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Home » Rushing to Downsize Workforce Could Be a Mistake

Rushing to Downsize Workforce Could Be a Mistake

June 10, 2009
Chief Executive

Downsizings fail for several different reasons. The most common among them is jettisoning employees during downturns without fully examining other opportunities to improve financials. Questions that should be asked: Have we given as much attention to increasing revenue as to reducing costs? Should unprofitable customers be terminated before employees are? Can savings be made with process improvements up and down the supply chain? Should non-core operations be sold off? Rather than make cuts, can we make the workforce more productive with better systems for employee selection, appraisal, development, deployment and rewards?
Source: Chief Executive

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