Over the last few years there has been a downturn in business. As a response, many companies have initiated various downsizing activities – often on a short-term financial basis – in order to improve the competitive position of the company. Yet, at the same time, innovation is often cited as the key to long-term success by the very same companies. The central problem examined in this book is whether downsizing and innovation are compatible. The problem was studied during a two year exploratory case research in six cases – selected from a well-defined reference population consisting of 37 companies – facing the exact challenge of simultaneously downsizing and trying to sustain its high level of innovation. The simple answer found in the study is yes. Companies can simultaneously downsize and still maintain a high level of innovation, but it is difficult and challenging and it depends on the company’s ability to handle the knowledge creation process. So what is needed? Create an understanding in the company, at all levels, that balancing knowledge creation – the ability to share and transfer knowledge – is one of the most important tasks in order to remain innovative over time. This is done by building a commitment to knowledge creation. This commitment is achieved through making knowledge creation a visible and central element of the strategic intent, and organizing the company so that ideas can be generated and generalized. Examples of activities include: At an organizational level there is a need to create boundary spanning activities to facilitate knowledge creation between various part of the organization, but also to other organizations. At a top management level shared visions and values need to be created; exemplified in words and action. Important is that the top management not get involved into micro-management. Avoid cutting-down on initial activities – where visualization and brainstorming are in focus – in projects aiming for innovation, as these activities are the foundations the rest of the project. This book is useful for those who are faced with the challenge of finding a balance between short-term activities, often focusing on downsizing, and the more long-term activity of being innovative. / Diss. Stockholm : Handelshögskolan, 2004

Under en lågkonjunktur använder sig många företag av varsel och uppsägningar som ett sätt att minska kostnader och möta en vikande efterfrågan. Dessa uppsägningar innebär en förändring vilket är något som ofta möts av motstånd. I den här uppsatsen belyses de problem en ledare ställs inför i samband med en förändring som innebär uppsägningar och hur de har valt att genomföra dem. Syftet med den här uppsatsen är att beskriva hur tre ledare i tre olika organisationer genomför uppsägningar som sker till följd av arbetsbrist. En kvalitativ metod har använts där vi genomfört tre halvstrukturerade intervjuer med ledare som haft insyn i beslutsprocessen från varsel fram till uppsägningar och varit de som till största del förmedlat besluten till berörda individer. Med insamlad empirisk data analyserades hur ledarna genomförde uppsägningarna utifrån teori som behandlar förändring, ledarskap och ett företags situation. Resultaten visade att trots liknande yttre förutsättningar i form av lågkonjunktur och vikande orderingång så skilde sig genomförandet av förändringen mellan de tre företagen. En likhet var att kommunikation varit en viktig strategi under processen. I samtliga fall var ledarskapet dessutom säkert, direkt och beslutsamt. / During a recession, many companies are using layoffs as a way to reduce costs and meet declining demand. These layoffs mean changes, which is often met with resistance. This thesis highlights the problems a leader is faced with during a change involving layoffs and how they have chosen to implement the same. The purpose of this thesis is to describe how three leaders in three different organizations implement layoffs occurring as a result of shortage of work. The research used is semi-structured interviews with three leaders who have taken part in the decision-making process of the layoffs. They have been, for the most part, responsible for conveying the decisions to the employees concerned. The collected empirical data was analyzed on the basis of theory dealing with organizational change, leadership and situational variables in order to understand how the layoffs have been carried out. The results showed that despite similar external environment in terms of recession and declining order, the implementation was different between the three companies. One similarity was that communication was an important strategy in the process. In each case the leadership was also secure, direct and decisive.

Studien ämnar till att skapa en profil för tre olika empirinära perspektiv, vilka alla spelar en roll före, under och efter en nedskärningsprocess. Dessa tre perspektiv är: ledningsperspektivet, perspektivet för kvarvarande anställda och uppsagda arbetare. Författaren lägger tyngd på den tidigare vetenskapliga forskningen som får agera likt en mall för hur en optimal hantering ska ske under en nedskärningsprocess. Syftet med studien är att detektera bristande överrensstämmelser mellan perspektiven som förhindrar att hanteringen blir optimal för alla parter, samt kunna se om teorin används i det praktiska utövandet.Ledarskapsperspektivet är representerat i två underkategorier: sekundärintervjuer och expertintervjuer. I sekundärintervjuerna så presenteras svar från auktoriteter inom området som förmedlar den erfarenhetsbaserade kunskapen; medan i expertintervjuerna presenteras svar från fyra olika, representerade, företag inom olika branscher i Borlänge. Perspektivet för kvarvarande anställda representeras av en enkätundersökning och en djupare intervju med en kvarvarande anställd. Det tredje empirinära perspektivet, för uppsagda arbetare, representeras av en enkätundersökning och en djupare intervju med en uppsagd arbetare.I resultatet så visar det sig att författaren har kunnat detektera bristande överrensstämmelser på flera punkter, främst inom den uppfattade kommunikationen, mellan perspektiven. Detta tolkas som att de framlagda teorierna inte följs av praktiken och därför råder det ingen optimal situation för något av de representerade perspektiven.

