We will take AT &T as an example. “ In 1992, AT &T downsized to remain competitive in the global market. They released 18,000 human operators and replaced them with automated machines.”2

The performance problem by human resource management is simply poor planning. Management did not realize the potential problems that lay ahead for the company as a whole. If downsizing is not effectively planned, managed or implemented it can cause a number of consequences. The consequences up for discussion are:

1. Downsizing causes resentment and resistance in surviving employees

2. Downsizing if not handled carefully will cause financial set backs

HR management must handle employees, both survivors and former, with kid gloves. Downsizing means more than passing out pink slips. Steps must be taken to ensure that the remaining staff feels comfortable so that performance levels do not drop. It is also important to keep the loyalty of former employees simply because they now have become potential customers.

Remaining employees may show signs of inadequacy. They are faced with new responsibilities and positions. They may feel as though they are next to be fired if they do not perf

Closely examine the impact that downsizing will have on the employees, on the competition, and on the costs and the future profitability of the company. Top management support, communication and commitment are critical for the successful development and implementation of the downsizing plan and for the smooth integration of HR planning into the company’s strategic and operational plans.

Reiterate communication throughout the downsizing process. Termination announcements should be made to the entire group, however no employee should be named specifically. HRM should communicate on a private and personal level each employee’s situation.

To minimize the trauma of separation, various programs to assist displaced employees should be put into place, such as counseling seminars, job search workshops, and placement services.

performance to outcome expectancy area, an employee may have an idea of the outcome of poor task performance. They may feel that either they will be fired for doing poorly on the job. On the other hand the employee that does well at a task may expect to keep his or her job as long as they do well. Either way they are unsure of the outcome, yet they perform the task to their ability. Employees may do the task according to what they feel the outcome will be at the time. The valence level will depend on the outcome. If a survivor realizes that after a few weeks of training they can accomplish the job then their valence will be of a positive nature. A feeling of security may come over them. Losing their jobs doesn’t seem like reality anymore. Most companies just announce downsizing, they never tell you why they are downsizing. So a person my feel insecure because in his or her mind the people let go were downsized because of poor work performance. The more confident they feel on the task at hand the more confident they will feel to continue on and expect better thing from themselves. This gives motivation to keep moving. It all boils down to having the right attitude about your job once downsizing has occurred. That attitude can be influenced by what management does to enhance it.

The lack of motivation is one of the dysfunctional employee behaviors. “The expectancy theory is a process motivation theory based on the idea that work effort is directed toward behaviors that people believe will lead to desired outcomes.”5 Employees feel that their level of performance depends on their past experience. If they have never encountered a particular task before than they might experience a slight decrease in self-confidence where the task is concerned. The individual’s effort is the key element in this theory. The effort level depends on effort to performance expectancy, performance to outcome expectancy and outcome valences. Employee motivation is influenced by all three of these and if one of them weakens then motivation is weakened. In the effort to performance expectancy area, an employee may feel that even their best efforts to learn a new job, position or task, may not be good enough after downsizing. The employees have a low expectation of their own ability to do the job. In the

Affected employees are dealt with in a humane and equitable manner. Reassurance of surviving employees and control of all information is necessary to keep peace.

Some topics in this essay:
Ability Motivation, IDENTIFICATION ANALYSIS, Association Management, Care Changing, IMPLEMENTATION SOLUTION, PROPOSED SOLUTION, Future Effective, AT&T Loss, Planning Closely, Implementation Reiterate, corporate culture, surviving employees, task performance, employees feel, poor task, poor task performance, company downsizing, feel fired, effort performance expectancy, people don’t, employee behaviors, effort performance, performance outcome expectancy,