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Managing Change Due to Downsizing and Outsourcing

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Managing Change Due to Downsizing and Outsourcing
Managing Change due to Downsizing and Outsourcing
Deanie Tuley
Keiser University Managing Change due to Downsizing and Outsourcing Among the most aggravating sources of integration problems in American companies are issues employees have with change in companies. Managing change is an important aspect of every manager’s job, and it is a necessary evil in all companies at one time or another. Making employees feel comfortable through a process of change should be of paramount concern to any manager worth her salt. Change in companies is where any material protocol or element of a job is different and makes the new procedure outside of the employees’ comfort zones. Effective handling can be difficult, especially in two extremely sensitive areas: downsizing and outsourcing.
Downsizing occurs when a company realizes that, for one reason or another, they must cut their workforce in order to protect the finances of the company, or for other legitimate reasons. Outsourcing occurs when a company must take an aspect of their operation and give it to another independent outside company. This is also done for legitimate financial purposes. Though these two operations are done for legitimate financial reasons and for the survival of the company, they are often times the most difficult element of change to deal with as a manager because of how much they affect the employees.
If a manager considers the effect of downsizing and outsourcing from the perspective of the employee, it is easy to see how perception of such change can affect the employee much more than other types of change. For example, if a company begins integrating new software for employee use, the change that occurs will be dealt with by teaching the employees how the new software will actually help them. The employees do not see a threat to their jobs in this scenario; they simply may be angry or upset because they want to do things the old way or are intolerant to change. However, the

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