...Cutting Internal Organizational Expenses without Eliminating Personnel Chris Smith is an upstanding young man. He was brought up in a semi liberal-conservative household with very supportive and nurturing parents. They instilled in him a hard work ethic which encompassed the principle of if you put in the time and effort, study and work hard at your job, any goal is attainable. He went on to receive a civil engineering degree from the largest and most prestigious public institutions in the state while working 2 part time jobs. After graduating from college Chris accepted a job with an engineering firm on the west coast. Shortly after his first year with the firm he married his college sweetheart who works as an accountant. Chris and his wife have both been on their jobs for about five years now, have a traditional home in a quiet suburban area, and just had their first child who will soon turn three. Chris’s young family seemed to be comfortable in their pursuit of the American dream, getting up everyday, getting to work on time, putting in extra hours if needed, smoothly taking care of the everyday responsibilities of a child, home, and their careers until 1 day late in 2008. Chris had just finished his design portion of a commercial project which was set to go to construction in the next several months. He was called into his Department heads office thinking that they would be talking about some detailed specifications involving...
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...Re-organization and Layoff: Decision Making Evaluation Paper Learning Team D PHL/320 07/20/15 Scott Phillips Decision Making: In our Decision Making Evaluation, we as a group most commonly agreed that the biggest factor to easing the “Layoff” would be to have a trained individual handle the situation. This would solve issues for all classes of individuals that are being relieved of their duties in a business setting while keeping the professionalism present in the process. Through other research there were other options available to remove the “Layoff” issues and it was best shown in Daniel Panger’s, “Alternatives to Employee Layoff.” Panger explains how the amount of money and time put into training an employee gets wasted when the employee gets laid off and expresses other ways to approach situations that demand change. The idea of reducing workdays and weeks is brought up to save money and escape the Layoff (Panger, 1971). The issues seen with this technique is in the long run it would seem to simply prolong the issue and still lead to a layoff. That leads us to the decision of having a prepared and educated person handle the laying off process. Implementing the Decision: For a businesses to use this solution there is many things that must take place and the most important would be to establish a formula and fundamentals that will be present in the process. There are fundamentals from others studies that have already been used and a...
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...In many ways the labor force poses a demanding bill for a company as compensation plans can include insurance, healthcare, and paid vacation time. When deciding if reducing wages or the labor force is the correct decision, I would have to choose to reduce wages. When evaluating personal to layoff, companies typical target positions that do not require much skill, have developed tenure, and can be easily replaced in the future. One thing that immediately compels me is the social responsibility that is assumed from the employer. For employees that have been with the company for quite some time the debate can be made that they are assets versus just workers (Arce,...
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...this chapter, we explored several alternatives to layoffs as a means of reducing a labor surplus. Compare and contrast the list we generated with what was done at Southwest in the wake of the 9/11 attacks. How did the response at Southwest differ from other airlines? This case shows how a company, Southwest Airlines, was able to go against the normal cost-cutting measures of a layoff and not downsize employees even during an extremely difficult period in the Fall of 2001. Southwest Airlines has a strong focus on its employees and a no-layoff policy which is “one of the core values that underlie its human resource strategy” (p. 218-9). Downsizing of any kind would have undermined this strategy, so it was clearly not an option for the company. This was not the case with the other airlines. The case outlines “draconian cuts in both schedules and service” made by Southwest’s competitors even before the 9/11 attacks. After the attacks, over 100,000 employees were downsized by the other airlines (p. 217). Southwest’s alternative to layoffs was to cut costs through other ways. The company was able to rely heavily on its employees who were very productive and flexible (p. 218). High productivity equates to a cost savings for the company because it keeps the labor costs low. Some of this cost savings was passed on to consumers who were also looking to reduce their own costs during the economic crisis. Because of the commitment to its no layoff policy, the company was also able...
