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Iā€™m a survivor!
by Toronto Training and HR
September 2013
CONTENTS
5-6 Definitions
7-8 Work behaviour components
9-12 Typical scenarios
13-14 Strategies
15-17 Emotions
18-21 Forms of loss
22-23 Justice in the workplace
24-25 The organizational re-design process
26-31 Downsizing
32-34 Alternatives to downsizing
35-38 Layoffs
39-41 The costs of layoffs
42-44 What can I say?
45-48 What can I do?
49-50 Conclusion and questions
Page 2
Page 3
Introduction
Page 4
Introduction to Toronto Training
and HR
Toronto Training and HR is a specialist training and
human resources consultancy headed by Timothy Holden
10 years in banking
10 years in training and human resources
Freelance practitioner since 2006
The core services provided by Toronto Training and HR
are:
Training event design
Training event delivery
Reducing costs, saving time plus improving
employee engagement and morale
Services for job seekers
Page 5
Definitions
Definitions
ā€¢ Survivor syndrome
ā€¢ Rightsizing
ā€¢ Downsizing
ā€¢ Restructuring
ā€¢ Rationalization
ā€¢ Retrenchment
ā€¢ LIFO
ā€¢ FIFO
Page 6
Page 7
Work behaviour
components
Work behaviour components
ā€¢ Lack of productivity and
sabotage
ā€¢ Intention for flight
ā€¢ Motivation
Page 8
Page 9
Typical scenarios
Typical scenarios 1 of 3
ā€¢ Lowered productivity
ā€¢ Fatigue and tiredness
ā€¢ Reduced levels of employee
engagement
ā€¢ Higher rates of sickness
absence including stress-
related health issues
ā€¢ Decline in customer service
ā€¢ Apprehension about the future
ā€¢ Excessive spreading of
rumours and gossip
Page 10
Typical scenarios 2 of 3
ā€¢ Drinking alcohol or smoking
ā€¢ Withdrawal from team-based
activities
ā€¢ Focusing all of one's attention
on "flight" or "getting out" of
the situation, instead of
focusing on work done
ā€¢ Diminished creativity and
innovation
ā€¢ Insecurity, anxiety and fear
ā€¢ Resignation and sluggishness
Page 11
Typical scenarios 3 of 3
ā€¢ Communication difficulties
ā€¢ Feelings of injustice, distrust
and often anger towards the
organization
ā€¢ Observation that optimism is
not an attitude that squares
with the organizationā€™s
overriding values
ā€¢ Competitive and very divisive
atmosphere
ā€¢ Resistance to change
ā€¢ Intention to leave employment
Page 12
Page 13
Strategies
Strategies
ā€¢ Push or stopping
ā€¢ Pull or detachment
Page 14
Page 15
Emotions
Emotions 1 of 2
ā€¢ Theoretical frameworks
ā€¢ Basic emotions
ā€¢ Positive and negative emotions
ā€¢ Employee emotions during
organizational change
ā€¢ Emotions and change
ā€¢ Organizational perceptions of
emotions
Page 8
Emotions 2 of 2
ā€¢ Traditional approach
ā€¢ Alternative approach
Page 17
Page 18
Forms of loss
Forms of loss 1 of 3
ā€¢ Loss of security and support
ā€¢ Loss of control
ā€¢ Loss of positive outlook
ā€¢ Loss of self-efficacy
ā€¢ Loss of territory
ā€¢ Loss of identity
ā€¢ Loss of perceived competence
ā€¢ Loss of relationships
ā€¢ Loss of justice and truth
Page 19
Forms of loss 2 of 3
THEORIES
ā€¢ Psychodynamic theory
ā€¢ Attachment theory
ā€¢ Task theory
ā€¢ Social learning theory
ā€¢ Cognitive behavioural theory
ā€¢ Constructivist theory
ā€¢ Transition theory
Page 20
Forms of loss 3 of 3
ā€¢ Stages of grieving
ā€¢ Sense of justice and
supervisory support
ā€¢ Dealing with loss
Page 21
Page 22
Justice in the workplace
Justice in the workplace
ā€¢ Types of justice
ā€¢ Equity theory
ā€¢ Organizational justice theory
ā€¢ Downsizing and justice
Page 23
Page 24
The organizational re-
design process
The organizational re-design
process
ā€¢ Define key principles
ā€¢ Review programs and activities
ā€¢ Re-design structures and
processes
ā€¢ Review roles and functions
ā€¢ Align decisions in planning and
strategies
Page 25
Page 26
Downsizing
Downsizing 1 of 5
PERCEPTIONS
ā€¢ Financially effective
ā€¢ Inevitable
ā€¢ Liberating
Page 27
Downsizing 2 of 5
IDENTIFYING EXCESS POSITIONS
ā€¢ Assess current organizational
structure
ā€¢ Pinpoint surplus individuals and
overlap
ā€¢ Determine optimal organizational
structure
ā€¢ Highlight excess positions in the
organizational structure
Page 28
Downsizing 3 of 5
DECISION TO DOWNSIZE
ā€¢ Cost reduction
ā€¢ Productivity improvement
ā€¢ Responding to competitive
threats
ā€¢ Consolidation after a merger or
acquisition
ā€¢ Increasing efficiency
Page 29
Downsizing 4 of 5
WAS IT FAIR?
