1) EXECUTIVE SUMMARY
3) QUESTION 1
1.1 - Downsizing Techniques and Increasing Use of Downsizing 1.2 - Positive and Negative Effects of Downsizing
1.3 - Workplace Violence
4) QUESTION 2
2.1 - Flexible Work Arrangements and Contingent Employment
5) QUESTION 3
3.1 - Measures to Adopt in Ensuring the Success of Downsizing 3.2 - How Employees are going to Prepare for Downsizing
3.3 - Methods to Maintain the Motivational Level of Survivors of the Downsizing. 6) CONCLUSION
This topic talks about downsizing. We will be talking about the concept of downsizing and the various techniques and methods used in downsizing. The key areas that will be covered are positive and negative effects of downsizing, workplace violence during downsizing and how workplace violence can take place and how can we avoid workplace violence. We will also be covering the alternative methods to downsizing which is contingent employment and flexible work arrangements. We will also be covering on what are the measures to adapt in ensuring the success of the downsizing exercise, how the employees are going to face this downsizing and the methods used to maintain the motivational level of the survivors of this downsizing exercise.
For this assignment, I have done a research on numerous journals and articles that are related to downsizing and also workplace environments. These articles have really helped me in understanding the terms and also seeing downsizing in many perspectives. I have also done some research on how the human resource department plays it role in downsizing. In the conclusion, we can see how companies can gain and make sure that the downsizing activity does not end up being a failure.
Downsizing refers to layoffs initiated by a company in order to cut labour costs by reducing the size of the company. Downsizing can occur at any time, but becomes epidemic in difficult economic times. Downsizing is a reduction in the number of employees, and sometimes in the number of operating units. Downsizing can also be classified as reducing operations though not necessarily the composition of the firm, usually cutting the size of the workforce. This may result from technological advancements, economic conditions or reduced demand and is frequently cost-driven. In a business enterprise, downsizing is reducing the number of employees on the operating payroll. Some users distinguish downsizing from a layoff, with downsizing intended to be a permanent downscaling and a layoff intended to be a temporary downscaling in which employees may later be rehired. A lot of companies have been retrenching their workers lately and this is part of their downsizing exercise.
Businesses use several techniques in downsizing, including providing incentives to take early retirement and transfer to subsidiary companies, but the most common technique is to simply terminate the employment of a certain number of people. Rightsizing is downsizing in the belief that an enterprise really should operate with fewer people.
All the techniques and methods used in downsizing is to reduce the number of workforce and therefore reduce costs. But organizations need to also look into other elements of downsizing and must also know what are the negative aspects and also about the employees reaction.
1.1 - Downsizing Techniques and Increasing Use of Downsizing Downsizing is undertaken to reduce labour costs and to streamline organizational operations. Downsizing is also a result from mergers and acquisitions in which the resulting company is plagued with redundant functions. Downsizing became a tool to reduce costs, improve productivity and increase profitability. Downsizing has been increasing lately and there are many reasons for this. Companies claim that worldwide economic slowdown during the late 1990s had forced them to downsize, cut...