Downsizing 1991 Study LO5431

Daniel Aronson (
Tue, 6 Feb 1996 22:41:32 +0001 (EST)

I've seen this study cited before; does anyone have the full citation?

> However, this is in the best case a harvest strategy, a strategy
> that cannot build up the future, and will only correct mistakes
> of the past. More, we know today that reduction in numbers
> of employees is not a successful strategy to increase
> performance; In one 1991 study of 850 companies which had cut
> staff drastically, only 41% had achieved the savings they hoped
> for. Most failed because they had overseen the 'side-effects' of
> downsizing - like demotivation of staff, what lowered
> performance again.

Daniel Aronson

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