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...Solutions Assignment: Mismanaged Layoffs can go ‘Horribly Wrong’ Solutions Assignment: Mismanaged Layoffs can go ‘Horribly Wrong’ the collaboration process to dissect the article: Mismanaged Layoffs can go “Horribly Wrong.’ The team assessed the situation outlined in the article, evaluated the information through group formation, and built consensus through dialogue. By clearly defining the problems, the team was able to generate solutions, evaluate alternative answers, and has determined the best possible resolution. Recommended Solution The team has concluded that the best possible solution involves direct feedback from employees. Circumstances involving possible layoffs should revert to options offered to employees that discuss ways to improve their salaries, benefits and reduce hours at work. Employee involvement in decision making will help motivate employees. Feedback is always critical for any organization to improve employee performance. When used in conjunction with setting of goals, feedback will always provide employees with progress of improving their performance. Moreover, feedback helps to provide solutions to different kinds of problems that occur in the workplace. This is important as it helps to improve job satisfaction while helping employees to understand different kinds of dynamics. Research shows that feedback can be used as a platform where employees become engaged in activities that occur in the workplace. This is...
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...Re-organization and Layoff: Issue and Problem Identification Paper Team D: Keshia Simpson, Shaquia Brewer, Lamar Vargas, Lynne G. PHL/320 November 2, 2015 Professor Greg Reeves Re-organization and Layoff: Issue and Problem Identification There's always a problem in an organization that must be resolved. This paper will identify the problem, explain why this is an underlying problem, reflect on my groups collaboration process in defining the problem, and explain how a clearly defined problem can help find a solution. Collaboration Defining the Problem As we begin to collaborate on this article we tossed around several ideas of what we believe the problem is. One of the initial problems that we discussed was the lack of actual managers. It was discussed that there was not enough managers to properly manage companies, a lot of the problems were going unrecognized, and were unsolved therefore eventually leading to the company being forced to lay off due to the lack of business or other issues. After a company had been forced into layoff’s, the managers did not help the employee’s understand why. The improper handling of these issues can have a negative impact on the company overall. After we carefully examined this as an issue, we discovered that no matter how many managers a company has, the managers should be properly trained to identify issues, overcome problems, and in case of layoff’s they should be able to keep the company’s morale intact....
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...Abstract The Affordable Care Act (ACA) brings a myriad of changes to the healthcare system and hospitals must adapt accordingly or face dire financial challenges. Some of the financial challenges will originate from the influx of Medicaid patients due to the Medicaid expansion. Based on these changes, there is an increased tendency for hospitals to engineer ways to reduce costs such as patient selection and staff reduction. However, for a hospital to participate in Medicare, which accounts for more than 50% of hospital budgets, certain laws and regulations must be followed. This paper discusses these laws and regulations and offers suggestions on how to adjust successfully to the upcoming changes. The Affordable Care Act (ACA) and Hospital Compliance In light of the current changes in the healthcare industry, it is imperative for every healthcare organization to adapt accordingly or face dire financial challenges. A major change included in the Affordable Care Act (ACA) is the expansion of Medicaid, which will provide coverage to millions of formerly uninsured US citizens and permanent residents (Rosenbaum, 2011). However, Medicaid is notorious for much lower reimbursement compared to Medicare and private/commercial insurance (M. Schmitt, personal communication, October 7, 2013). In addition, hospitals are now required to prove that the services they bill for actually improve and maintain patients’ health (Leonard, 2013). Hospitals are also required...
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...Re-organization and Layoff: Decision Making Evaluation In an article that has been discussed over the past five weeks entitled Mismanaged Layoffs Gone Horribly Wrong by Brenda Buow (2013) states “A company’s handling of layoff’s can have consequences long after the former staffers have left.” No organization sets out to lay off employees, but sometimes that is what must be done in order to keep the organization afloat. There are not many solutions to not conducting a layoff, but over the past five weeks it has been discussed that organizations can do a reduced work week or an internal job fair. The most effective solution is reducing the amount of hours an employee works. This benefits the organization by saving money on payroll and can even help the middle-income customer. Solutions A reduced work week allows extra time for the employees rather than being laid off and losing employment all together. For the middle-income customer, the solution of a reduced work week allows parents to have time to care for their children. For example, “Laflamme, a mother of three, has been working only four days a week for the last few years. Having an extra day to herself allows her to run errands and chores around the house so that she can enjoy the weekend with her children” (Shingler, 2013, para. 7). A company facing layoffs can make the decision to cut back the hours of employees after performing an analysis of the company budget, and being able to positively say that cutting back...
