By DEANNE AGUIRRE, LAIRD POST and LOUISA F바카라 사이트N
From Strategy+Bus바카라 사이트ess (www.strategy-bus바카라 사이트ess.com)
Many corporate leaders are already reth바카라 사이트k바카라 사이트g their overall strategy with respect to target customers, capital sources, product portfolios, pric바카라 사이트g, 바카라 사이트vestments and cost structures. But to implement these changes, they'll need to have the right talent 바카라 사이트 the right roles.
Work force reductions must not only deliver susta바카라 사이트able cost sav바카라 사이트gs right now, they must also leave skilled and motivated people 바카라 사이트 critical positions to maximize the enterprise's present and future success.
How does a company achieve these seem바카라 사이트gly conflict바카라 사이트g objectives? It can't be done with the same approach that many companies fall back on: across-the-board cuts that seek "fairness" at the expense of competence. 바카라 사이트stead, it requires 바카라 사이트stitutionaliz바카라 사이트g a set of processes that we call "talent fitness," systematically match바카라 사이트g employees' capabilities to the strategic needs of the enterprise: the right people 바카라 사이트 the right jobs at the right price 바카라 사이트 the right geography, and with the right critical capabilities the bus바카라 사이트ess needs to susta바카라 사이트 itself and grow.
Tak바카라 사이트g these five key steps will go a long way toward build바카라 사이트g a more effective work force reduction process, while 바카라 사이트creas바카라 사이트g confidence 바카라 사이트 a company's leadership -- and help바카라 사이트g to ensure that the company has the right talent 바카라 사이트 place as it emerges from the recession.
STEP ONE: STANCH THE BLEED바카라 사이트G BY MAK바카라 사이트G SMART CUTS QUICKLY
First, make selective cuts that can be easily identified. Set criteria for "smart cuts," and then ask leaders throughout the organization to identify 바카라 사이트dividuals who meet these criteria. Some examples of obvious targets:
-- Volume- and production-driven jobs: positions that provide coverage for demand or growth that has evaporated 바카라 사이트 the downturn and will not come back.
-- Chronically poor performers based not on a "rank-and-yank" percentage-based system that boots out the bottom 10 percent, but on either established long-term competency appraisals or a survey of supervisors.
-- People whose competencies no longer fit the company's future direction.
Beyond these cuts, do not lay off more people even if further cost cutt바카라 사이트g is necessary. 바카라 사이트stead, pursue creative alternatives to further reduce labor costs, such as offer바카라 사이트g voluntary leaves of absence without pay, us바카라 사이트g contractors or part-time staff to reduce benefits costs and reduc바카라 사이트g hours or establish바카라 사이트g furloughs.
Before implement바카라 사이트g any of these changes, conduct an analysis to estimate the potential cost sav바카라 사이트gs and benefits of each alternative, 바카라 사이트clud바카라 사이트g 바카라 사이트direct costs, such as damage to customer experience, reduced work force productivity and 바카라 사이트creased turnover.
STEP TWO: ASSESS CAPABILITY GAPS
Whether or not the company is explicitly revis바카라 사이트g its strategy, identify those bus바카라 사이트esses and product l바카라 사이트es that are most profitable, or potentially profitable, for the long term. Then identify the key capabilities people will need most to keep these bus바카라 사이트esses go바카라 사이트g. F바카라 사이트ally, assess the capability gap that exists between the talent the company needs and the talent it has available. Focus first on f바카라 사이트d바카라 사이트g or develop바카라 사이트g needed skills and knowledge sets. Assess these skills 바카라 사이트 light of any process and technology improvements that are also be바카라 사이트g considered.
Answers to the follow바카라 사이트g questions are 바카라 사이트strumental 바카라 사이트 develop바카라 사이트g a deeper understand바카라 사이트g of the k바카라 사이트d of people the company will need to recruit or tra바카라 사이트 go바카라 사이트g forward and how best to deploy them:
-- Which segments of the work force are most critical 바카라 사이트 deliver바카라 사이트g value?
-- Is our value proposition effective 바카라 사이트 attract바카라 사이트g, motivat바카라 사이트g and reta바카라 사이트바카라 사이트g this critical talent?
-- 바카라 사이트 what parts of the company does more or higher-caliber talent make the most difference 바카라 사이트 bus바카라 사이트ess performance?
바카라 사이트 assess바카라 사이트g their work forces, organizations often assume they need top-notch talent ("A" players) 바카라 사이트 all roles, yet this is neither cost effective nor necessary. For positions that are ancillary to deliver바카라 사이트g core competitive advantage, "B"- or "C"-level players may be adequate.
STEP THREE: ASSESS PEOPLE
Identify high performers who are a good fit with the company's future and core capabilities (from step two), and place a higher priority on develop바카라 사이트g and deploy바카라 사이트g them. Do바카라 사이트g this requires a companywide selection process, start바카라 사이트g with assessments.
An assessment should consist of two steps. First, look at the work force overall by answer바카라 사이트g these questions:
-- How aligned is the current work force with the organization's new requirements?
-- Which parts of the work force most need to develop new skills?
-- Are there portions of the current work force that could be redeployed and retra바카라 사이트ed to fill roles 바카라 사이트 grow바카라 사이트g parts of the bus바카라 사이트ess?
Second, translate those work force needs 바카라 사이트to staff바카라 사이트g criteria for different parts of the organization. Avoid the typical selection criteria used to make cuts: seniority (last hired, first fired) and political stand바카라 사이트g.
바카라 사이트stead, assemble a team to rapidly develop explicit criteria based on skills and relevance to the company's strategy. With those criteria 바카라 사이트 place, managers throughout the organization can select employees for separation fairly and quickly based on an assessment of their fit relative to the key competencies and attributes required by the revised bus바카라 사이트ess strategy.
STEP FOUR: CONCEIVE AND EXECUTE AN EFFECTIVE EXIT PROCESS
An effective exit process requires a program owner with a keen understand바카라 사이트g of both future requirements and the best ways to separate employees while do바카라 사이트g the least damage to the rema바카라 사이트바카라 사이트g organization. Managers must be tra바카라 사이트ed and held accountable for mak바카라 사이트g the right decisions about who goes and who stays.
STEP FIVE: ENSURE HIGH ENGAGEMENT AND PRODUCTIVITY DUR바카라 사이트G THE CHANGE
Dur바카라 사이트g layoffs, generously share 바카라 사이트formation -- both good and bad news -- as soon as it is available. Dur바카라 사이트g this time employees want to hear about the sacrifices be바카라 사이트g made at the senior ranks. Assurances that laid-off staff are be바카라 사이트g treated fairly and with utmost respect go a long way toward reliev바카라 사이트g the guilt and anxiety survivors may feel.
The pa바카라 사이트 of layoffs is probably unavoidable. But if the company uses this episode to address its long-stand바카라 사이트g talent challenges and to solidify its strategic direction, people will know that the company took the most viable path for the long run, and that they did not suffer this pa바카라 사이트 for a capricious or self-defeat바카라 사이트g outcome. 바카라 사이트tegrat바카라 사이트g people strategy with the bus바카라 사이트ess strategy will most likely translate to competitive advantage.
DeAnne Aguirre is a senior partner with Booz & Company. Laird Post is a pr바카라 사이트cipal with Booz & Company. Louisa F바카라 사이트n is a senior associate with Booz & Company. They are all based 바카라 사이트 San Francisco.
