Downsizing


The process of downsizing often involves dwindling resources and letting staff go. A well-executed downsizing strategy, however, can put an organisation on the road to financial health and stability. The concept reviews the key benefits of this strategy and outlines the four driving forces behind the decision to downsize.

Technique Overview

Downsizing Definition

Downsizing is a strategy designed to reduce the number of employees in the workforce, often with the aim of improving organisational performance and selectively decreasing costs (Sheaffer et al., 2009).

Downsizing Description *

* The full technique overview is available for free. Simply login to our business management platform, and learn all about Downsizing.

Business Evidence

Downsizing Strengths *

Downsizing Weaknesses *

Examples of Downsizing *

* The business evidence section is for premium members only. Please contact us about accessing the Business Evidence.

Business Application

Downsizing Implementation *

Success Factors of Downsizing *

Measures of Downsizing *

* The business application section is for premium members only. Please contact us about accessing the Business application.

Professional Tools

Downsizing Videos *

Downsizing Downloads *

* The professional tools section is for premium members only. Please contact us about accessing the professional tools.

Further Reading

Downsizing Web Resources *

Downsizing Print Resources *

Downsizing References (4 of up to 20) *

  • Ahmadjian, C.L. and Robinson, P. (2001) Safety in Numbers: Downsizing and the Deinstitutionalization of Permanent Employment in Japan. Administrative Science Quarterly, Vol. 46(4), pp. 622-54.
  • Appelbaum, S.H. and Donia, M. (2000) The Realistic Downsizing Preview: A Management Intervention in the Prevention of Survivor Syndrome (Part I). Career Development International, Vol. 5(7), pp. 333-50.
  • Cartwright, S. (2005) Mergers and Acquisitions: An Update and Appraisal. International Review of Industrial and Organizational Psychology, Vol. 20, pp. 1-38.
  • Daft, R.L., Murphy, J. and Willmott, H. (2010) Organization Theory and Design. Cengage Learning, Mason, OH.

* The further reading section is for premium members only. Please contact us about accessing the further reading.


Learn more about KnowledgeBrief Manage and how you can equip yourself with the knowledge to succeed on Downsizing and hundreds of other essential business management techniques