ā€¢ Whether it was justified
ā€¢ Whether it was consistent with
corporate culture
ā€¢ Whether management provided
ample advanced notice
ā€¢ Whether management provided
adequate explanations
ā€¢ Whether senior managerial levels
were also affected
Page 30
Downsizing 5 of 5
WAS IT FAIR? (CONTINUED)
ā€¢ Extent to which terminated
employees were taken care of
ā€¢ Extent to which employees were
involved in the downsizing process
Page 31
Page 32
Alternatives to downsizing
Alternatives to downsizing 1 of 2
ā€¢ Hiring linking to vision
ā€¢ Cross training
ā€¢ Succession planning
ā€¢ Redeployment within the
organization
ā€¢ Employee buy-out
ā€¢ Comprehensive savings
ā€¢ Reduced hours
ā€¢ Lower salaries
Page 33
Alternatives to downsizing 2 of 2
ā€¢ Attrition
ā€¢ Alternative placement
ā€¢ Leave of absence
ā€¢ Employee buy-outs
Page 34
Page 35
Layoffs
Layoffs 1 of 3
ā€¢ develop an effective
communication strategy which
is ongoing and consistent with
as much information as
possible
ā€¢ plan the layoff process so that
it is ā€“ and is seen to be ā€“
fair, objective and transparent
ā€¢ treat those employees at risk
of losing their jobs, are treated
with compassion and respect
Page 36
Layoffs 2 of 3
ā€¢ try to do all the cuts at the same time
and provide a ā€˜soft landingā€™ ideally
ā€¢ if possible tell survivors how the
decisions were made
ā€¢ make sure that the survivors know
that you understand they may
experience problems after the
restructuring, and that they will be
given practical assistance after the
layoffs have taken place
ā€¢ be as open and honest with
employees as possible to foster trust
Page 37
Layoffs 3 of 3
ā€¢ develop success criteria ā€“ as well as
identifying objectives linked to the
layoffs, ensure that targets based on
the remaining workforce are
developed-one measure of a
successful layoff exercise lies in the
number of survivors who
subsequently remain (rather than
resign) and who continue to be
motivated and perform at their
previous level of competence
Page 38
Page 39
The costs of layoffs
The costs of layoffs 1 of 2
ā€¢ Severance pay
ā€¢ Paying out accrued vacation
and sick pay
ā€¢ Outplacement costs
ā€¢ Cost of rehiring employees in
the future
ā€¢ Low morale and risk-adverse
survivors
ā€¢ Potential lawsuits
ā€¢ Sabotage
Page 40
The costs of layoffs 2 of 2
ā€¢ Workplace violence from
aggrieved employees or former
employees
ā€¢ Loss of institutional memory
and knowledge
ā€¢ Diminished trust in
management
ā€¢ Reduced productivity
Page 41
Page 42
What can I say?
What can I say? 1 of 2
CO-WORKERS
ā€¢ Sad to hear about it
ā€¢ Display empathy
ā€¢ Offer to help in any way
ā€¢ Listen
ā€¢ Not too many questions
ā€¢ Let them guide the discussion
Page 43
What can I say? 2 of 2
MANAGERS
ā€¢ Be open and honest about your
feelings
ā€¢ Demonstrate personal empathy
ā€¢ Respect individualism
ā€¢ Prepare and distribute question
and answer documents
ā€¢ Shift focus to the future
ā€¢ Offer visible support
ā€¢ Apply multiple communication
channels
Page 44
Page 45
What can I do?
