significance. This article develops an integrative framework that incorporates environmental and organizational antecedents as well as the implications of downsizing for individuals and organizations.
The case examines the increase in employee downsizing across the world in the late 20th and early 21st century. The case discusses in detail the downsizing concept and explores its positive and negative impact on both, organization and employees. The case also examines the 'best practices'regarding downsizing and the steps downsized employees need to take, to overcome the trauma of being ...
Preserving Employee Morale During Downsizing Case Solution. As companies continue to downsize, they have to consider the best way to maintain their workers' morale to realize increases such as higher productivity and more flexibility. Those who survive layoffs and the supervisors who must implement those layoffs frequently show decreased commitment.
According to Ferrary, downsizing is an effective technique for any firm whose results are lower overhead costs, faster decisions, and increased production. He further clarifies that the main reason for downsizing is to improve its efficiency compared to its competitors (Ferrary, 2019). A business will grow if its revenues are high enough to ...
As employee downsizing has become increasingly ubiquitous in recent years, the study of this phenomenon has assumed greater significance. This article develops an integrative framework that … Expand
Mob: +91- 9640901313, Ph: +91- 8417- 236667, Fax: +91- 8417- 236668. E-mail: [email protected]. Website: www.icmrindia.org. This case study is intended to be used as a basis for class discussion rather than to illustrate either effective or ineffective handling of a management situation.
These included employee restructuring initiatives such as layoffs in early 2020. The case describes in detail the layoff process and the separation package and outplacement support services provided by OYO to employees who were let go. It also captures the dissatisfaction of the employees who complained of lack of transparency in the downsizing ...
Three of the many findings they identify are particularly relevant to our study: (1) the negative effects of downsizing on job involvement, satisfaction, and loyalty are mitigated by supervisor support, perceived control and empowerment, management trustworthiness, and perceptions of distributive justice as fairness; (2) employees' perceptions ...
The results indicated that corporate culture was incongruous with employee culture, thus impeding the downsizing process. Recommendations for management to correct this structural and process problem are given in addition to an action plan to implement all variables previously described in the literature and tested in this case study.
The case explores in a comprehensive approach the downsizing process that took place at the EDU-X Center in 2011 and its impact on the stakeholders of the organization before, during, and after ...
Restructuring or downsizing gives loss of highly skilled and reliable workers and causes decline. in customer services because employe es feel that th ey lack job securi ty after layoffs (Karl ...
Employee Downsizing at OYO in 2020. In March 2020, India-based OYO Rooms (OYO), a provider of budgeted hotels, received a capital infusion of about US$807 million from SVF India Holdings and RA Hospitality . Also in March 2020, the company declared a reduction in its global workforce by about 5,000 to bring it down to 25,000, a 17% fall from ...
When you provide job search support, employees feel better about handling such a situation. Step 7: Communicate with Staying Employees: Be honest and business like in your communication with staying employees. Share with them the business case for downsizing and the support that is being provided to downsized employees. Let them mourn.
Here are some reasons why it's a good idea both operationally and for your employees: Increasing commercial real estate prices. High office maintenance (supplies, utilities) costs. Poor office utilization - office space demand is often lower than available workspaces. 5/10 employees prefer hybrid work. Money saved on a smaller office space ...