Saturday, June 8, 2019
Survivors' reactions to organizational downsizing Essay
Survivors reactions to organisational downsizing - Essay ExampleEach organizational downsizing event could result to predictable outcomes in terms of having similar issues related to the feelings of betrayal, loss of trust in the management of the company, and experiencing internal conflicts between the corporal management and employees in line with retaining and losing their job. (Strom, 2008) As a result, the lack of organizational commitment among the stakeholders of the company becomes a major problem that top management unavoidably to solve.For this study, the researcher entrust first discuss the theory and concept behind the organizational downsizing. Aiming to address whether the implementation of organizational downsizing could create a convinced(p) impact to the business, the researcher will discuss the possible effects of implementing organizational downsizing in terms of the long-term profitability of the firms and employee performance. Prior to the conclusion, the res earcher will discuss the proper handling of resistance to change particularly on the affected employees.organizations conscious use of permanent personnel reductions in order to improve its efficiency and/or effectiveness. In other words, the main idea of an organizational downsizing is intentionally and permanently reduces the number of employees within a business organization. (Budros, 1999 McKinley et al., 1995 Mishra and Mishra, 1994)Organizational downsizing is related to the increase in the managers compensation in terms of having a positive growth in sales. (Jensen, 1986 Murphy, 1985) This strategy could alter the company to eliminate unnecessary levels needed to enhance the overall effeciency required to keep the business competitive in the markets. (Koretz, 1997 McKinley et al., 1995 Bryne, 1994) Basically, cutting down the operational appeal by reducing the size of the work force could increase the profitability of the
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