What can I do? 1 of 3
ā€¢ Thorough, two-way
consultation with a clear vision
of a brighter future
ā€¢ Practical support in managing
workloads
ā€¢ Support in skill development to
equip staff for new ways of
working
ā€¢ Involvement in change
programs
Page 46
What can I do? 2 of 3
RESPONDING TO SURVIVORS
ā€¢ Treatment of survivors
ā€¢ Ignoring and distancing
ā€¢ Managers and organizational
silence
ā€¢ Underestimating the survivor
loss
Page 47
What can I do? 3 of 3
SCOPE FOR IMPROVEMENT
ā€¢ Trust in management
ā€¢ Levels of employee
engagement
ā€¢ Productivity
ā€¢ Stress levels
Page 48
Page 49
Conclusion and questions
Page 50
Conclusion and questions
Summary
Videos
Questions

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I'm a survivor! September 2013

  • 1. Iā€™m a survivor! by Toronto Training and HR September 2013
  • 2. CONTENTS 5-6 Definitions 7-8 Work behaviour components 9-12 Typical scenarios 13-14 Strategies 15-17 Emotions 18-21 Forms of loss 22-23 Justice in the workplace 24-25 The organizational re-design process 26-31 Downsizing 32-34 Alternatives to downsizing 35-38 Layoffs 39-41 The costs of layoffs 42-44 What can I say? 45-48 What can I do? 49-50 Conclusion and questions Page 2
  • 4. Page 4 Introduction to Toronto Training and HR Toronto Training and HR is a specialist training and human resources consultancy headed by Timothy Holden 10 years in banking 10 years in training and human resources Freelance practitioner since 2006 The core services provided by Toronto Training and HR are: Training event design Training event delivery Reducing costs, saving time plus improving employee engagement and morale Services for job seekers
  • 6. Definitions ā€¢ Survivor syndrome ā€¢ Rightsizing ā€¢ Downsizing ā€¢ Restructuring ā€¢ Rationalization ā€¢ Retrenchment ā€¢ LIFO ā€¢ FIFO Page 6
  • 8. Work behaviour components ā€¢ Lack of productivity and sabotage ā€¢ Intention for flight ā€¢ Motivation Page 8
  • 10. Typical scenarios 1 of 3 ā€¢ Lowered productivity ā€¢ Fatigue and tiredness ā€¢ Reduced levels of employee engagement ā€¢ Higher rates of sickness absence including stress- related health issues ā€¢ Decline in customer service ā€¢ Apprehension about the future ā€¢ Excessive spreading of rumours and gossip Page 10
  • 11. Typical scenarios 2 of 3 ā€¢ Drinking alcohol or smoking ā€¢ Withdrawal from team-based activities ā€¢ Focusing all of one's attention on "flight" or "getting out" of the situation, instead of focusing on work done ā€¢ Diminished creativity and innovation ā€¢ Insecurity, anxiety and fear ā€¢ Resignation and sluggishness Page 11
  • 12. Typical scenarios 3 of 3 ā€¢ Communication difficulties ā€¢ Feelings of injustice, distrust and often anger towards the organization ā€¢ Observation that optimism is not an attitude that squares with the organizationā€™s overriding values ā€¢ Competitive and very divisive atmosphere ā€¢ Resistance to change ā€¢ Intention to leave employment Page 12
  • 14. Strategies ā€¢ Push or stopping ā€¢ Pull or detachment Page 14
  • 16. Emotions 1 of 2 ā€¢ Theoretical frameworks ā€¢ Basic emotions ā€¢ Positive and negative emotions ā€¢ Employee emotions during organizational change ā€¢ Emotions and change ā€¢ Organizational perceptions of emotions Page 8
  • 17. Emotions 2 of 2 ā€¢ Traditional approach ā€¢ Alternative approach Page 17
  • 19. Forms of loss 1 of 3 ā€¢ Loss of security and support ā€¢ Loss of control ā€¢ Loss of positive outlook ā€¢ Loss of self-efficacy ā€¢ Loss of territory ā€¢ Loss of identity ā€¢ Loss of perceived competence ā€¢ Loss of relationships ā€¢ Loss of justice and truth Page 19
  • 20. Forms of loss 2 of 3 THEORIES ā€¢ Psychodynamic theory ā€¢ Attachment theory ā€¢ Task theory ā€¢ Social learning theory ā€¢ Cognitive behavioural theory ā€¢ Constructivist theory ā€¢ Transition theory Page 20
  • 21. Forms of loss 3 of 3 ā€¢ Stages of grieving ā€¢ Sense of justice and supervisory support ā€¢ Dealing with loss Page 21
  • 22. Page 22 Justice in the workplace
  • 23. Justice in the workplace ā€¢ Types of justice ā€¢ Equity theory ā€¢ Organizational justice theory ā€¢ Downsizing and justice Page 23
  • 24. Page 24 The organizational re- design process
  • 25. The organizational re-design process ā€¢ Define key principles ā€¢ Review programs and activities ā€¢ Re-design structures and processes ā€¢ Review roles and functions ā€¢ Align decisions in planning and strategies Page 25