Organizational downsizing has been a popular business strategy widely used by enterprises all over the world since the 80¡¦s. Unfortunately, according to the findings of many investigations and researches, the results of downsizing are both positive and negative. Not only the improvements of firms¡¦ performance can¡¦t be ensured, it also brings the devastated consequences to employees. They eventually create chaos to the employees¡¦ families and to the entire society. In order to solve this important issue of the societies, this research reviewed the relative literatures across different research fields, such as organization change, strategy and strategic human resource management field. It found that firm¡¦s dynamic strategy capability and strategic human resource management practices, asserted by strategy and strategic human resource management field as the essential mechanisms for ensuring firm¡¦s competitive advantage, are the two key interventional variables between downsizing strategies and post-downsizing firm performance. Therefore, 110 MNCs and local Taiwanese companies were chosen as the samples to empirically prove the relationships among these variables. The insights and findings in this research may contribute to the theory development in organization change, strategy and strategic human resource management field and to the managerial practice as well.

published_or_final_version / Housing Management / Master / Master of Housing Management

published_or_final_version / Public Administration / Master / Master of Public Administration

Even before the current economic meltdown, waves of downsizing, starting in the late 1970s, had swept corporate America, eroding workers’ expectations of economic security. But not only did downsizing become more prevalent during this period; its basic nature changed. Previously, firms had cut jobs temporarily, to adjust the size of their workforce during a downturn. Since the late 70s, firms have increasingly cut jobs in both good and bad times, in order to boost stock price. My dissertation examines the inter-group power dynamics underlying the transformation of workforce downsizing as a shareholder-value strategy. Examining both downsizing announcements from more than 700 leading U.S. corporations between 1981 and 2006, and actual implementation of the announced downsizing plans, I find at work in the process a shift in ideology, from an emphasis on corporate growth and conglomeration to an emphasis on profitability and shareholder value, an ideology that both reflects and intensifies the growing influence of shareholders over firms and the declining role of labor. My first empirical chapter examines the role of institutional investors and shareholder-value-oriented managers in the transformation. The second empirical chapter examines the potential resistance from labor unions and shows how the anti-union stance of the public policy regime in the 1980s weakened unions’ power to resist. The last empirical chapter examines the role of investors, unions, and executives in the implementation of announced downsizing plans and demonstrates the contested nature of the implementation process. Together, these three chapters illustrate the class politics simmering under the surface of the acceptance of downsizing for shareholder-value maximization, and emphasize the role of agency and power, as constructed by particular institutional logics, not only in promoting but also resisting the process of institutional change. / Sociology

No description available.

Submitted in partial fulfilment of the requirements for the degree of Masters in Business Administration, Durban University of Technology, 2008. / Strategic change within an organisation is inevitable. Due to the competitive global landscape, organisations have to continuously adapt their strategies to remain in the market. Strategy change is most often met with resistance, and more so when the change involves downsizing. The effects of downsizing on employee morale, performance and commitment have been studied by numerous authors and a number of models for strategy change implementation consequently suggested. However, South Africa is faced with very particular challenges when dealing with change, including a high level of unemployment, fierce resistance to change in the form of collective action such as strikes, stay-aways or go-slows, political and social transformation happening simultaneously, global competition and the conflict between social and free markets within an emerging economy. Irrespective of the vast amount of international literature available on change management, there is a distinct lack of literature investigating the impact of strategy change in an emerging economy and a knowledge gap in terms of applying existing change theories in non-Western environments. This study was aimed at determining the impact of strategy change, particularly downsizing, on employee morale, performance and commitment at a global South-African based Telecommunication Company. The objectives of the study was to determine whether employees in South Africa are negatively affected by downsizing, and provide useful information to strategic managers in terms of implementation of strategy change in a South African environment. To determine the impact of downsizing as a strategy change, a questionnaire was designed based on the literature review to ascertain responses to three sections of questions, respectively measuring morale, performance and commitment. A sample of the target population was chosen based on their position/ employment type i.e. management, supervisor or general staff. The results of the empirical study revealed some very interesting points. Although all respondents demonstrated optimism in terms of their morale, performance and commitment, it was found that comparatively, managers are more negatively impacted during times of downsizing. The Telecommunication Company’s structured nature, advances in political and social reform, and solid Training and Development policy shielded the employees from the full negative impacts of downsizing because of their positive core self evaluation. The substantial amount of neutral responses (especially under management) indicated that not all respondents revealed their true feelings, a common characteristic amongst collective people. It also surfaced that even though the majority of responses indicated positive morale and performance, most respondents were considering positions outside the organisation. Based on the literature review and results from the empirical investigation, a model was proposed to assist strategic managers in South Africa with change implementation.

