Corporate Downsizing Essays -- essays research papers

downsize has start out an extremely popular strategy in todays telephone line environment. Companies began downsize in the late 1970s to cut be and better the bottom line (Mishra et al., 1998). The term furlough was coined to describe the action of dismissing a large portion of a beau mondes work force in a very short period of season. According to online encyclopedia http//en.wikipedia.org downsizing refers to layoffs initiated by a company in order to cut elbow grease costs by reducing the size of the company. Downsizing became a known management mantra in the late 1980s and early 1990s. In fact, collar million jobs were lost between 1989 and 1998 (Mishra et al., 1998). More than 350,000 jobs were lost in 2001 (DeSouza & Donaldson, 2002). Downsizing has become almost a way of life for U.S. companies. Typically, the first bend of job cuts are followed by a second round of cuts a short time later. Not everyone agrees with the reasoning behind downsizing. According to an name in the Journal of Banking and Financial Services, downsizing is merely a short-sighted trading strategy motivated by arrogant CEOs dying(predicate) to appease shareholders (Unkles, 2001). Others feel downsizing is a necessary tool to go over business survival in the face of a changing economy. Regardless, the costs of downsizing are high, and the payoffs of downsizing are mixed at best. This piece doesnt serve as an approach to downsizing, rather, it explores the many aspects of downsizing, from when its time to downsize to what steps that can be taken to avoid the process altogether. corporal Downsizing An Overview There are many reasons why a company downsizes. Layoffs began as a way for companies to offset a decline in earnings, but quickly became a popular practice even in companies that were doing well financially. A 1994 survey by the American Management intimacy found that two-thirds of all workers who were laid off were college-educated, salaried employees (Downs , 1995). Today, the term downsizing is used to refer to a narrow effort to reduce the workforce and also to broaden efforts to improve work systems or redesign the gibe organization. Companies may downsize to increase capital, as a result of a flow with another company (where additional staff are not needed), worthless cash flow (which results in payroll issues), changes in technology, and lastly callable to a chang... ...k Enterprise. Retrieved April 22, 2009, from http//www.findarticles.comDowns, A. (2005). Corporate executions the ugly truth about layoffs-how incarnate covetousness is shattering lives, companies, and communities. New York AMACOM-American Management Association. Hoskisson, R., & Hitt, M. (2004). Downscoping How to tame the diversified firm. Oxford University PR on Demand. Krepps, M. (2007). Industrial inefficiency and downsizing A study of layoff and plant closures. New York mixture Publishing.Mishra, K. E., Spreitzer, G. M., & Mishra, A. K. (2008, Winter) . Preserving employee morale during downsizing. Sloan Management Review. Unkles, j. (2009). The downside of downsizing after almost a go of surging economic growth and booming share markets, many corporate and financial managers are getting their first look at a downturn in the business cycle. Journal of Banking and Financial Services, 115(6), 2. Retrieved April 22, 2009, from Baker College weather vane Site http//web2.infotrac.galegroup.comZimmerman, E. (2007, November). Why deep layoffs hurt long-term recovery (HRs tools for recovery). Workforce. Retrieved April 20, 2009, from http//www.findarticles.com