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1 – 10 of over 19000Terry H. Wagar and Kent V. Rondeau
In recent years, health care in Canada as elsewhere has witnessed unprecedented restructuring and reorganization. Concurrent with the massive restructuring of health care systems…
Abstract
In recent years, health care in Canada as elsewhere has witnessed unprecedented restructuring and reorganization. Concurrent with the massive restructuring of health care systems, many health care organizations have dramatically downsized their workforces by shedding jobs and people. It is generally assumed that forced workforce reductions can have significant deleterious consequences on organizations. This study examines the impact of workforce reduction on perceptions of organizational performance in a large sample of Canadian health care organizations.
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The purpose of this paper is to analyze the conceptual framework about human resources downsizing and restructuring and how organizations of the public sector can do that…
Abstract
Purpose
The purpose of this paper is to analyze the conceptual framework about human resources downsizing and restructuring and how organizations of the public sector can do that effectively and efficiently. These facts drive to the conclusion that the implementation of early retirement incentives requires the most elaborate planning and execution to be effective, predictable and safe in the long term.
Design/methodology/approach
This paper adopts an analytical, descriptive methodology approach to describe the basic features of the data by using the descriptive research design. Data have been collected through different sources, which include secondary data, to introduce the theoretical literature of the subject as books, journals, articles, published working papers and referred previous studies related to the same subject.
Findings
Downsizing process is a deliberate administrative process that includes, but is not limited to, workforce reduction and is primarily aimed at achieving efficiency in public organizations. The definition of workforce downsizing may be narrowed to reducing the number of workers, or more likely to refer to general efforts to restructuring human resources in public organizations, Early Retirement Incentive Programs (ERIP) represents a viable alternative for organizations seeking to reduce staff. For the ERIP to be successful, the program coordinator must understand the business objectives and goals that the organization is trying to obtain.
Originality/value
Human resources strategies concerning downsizing public administration workforce should be more appropriate to those who leave the organization and those who stay at work, reducing the negative psychological, administrative and economical effects. This could be achieved through a strategy called early retirement incentive programs.
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This study raises the question of whether the nature of the merger and acquisition (M&A) strategy per se, that is reflected throughout the M&A process, may lead to a potential…
Abstract
Purpose
This study raises the question of whether the nature of the merger and acquisition (M&A) strategy per se, that is reflected throughout the M&A process, may lead to a potential trade-off between the two main objectives of M&As – synergy success and efficiency gains, which may explain the high failure rate of the M&A strategy. The purpose of this paper is to present a mediation model to explore the potential trade-off that may exist between synergy success and efficiency gains. The model examines whether the change in the workforce size during the M&A process mediates the relationship between the types of M&A and M&A success, resulting in a trade-off.
Design/methodology/approach
The study uses a sample of 394 public firms.
Findings
The study reveals that if the management over-increases the workforce size to realize the synergy potential, then it heightens the risk of the “win synergy-lose efficiency” trade-off, resulting in an increase in revenue growth but a decrease in profitability. The results even show that international M&As lead to an “over” increase in the workforce size to maximize the synergy potential, but at the same time, an increase in the workforce size harms the efficiency gains, resulting in a decrease in profitability. However, vertical and conglomerate M&As may lead neither to synergy success nor to efficiency gains, which reflects a situation of no benefits from the M&A for the acquirer.
Originality/value
The study emphasizes that one of the main challenges in the implementation of the M&A strategy is to strike a balance between the objective of improving efficiency through cutting costs and workforce reduction during the integration stage and the objective of realizing the synergy potential, despite the workforce reduction during the M&A process.
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Andrew Simone and Brian H. Kleiner
Now, more than ever, companies are taking part in workforce reductions. There are many names it can go by – reduction in force, downsizing, right sizing, eliminating redundancy…
Abstract
Now, more than ever, companies are taking part in workforce reductions. There are many names it can go by – reduction in force, downsizing, right sizing, eliminating redundancy, experiencing lay‐offs, cutting staff or reengineering. Most people would choose to blame the poor condition of the U.S. economy. While this may be true in some cases, there are usually many different reasons an organisation would undertake lay‐offs. No matter what an organisation calls it, there are effective and ineffective ways to accomplish this objective.
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José David Vicente‐Lorente and José Ángel Zúñiga‐Vicente
The purpose of this paper is to examine the role played by different types of firm innovation on employee downsizing. Drawing on economic and management views, the authors aims to…
Abstract
Purpose
The purpose of this paper is to examine the role played by different types of firm innovation on employee downsizing. Drawing on economic and management views, the authors aims to assess the potential positive or negative effect of different types of processes (i.e. new technology via the introduction of new equipment as well as new methods of organizing the workforce) and product (i.e. number of innovations) innovations on employee downsizing.
Design/methodology/approach
The empirical setting is a sample of Spanish manufacturing firms over the period 1994‐2006. The authors employ probit models for panel data as an empirical tool.
Findings
The results show a negative and significant effect of process innovations associated with acquiring and deploying new production equipment and product‐oriented innovations on the probability of carrying out important reductions in workforce. However, a positive and significant effect is found when process innovations are linked to the adoption of new methods of organizing the workforce.