  • 27. Downsizing 1 of 5 PERCEPTIONS ā€¢ Financially effective ā€¢ Inevitable ā€¢ Liberating Page 27
  • 28. Downsizing 2 of 5 IDENTIFYING EXCESS POSITIONS ā€¢ Assess current organizational structure ā€¢ Pinpoint surplus individuals and overlap ā€¢ Determine optimal organizational structure ā€¢ Highlight excess positions in the organizational structure Page 28
  • 29. Downsizing 3 of 5 DECISION TO DOWNSIZE ā€¢ Cost reduction ā€¢ Productivity improvement ā€¢ Responding to competitive threats ā€¢ Consolidation after a merger or acquisition ā€¢ Increasing efficiency Page 29
  • 30. Downsizing 4 of 5 WAS IT FAIR? ā€¢ Whether it was justified ā€¢ Whether it was consistent with corporate culture ā€¢ Whether management provided ample advanced notice ā€¢ Whether management provided adequate explanations ā€¢ Whether senior managerial levels were also affected Page 30
  • 31. Downsizing 5 of 5 WAS IT FAIR? (CONTINUED) ā€¢ Extent to which terminated employees were taken care of ā€¢ Extent to which employees were involved in the downsizing process Page 31
  • 33. Alternatives to downsizing 1 of 2 ā€¢ Hiring linking to vision ā€¢ Cross training ā€¢ Succession planning ā€¢ Redeployment within the organization ā€¢ Employee buy-out ā€¢ Comprehensive savings ā€¢ Reduced hours ā€¢ Lower salaries Page 33
  • 34. Alternatives to downsizing 2 of 2 ā€¢ Attrition ā€¢ Alternative placement ā€¢ Leave of absence ā€¢ Employee buy-outs Page 34
  • 36. Layoffs 1 of 3 ā€¢ develop an effective communication strategy which is ongoing and consistent with as much information as possible ā€¢ plan the layoff process so that it is ā€“ and is seen to be ā€“ fair, objective and transparent ā€¢ treat those employees at risk of losing their jobs, are treated with compassion and respect Page 36
  • 37. Layoffs 2 of 3 ā€¢ try to do all the cuts at the same time and provide a ā€˜soft landingā€™ ideally ā€¢ if possible tell survivors how the decisions were made ā€¢ make sure that the survivors know that you understand they may experience problems after the restructuring, and that they will be given practical assistance after the layoffs have taken place ā€¢ be as open and honest with employees as possible to foster trust Page 37
  • 38. Layoffs 3 of 3 ā€¢ develop success criteria ā€“ as well as identifying objectives linked to the layoffs, ensure that targets based on the remaining workforce are developed-one measure of a successful layoff exercise lies in the number of survivors who subsequently remain (rather than resign) and who continue to be motivated and perform at their previous level of competence Page 38
  • 39. Page 39 The costs of layoffs
  • 40. The costs of layoffs 1 of 2 ā€¢ Severance pay ā€¢ Paying out accrued vacation and sick pay ā€¢ Outplacement costs ā€¢ Cost of rehiring employees in the future ā€¢ Low morale and risk-adverse survivors ā€¢ Potential lawsuits ā€¢ Sabotage Page 40
  • 41. The costs of layoffs 2 of 2 ā€¢ Workplace violence from aggrieved employees or former employees ā€¢ Loss of institutional memory and knowledge ā€¢ Diminished trust in management ā€¢ Reduced productivity Page 41
  • 43. What can I say? 1 of 2 CO-WORKERS ā€¢ Sad to hear about it ā€¢ Display empathy ā€¢ Offer to help in any way ā€¢ Listen ā€¢ Not too many questions ā€¢ Let them guide the discussion Page 43
  • 44. What can I say? 2 of 2 MANAGERS ā€¢ Be open and honest about your feelings ā€¢ Demonstrate personal empathy ā€¢ Respect individualism ā€¢ Prepare and distribute question and answer documents ā€¢ Shift focus to the future ā€¢ Offer visible support ā€¢ Apply multiple communication channels Page 44
  • 46. What can I do? 1 of 3 ā€¢ Thorough, two-way consultation with a clear vision of a brighter future ā€¢ Practical support in managing workloads ā€¢ Support in skill development to equip staff for new ways of working ā€¢ Involvement in change programs Page 46
  • 47. What can I do? 2 of 3 RESPONDING TO SURVIVORS ā€¢ Treatment of survivors ā€¢ Ignoring and distancing ā€¢ Managers and organizational silence ā€¢ Underestimating the survivor loss Page 47
  • 48. What can I do? 3 of 3 SCOPE FOR IMPROVEMENT ā€¢ Trust in management ā€¢ Levels of employee engagement ā€¢ Productivity ā€¢ Stress levels Page 48
  • 50. Page 50 Conclusion and questions Summary Videos Questions