THE IMPACT OF DOWNSIZING AND RESTRUCTURING ON ORGANIZATIONAL COMPETITIVENESS

Abstract

The pace of organizational change has accelerated, competitive pressures have intensified, and most organizations are now forced to operate within much more complex environments than was the case a relatively few years ago. In the past, many organizations focused on vertical integration as a means of increasing control in uncertain environments and/or taking advantage of economies of scale. High volume was believed to be the key to success. Today, however, organizations are finding it less beneficial to own and operate a large number of factories or to employ a large number of people. Increased global competition has caused many organizations to realize that the key to competitiveness is not “high‐volume” but “high‐value.”

Citation

Lewin, J.E. and Johnston, W.J. (2000), "THE IMPACT OF DOWNSIZING AND RESTRUCTURING ON ORGANIZATIONAL COMPETITIVENESS", Competitiveness Review, Vol. 10 No. 1, pp. 45-55. https://doi.org/10.1108/eb046388