After the downsizing LO15974

Benjamin B. Compton (bcompton@enol.com)
Sun, 23 Nov 1997 08:13:38 -0700

Replying to LO15920 --

Tom,

You wrote:

> Our concern is threefold. First, we don't want to lose high-tech talent
> that will be hard to replace. It's a hot job market right now, and our
> best people can easily find jobs with companies that are paying bonuses.
> Second, we need to get the leaner organization refocused on getting the
> business back on track. And third, the VP and I want to champion culture
> change, and a 30 percent RIF will make this an even bigger challenge.

This is a difficult position to be in. The RIF will create in many of
those who remain a strong feeling of insecurity and distrust. "If my
friends can get RIFed, so can I." People will feel like they are objects,
to be moved about like chess peices, in the great game of business. I
suspect that there will be those who are not RIFed who will find another
job. Probably pretty quickly!

You're right about high tech people being able to find jobs quickly. This
is a reality that Sr. Mgmt. in many companies have yet to figure out: The
workforce is as volatile as the market. Those in the high tech industries
simply don't have to work in an environment they don't like. They have
many other choices. (In my case I have three or four job offers at any one
time on the burner. Now that I've made my choice I've refered the other
companies to former colleauges. Now they have a whole bunch of choies.)

I would suggest, from my experience, that you not delve into cultural
change until some time after the RIF. Let things settle down, let people
get comfortable again.

The one thing I would strongly suggest, however, is a great deal of
openness. Talk to people about the RIF, why it is necessary (or why Sr.
Mgmt thinks it is necessary), and what the company will do to recuperate
in the near future. Trust will be low, and openness will go a long way in
preserving the trust between the workers and the managers (assuming there
is already a trusting relationship).

Good luck!

-- 
Benjamin B. Compton
bcompton@enol.com


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