Join Mike Figliuolo for an in-depth discussion in this video Downsizing, part of Executive Decision Making.
- One more example of executive decision-making gone right relates to downsizing and layoffs. I'm familiar with a health services provider that had mulitple facilities in their network. They were struggling financially. Their only option was to close some facilities and layoff a lot associates. What they got right, in terms of executive decision-making principles was, first, a clearly defined decision-making body. They said, "Here are the people who are going to make this call.", and it consists of the board of directors, as well as several people from the operations.
The second principle they applied was they gathered extensive input from associates. Next, they used the right tools. They built several models to tell them what the outcome of this decision could be, both short-term and long-term. Last, they were rigorous around their data. They made sure they had the right information from multiple sources so those models would be accurate. What was great about about their process was they considered the strategic implications of making these changes, both now, as well as what competitive responses might be in the future and how their organization will be positioned in the market, if they made these changes today.
They communicated the closure very clearly to the organization. Every associate knew it was the only option that the company had. They also explained how this was a difficult decision, but it's in the best interest of the broader organization long-term. The result of properly applying all of these principles was, first, facilities were closed and people were laid off. That was unfortunate, but everyone understood why, and they felt like they had been treated fairly.
Even the associates who had been laid off were okay with the decision because they understood the rationale behind it. Several years later, this organization was held up as an example of how to properly remove compacity from a network and do so in a way that was, both, caring and compassionate to the associates involved.
Mike helps you find the data and tools to support your decision, make the call, communicate decisions effectively, and lead your organization through the change. He'll also address common problems that arise from these high-profile decisions: cultural differences, quality of information, trust, and accountability, to name a few.
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- Assessing risks
- Making hard choices
- Getting the right data
- Communicating effectively
- Making the call
- Declaring success
- Dealing with problems