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A Strategic Look at Downsizing - Essay Example

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From the paper "A Strategic Look at Downsizing" it is clear that one of the initial solutions is to make sure that the workforce identifies with the need for change. The collapse and downsizing of the company can be very risky to employees, and such risk is confronted as a form of job uncertainty…
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A Strategic Look at Downsizing
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Extract of sample "A Strategic Look at Downsizing"

Download file to see previous pages According to Schuler and Jackson (2007), a large number of organisations that were performing poorly have shut down, and the majority of those that have endured were obliged to reorganise so as to make their operations more efficient and realise operating cost reductions that would guarantee their long-term competitiveness on the international and domestic markets.
This essay discusses downsizing in terms of strategic human resources management (SHRM). The next section discusses the effect of organisational downsizing on human resources; then the SHRM components associated with downsizing; and SHRM solutions that organisations can use to make downsizing successful. The last section recommends strategies by which companies can avoid negative consequences of downsizing and effectively realise their streamlining objectives.
Downsizing usually attains its urgent goal of better competence, but it is not without a cost; employment relations may change drastically. The loyalty of employees to their organisations has traditionally been viewed as an important ingredient of a competitive company (Schuler & Jackson 2007). For instance, researchers who study Japanese companies conclude that one of the most essential elements of their success is their commitment to making sure that employees’ interests complement the companies’ objectives (Casson 2000). According to Gilley and Maycunich (2000), downsizing and the consequent transformation in employee dedication endanger the way employees perceive their occupations and their selves.
Downsizing, in that case, has altered the ways in which employees and their organisations relate. ...Download file to see next pagesRead More
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