Organizational Restructuring
It is far better to become lean and good rather than lean and mean.
Especially during financial crises companies often have no choice but to downsize the workforce and restructure functions and operations for greater efficiency. How this process is approached is crucially important. If handled poorly, diminished productivity and performance are predictable due to the impact on the surviving employees. Typical symptoms include decreasing morale, resistance to change, loss of trust, restricted communication, lack of teamwork and leadership anemia. Even more significant is the tendency to neglect long-term planning due to a short-term, crisis mentality. Cost reduction may be necessary, but companies rarely save themselves to prosperity.
Another feature of difficult times is a growing tendency toward consolidation within various industries and/or breaking apart organizations that have become too large and complex to manage effectively.
We offer two important services that can help companies tackle these challenges.
Strategic Downsizing
This service is based on best practices research conducted by examining successful vs. unsuccessful business organizations that underwent significant staff reductions. Our work in this area leverages several key components that help avoid the downside of downsizing.
- Systematic analysis of tasks and personnel in advance of making changes
- Gradual, systematic, incremental implementation
- Increased communication and participation of management and the work force throughout the entire process
- Utilizing several other cost containment methods such as work redesign, integration of functions, merging units, work reduction, elimination of layers and targeting hidden costs
- Working to systemically change the culture of the company for the long-term with an emphasis on involvement/engagement of everyone in the company, improving quality while reducing costs, driving change from the bottom-up, and simplifying tasks and processes
We help leadership to take a more measured, focused approach that includes due consideration of the impact on people and aligning them with the solution instead of considering them the problem. If done well this process results in the company becoming stronger and more effective in the long-term.
Merger Integration
It has been well demonstrated that a high proportion of mergers fail to achieve the strategic objectives, usually because of inadequate planning and failing to address the challenges associated with trying to combine different cultures. Our approach assures that the change process is managed and communicated effectively and objectivity is used in leveraging the talent of both organizations for the best possible outcomes.