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...Concepts of Decision Making MMPBL/500 Foundations of Problem Based Learning Abstract Key concepts of decision making are a vital part of keeping a company successful and happy employees. There are many areas to take into consideration when applying these decisions. To begin managers must apply their critical thinking skills. As a manager you must choose a decision making concept. Then analyze the concept that is going to be used. Also take a close look at the symptoms and problems. As a manager some of these decisions need to be made immediately and other decisions may allow more time for consideration. Actually, managers sometime ignore the problems all together, leading to poor business (J.Champion and J.James). Decision Stages There are stages in order to make a decision. To begin the manager needs to identify and diagnose the problem. Usually a manager realizes some discrepancy in the current stage of the business and what the desired state of the business and what it needs to be. After the manager makes the decision he must believe the resources and abilities necessary for problem solving exist (Bateman, S. & Snell, S. (2004). Next the decision must be implemented. In some cases the individuals involved in making the decision will implement it, other times they will delegate it to other staff members. Evaluating the Decision Evaluating the decision is to collect information on how the decision is working. Decision making help a manager...
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...Running head: PROBLEM SOLUTION: GLOBAL COMMUNICATIONS Problem Solution: Global Communications Amanda Rodriguez University of Phoenix Problem Solution: Global Communications Global Communications is a telecommunications provider that is facing economical pressure. They are encountering competition with other local, long distance and international markets for the same business. With profitability at a low, Global communications must step it up to increase revenues and profits. Global Communications has prepared a plan to an effort enhance the companies performance, and profit locally and globally. This plan is targeted at an international level with a goal of becoming an accurately global resource for small business and consumer customers. In this paper, a solution will be proposed for Global Communications to expedite the companies plan to improve profitability and continue to treat its employees well, “happy employees make happy costumers” (Kinicki &Kreitner, 2003, p. 125). Global Communications having a strong background of loyal employees will help the company pursue their strategic plan improvements. Situation Analysis Issue and Opportunity Identification The telecommunication industry are competing for the same business, there is too much competition with local and international markets. Competitors are offering new features that costumers and consumers want, this makes jobs more proactive and affective. Global communication needs to offer innovative packages...
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...ORGANIZATIONAL DOWNSIZING – A LITERATURE OVERVIEW 2 WHY DO COMPANIES DOWNSIZING? 2 STAGES OF DOWNSIZING 3 THE IMPACT OF DOWNSIZING PRACTICES ON THE PERFORMANCE 4 ALTERNATIVES TO LAYOFF 5 EARLY RETIREMENT 5 DOWNSIZING AND THE LEGAL ISSUES 6 REFERENCES: 6 INTRODUCTION Over the past decade, corporations have been under economic pressures for a long term. Consequently, some of them were eliminated from the local market, the survivors have been driven to reorganize, redesign and restructure their organization with the intention of maintaining their place in the market. According to the decision maker, downsizing can be a solution to many organizations to reduce their budgeting issues and to increase their productivities. ( Labib & Appelbaum,1994) This essay will focus on organizational downsizing. Part one present the downsizing concept, particular attention is paid to downsizing reasoning and stages, its impact on the performance and the legal issues. Part two focus on the early retirement. ORGANIZATIONAL DOWNSIZING – A LITERATURE OVERVIEW The term downsizing refers to an "elaborate decision to reduce the size of the workforce in an organization" to improve the organization performance and decrease cost. (Kozlowski et al., 1993, p. 267). Layoff and early retirement are methods of downsizing; in fact layoff is an immediate act of discharging an employee due a decline, while the early retirement is a personal decision to leave a job voluntary before the retirement...
