RIGHTSIZING - BUILDING AND MAINTAINING STRATEGIC LEADERSHIP AND LONG-TERM COMPETITIVENESS

Although many companies see ''downsizing'' as a way of maintaining com petitive advantage, large-scale staff reductions seldom help an organi zation achieve its hoped-for objectives. Basing their findings on exte nsive field interviews, the authors identify both ineffective and effe ctive downsizing tactics. Voluntary early retirements, say the authors , as well as across-the-board layoffs, are particularly dangerous. Eff ective tactics start with a concerted effort to ''rightsize'' the orga nization in view of a long-term corporate identity. By protecting core competencies and by emphasizing teamwork, training, and leadership du ring reduction, the organization stands a better chance of achieving i ts goals.