By Kenneth P. De Meuse, Mitchell Lee Marks, Eduardo Salas
The company global resides via a few attention-grabbing and demanding instances. In present day global, to be able to live on or stay aggressive, organisations needs to proceed to evaluate their organizational recommendations, constructions, and practices. altering and adapting to exterior pressures and industry shifts is now (and will stay) an relevant. it's a needs to; survival is determined by it.As a end result, businesses restructure, downsize, re-engineer, merge, search monetary protections, or shape alliances. this may basically be performed if firms stay agile, proactive, clean, and advertise cutting edge managerial practices. the foremost to good fortune the following seems what executives imagine and do. What activities they take and why. as a result, executives—while looking, constructing, and executing managerial strategies—must be guided (one could imagine and wish) by means of sound confirmed ideas of management, organizational switch, and human source practices.
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Extra resources for Resizing the Organization Managing Layoffs,Divestitures, and Closings Maximizing Gain While Minimizing Pain
One in every four ﬁrms contracted out an entire function (Marks, 1993). In addition, health care costs incurred by organizations rise for both victims and survivors of resizings. It is easy to see how health care costs can increase for transition casualties. The psychological trauma of losing one’s position triggers psychosomatic ailments. Moreover, early retirees have more time on their hands and, as a result, more time to visit a health care provider and ring up expenses. Not so obvious—but equally costly—are increased health care costs for the survivors, who also are subjected to the psychosomatic effects of intense stress on the job.
Bergmann, T. , & Vanderheiden, P. A. (1997). Corporate downsizing: Separating myth from fact. Journal of Management Inquiry, 6, 168–176. De Meuse, K. , & McDaris, K. K. (1994). An exercise for managing change. Training and Development Journal, 48(2), 55–57. De Meuse, K. , & Tornow, W. W. (1990). The tie that binds—Has become very, very frayed! Human Resource Planning, 13, 203–213. De Meuse, K. , Vanderheiden, P. , & Bergmann, T. J. (1994). Announced layoffs: Their effect on corporate ﬁnancial performance.
One study of 177 companies found that although the average workforce was cut by only 13 percent over a ﬁfteen-month period, fully onethird of the ﬁrms reported an increase in workers’ compensation claims. One in ﬁve companies said their workers’ compensation costs increased between 50 and 100 percent (“A Study of Worker,” 1992). 28 RESIZING THE ORGANIZATION In yet another study, a team of English researchers investigated the physical and emotional health of 764 employees whose organizations were downsizing.
Resizing the Organization Managing Layoffs,Divestitures, and Closings Maximizing Gain While Minimizing Pain by Kenneth P. De Meuse, Mitchell Lee Marks, Eduardo Salas