Question

In: Operations Management

What conditions or circumstances in your own department should you consider before deciding to reduce staff

What conditions or circumstances in your own department should you consider before deciding to reduce staff

Solutions

Expert Solution

Things to consider before reducing staff

  • Can the excess work be managed by the remaining staff?
  • Will there be significant reduction in operations expenses?
  • How many employees are idle/on bench/not providing any value currently?
  • Is there no requirement for additional staff in forseeable future?
  • Can some processes be automated at a much lesses expense?
  • Can the current employees be trained to provide much more value?
  • Can new employees be hired to do the same job for much lesser salaries?

Considering alternatives to reducing staff

  • Are the employees willing to work for a reduced pay instead of getting retrenched?
  • Can employee benefits be reduced after discussing with the employees?
  • Are they willing to work for fewer hours or shorter shifts?
  • Getting to know if some of the employees are ready to forego their jobs voluntarily?
  • Is there a possibility to shift some of the employees to other departments?
  • Can overtime be eliminated?

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