Rightsizing

Rightsizing

Rightsizing

Organizations make changes all the time, but they differ in scope. When a company makes organizational changes, these are generally more complex and have greater impact. Therefore, these organizations must take careful consideration of the effects of the changes to manage and minimize negative outcomes to all stakeholders. This paper will identify an organizational change, stakeholders, change management approach and recommend strategies to minimize adverse effects of the change.

Organizational Change

Three years ago two large financial institutions merge, one having one hundred eighty thousand employees and the other having one hundred twenty thousand employees with the signature on the dotted line the surviving institution has more than doubled in size. Today, they have two hundred seventy thousand employees with several redundancies due to the merger. The final branch was rebranded a few months ago. There were a modest number of branches that were eliminated due to proximity during the rebranding process. Also, there were some small layoffs due to obvious redundancy such as the Accounting department. In addition, there has been some reduction due to normal attrition. My employer is now ready to reorganize and restructure the company. Whether a company calls the process rightsizing or downsizing, the result is the same since positions will be eliminated. They are either looking or going to look at every group in the entire corporation to evaluate processes, consolidate groups, and eliminate positions.

When an employee is hired by a financial institution, they must go through the process of being finger printed and background verification. My employer has begun separating the chaff from the wheat by having every employee go through this process again. This is an easy way to start reducing the number of employees quickly without having to pay out severance payments. Of course, the process itself costs the company...