Practical implications
Managers might play a significant role in employment creation, especially when they carry out process innovations related to the acquisition of complementary production assets (i.e. new equipment) and market highly innovative products. Policy makers might contribute to diminish the potential number of employees affected by firms’ downsizing strategies by designing, for example, public subsidies systems that deliberately prompt both types of innovations.
Originality/value
The authors make an effort to provide alternative explanations about why firms downsize, as they analyze different types of process and product innovations whose effects on employment (and, thus, downsizing) do not seem to be clear. Moreover, the paper furthers one's understanding of the effect of firm innovation by focusing on the potential effect of one type of process innovation which has not been examined until now: the adoption and implementation of new methods of organizing the workforce owing to new technology.
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This paper discusses the workforce reduction strategies of management (such as natural wastage, redeployment, redundancy etc), identifying some of the factors that influence…
Abstract
This paper discusses the workforce reduction strategies of management (such as natural wastage, redeployment, redundancy etc), identifying some of the factors that influence management’s choice between them. It then proceeds to use a WIRS based data set to examine the relationship between these adjustment options and variables reflecting the size, status and industrial/employee relations characteristics of organisations. It was found that the variables associated with “voluntary” adjustment were different from those associated with “compulsory redundancy”. In particular, variables reflecting “good” industrial/employee relations “styles” were associated with the use of adjustment options which sought to reduce manning levels without resort to to compulsion.
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The purpose of this paper is to report on case study research of employment downsizing and the implications for equal opportunity and diversity management conducted in the UK…
Abstract
Purpose
The purpose of this paper is to report on case study research of employment downsizing and the implications for equal opportunity and diversity management conducted in the UK airline industry during 2002/2003.
Design/methodology/approach
Review of literature on downsizing and equal opportunity and diversity management followed by identification of a number of research questions which are answered with reference to secondary analysis of labour market data and interviews with key informants from senior management and line management.
Findings
A planned approach to downsizing had been adopted that was strongly influenced by the human resources function in terms of equal opportunity and diversity management. An adverse impact on different employee groups had been avoided in order to sustain the diversity of the workforce.
Research limitations/implications
The research focuses on the management of downsizing and equal opportunity and diversity management. It addresses the perceptions of managers involved in developing and implementing policy, but does not examine the perceptions of other employees.
Practical implications
There are some reflections on ways in which equal opportunity and diversity management policy might adapt to organisational change and downsizing.
Originality/value
This paper brings together two scholarly debates on downsizing and equal opportunity and diversity management, and provides case study evidence of how an equal opportunity and diversity management agenda is implemented during organisational restructuring and downsizing.
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Rachid Zeffane and Geoffrey Mayo
In recent years, organisations around the world have been seriously affected by a range of economic, political and social upheavals that have gathered momentum in most parts of…
Abstract
In recent years, organisations around the world have been seriously affected by a range of economic, political and social upheavals that have gathered momentum in most parts of the globe. The viability of the conventional (pyramidal) organisational structures is being challenged in conjunction with major shifts in the roles of mid and top managers. In many countries, the pace of the above socio‐economic events and uncertainties is happening at an unprecedented pace. Some markets are showing signs of potential gigantic expansions while others (historically prosperous) are on the verge of complete collapse (Dent, 1991). In responding to the socio‐economic challenges of the nineties, organisations (across the board) have resorted to dismantling the conventional pyramidal structure and adopting so‐called “leaner” structures (see Zeffane, 1992). The most common struggle has been to maintain market share in an economic environment increasingly characterised by excess labour supply (Bamber, 1990; Green & Macdonald, 1991). As organisations shifted their strategies from “mass production” to “post‐fordism” (see, for example Kern and Schumann, 1987), there has been a significant tendency to emphasise flexibility of both capital and labour in order to cater for the niche markets which are claimed to be rapidly emerging, world‐wide. This has resulted in massive organisational restructuring world‐wide.
Nearly $200 billion a year is funneled through the federal procurement system to buy everything from paper clips to stealth fighters. This procurement system can be thought of as…
Abstract
Nearly $200 billion a year is funneled through the federal procurement system to buy everything from paper clips to stealth fighters. This procurement system can be thought of as an oscillating pendulum as it swings from one extreme of unresponsiveness to mission needs to the other extreme of hypersensitivity to mission. Out of a sense that the procurement pendulum had swung too far towards overregulation, two major procurement reform laws were passed: the Federal Acquisition Streamlining Act of 1994 and the Clinger-Cohen Act of 1996. Many observers suggest that these two laws have led to a revolution in the way the government buys. Are these reforms permanent? The view here is they are not because of various political forces.
The purpose of this working paper is to highlight the challenges and associated risks Federal contracting officers face while conducting business under commercially-based…
Abstract
The purpose of this working paper is to highlight the challenges and associated risks Federal contracting officers face while conducting business under commercially-based contracting legislation and, with concurrent reductions in the acquisition workforce, the potential risks these changes place on the taxpayer. The researcher's thorough review of published articles, along with collegiate discussions with prominent practitioners and academics indicates that the Federal Government may be exposed to increased risks due to recent commercial-practice legislation and structural changes in the acquisition work force. The past decade-long wave of acquisition work-force reductions and commercially inspired acquisition reforms has created a responsive and progressive business environment. Yet, it has done so at the cost of the Federal government becoming less "engaged" in key oversight and management functions. This disengagement may be exposing Federal contracting officers and taxpayers to greater financial, programmatic and performance risks.