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...Organizational Downsizing Techniques and Handling Layoffs Team 1 Christina Berardi Bridget Quinn-Carey Tung-Yueh, Lee Over the last two decades, organizational downsizing has been a key management strategy favored by many organizations attempting to cope with fundamental and structural changes in the shifting economy. In the mid-1980’s, downsizing was implemented primarily by companies experiencing difficult economic times (Gandolfi, 2006). Companies hoped to cut costs and improve performance. By the late-1980’s, it developed into a proactive restructuring strategy for a multitude of organizations. Furthermore, since then, organizational downsizing has now transformed the corporate landscape and changed the lives of hundreds of millions of individuals around the world (Gandolfi, 2006). There are several definitions that have been developed to effectively define the phenomenon of organizational downsizing. To sum it up in one sentence, organizational downsizing refers to a set of activities, taken on by the core management of an organization, designed to improve organizational efficiency, productivity, and competitiveness. It represents a management strategy that affects three components: (a) the size of the firm’s workforce, (b) the costs, and (c) the work processes. On the surface, downsizing can be interpreted as merely a reduction in organizational size, and the process is a chaotic and uncertain experience...
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...kids that love sports. It has 350 workers; FastServe operated 10% of its personnel to the online allocation development. There were certain mannequins that were used which involved the consideration of the proposed viewers but there was one issue with the graphics. It was too hard to get and the prices didn’t cover the functioning expenses of the new process. The upper level supervisors implemented all concepts and without a raise in income they determined to not use this plan. So then they decided on lowering the labor force. This would entail conducting layoffs for three out of five workers. Of the five, two will be kept in the business. This business has to implement the Alternative Dispute Resolution (ADR) technique to determine conflicts, establish a well developed organized layoff process and moderate the risks to lower the likelihood of any issues that may bring about an employment lawsuit. The metrics for the layoffs include new job descriptions, abilities, responsibility, skills, and efficiency. Potential Conflict Identifications FastServe is a sport attire company and the main client base is the young generation. To raise income they used 3-D drape-n-see mannequin on the internet were established. There was an issue with the websites resources because it did not appeal enough clients. FastServe also determined to lower the internet sources which encourage the desire to economize. The senior supervisor of human resources decided to fire three workers, Sarah Boyd, Jenny...
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...HUMAN RESOURCE MANAGEMENT A CASE STUDY OF THE TATA CONSULTANCY SERVICES LAYOFFS (Synopsis to the term paper towards partial fulfilment of the assessment in the subject of Human Resource management) SUBMITTED BY: SUBMITTED TO: Atyotma Gupta Dr Vedantam Leela U.G. 2nd Semester Faculty of Management B.B.A.L.L.B (Hons.) Roll No - 1162 SUBMITTED ON – NATIONAL LAW UNIVERSITY, JODHPUR WINTER SEMESTER [JANUARY-MAY 2014] SYNOPSIS Topic- The layoffs done by the TATA Consultancy Services. Period of Time – layoffs in 2014-2015 HR Area- There are basically three major Human Resource areas involved in this case study. Layoffs restructuring and workforce optimisation. The Webster’s Dictionary defines the term attrition as “the process or state of being gradually worn down”. Accordingly the attrition process sometimes starts after a person is employed in an organization and ends when he quits or retires. The statement which has been given by the official of TCS to justify the layoffs was that they have not laid off the workers but it is a part of workforce optimisation and which has led to a kind of involuntary attrition. Suspension or termination...
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...Mismanaged Layoffs April Auld Cheryl Oaks John Curtis Phillip Bradshaw PHL/320 November 23, 2015 Mathew Hazlett Mismanaged Layoffs To summarize our teams discussion this week. We narrowed the discussion down to the way layoffs are executed within any company for the most part. We already agree that there are far too many layoffs in today’s economy. Therefore, the traumatic effects this will cause on the company. Including the individual’s and the workers that are left behind, is the real issue at hand. The aggressiveness or empathy levels of the situation never help. Larger companies have a better finesse about the separations from the company it is well planned with severance packages for the employees. No Matter how well planned it is still a shock to the system. Including all that is involved families and so forth. The fact is that there is no great way to separate anyone from their position. However, we all had our opinions on the solutions for this, using fewer contract workers, transferring staff from one department to another, hiring temp staff seasonally, offering pay cuts over termination. Setting up an alternative plan of employment, job fairs, offer classes in the severance...
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