More companies are restructuring their teams — and finances — to improve efficiency before a potential recession, according to management consulting firm Korn Ferry. However, reshuffling the wrong way can lead to pushback from employees.
In a recent article, Korn Ferry lays out advice for companies aiming for change. Some of the firm's tips for those at the helm:
- Start sooner rather than later; companies do not want to be the last to "throttle back."
- Do not ask departments to cut costs equally. Instead, work with each team's nuanced needs.
- Communicate what you anticipate is causing the shift. On the surface, many organizations' finances seem fine, which can confuse employees.
- Explain the "big picture," and clearly explain why this moment can bring it into focus.
- Do not linger during the layoff process, and move with empathy.