Personeelvermindering as gevolg van operasionele redes word gelykgestel aan 'n ekonomiese doodstraf, aangesien geaffekteerde werknemers weinig, indien enige skuld het aan hierdie traumatiese ervaring. Die toenemende bekommernis oor hierdie verskynsel en die totstandkoming van mense-en arbeidsregte het dan ook veroorsaak dat hierdie verskynsel op 'n internasionale vlak omsigtig en deeglik benader word deur beide wetgewers en arbeidsorganisasies. Verandering in die wêreld geskied teen 'n snelle pas en vind op alle terreine van die samelewing plaas. Suid-Afrika is onlosmaakbaar deelgemaak van hierdie wêreld en word dus ook blootgestel aan honger internasionale maatskappye wat almal veg vir oorlewing en groter markaandele in 'n globaliserende wêreldekonomie. Dit laat Suid - Afrika met 'n dringende behoefte om meer mededingend te word. Om dit te kan bereik, moet aan die knellende behoefte aan opleiding aandag geskenk word, sowel as aan die skepping van aantreklike internasionale beleggingsgeleenthede. Internasionale beleggers raak gou afgeskrik deur hoë werkloosheid en misdaad, en hier is Suid -Afrika ver agter die Ooste. Die tendens van globalisering en die uitwerking van sekere aspekte daarvan op werkloosheid noodsaak dus dringende fokus op kwellende kwessies, soos: Hoe om werkloosheid te verminder, teenoor die behoefte aan verhoogde produktiwiteit en verbeterde internasionale mededingingsvermoë. Hierdie veranderinge het ook meegebring dat verbruikers, werknemers en die gemeenskap waarin maatskappye besigheid bedryf, uiters sensitief begin word het vir onverantwoordelike optrede van maatskappye teenoor die gemeenskap, die werknemers en die omgewing. Hierdie veranderinge en die gevolge daarvan lei tot 'n groeiende bewustheid van en ernstige behoefte aan korporatiewe sosiale verantwoordelikheid. Die waarde hiervan word in 'n al hoe groter mate besef en maatskappye aanvaar hierdie verantwoordelikheid toenemend in alle dimensies van die gemeenskap. Die manier waarop maatskappye met mense omgaan, word direk beïnvloed deur werkspraktyke en korporatiewe sosiale verantwoordelikheid het dus 'n fundamentele uitwerking op hoe potensiële hoëgehalte kennis-werkers die maatskappy beskou. Dit word derhalwe al hoe belangriker dat werkgewers die menings van hulle eksterne en interne belangegroepe ernstig opneem, aangesien globalisering besig is om die magsbasis tot voordeel van die werknemers te verskuif. Intussen sal personeelvermindering voortgaan ten spyte van duidelike bewyse dat die langtermynvoordele daarvan verdag is, en dit plaas 'n enorme sosiale verantwoordelikheid op werkgewers. Die goed nagevorste verband tussen misdaad en werkloosheid dui duidelik op die onderprestering van die regering teenoor beloftes wat gemaak is. Dit is juis om dié rede dat die rol van maatskappye in die gemeenskap al hoe meer onlosmaaklik deel van die besigheid word. Die uiteindelike gevolg hiervan is 'n onaanvaarbare hoë misdaadsyfer, wat weer lei tot 'n gebrek aan beleggingsvertroue, wat op sy beurt weer lei tot personeelvermindering. / Thesis (Ph.D. (Industrial Sociology))--North-West University, Vaal Triangle Campus, 2008.