1. Organizational Design, Diagnosis, and Development
Session 18
Techno-structural Interventions, I
Structural design, downsizing & re-engineering

2. Objectives To overview techno-structural design interventions
To review basic structural designs
To examine downsizing and re-engineering as intervention strategies

3. Techno-structural Interventions Overview
Structural design
Downsizing
Re-engineering
Employee involvement programs
Work design

4. Structural Designs

5. Process-based Design Processes drive structure Work adds value
Customers define performance
Teams are key
Teams are rewarded for performance
Teams are linked to suppliers & customers
Teams are informed and cross trained

6. Networked Designs Vertical disaggregation Brokers
Coordinating mechanisms

7. Downsizing Plan Types of employee termination The plan and timetable
The termination plan (positions to be eliminated after analysis to determine required jobs and required employees )
Survivor support plan
Communication plan

8. The Termination Plan Management training re: termination interviews
The severance package
Employee assistance (outplacement, retraining, extended benefits)
Termination notice (lead time allowed,
Method of termination (who and where is the termination interview, pink slip)
Communication program (by whom, when)

9. Survivor Support Plan
Management training addressing survivor concerns, morale
Communication program: to address group & individual concerns
Stress counseling
Employee development plan (training and career planning

10. Other Components Restructuring jobs and compensation packages
Employee development programs
Changes in operating

11. Re-engineering
Examines business and manufacturing processes, end to end.
Goals
Reduce number of steps and defragment work
Group people together who need to be
Reduce cycle times and cost
Innovation
Flexibility

12. Backwards & Forwards
Summing Up: Today’s session considering structural design, downsizing and re-engineering as interventions. Downsizing must be done in the context of other components to realize effect
Looking ahead: Next time, we explore employee involvement programs