Human Resource Management in Downsizing

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Organizations are continuously downsizing. This is mainly due to the increase in competition which has led companies to find less costly methods to carry on with their operations. The ever increasing use of computers and other peripherals and equipment ha though contributed positively towards the profitability and/or sustainability several companies; human resource has been worst effected by this change.


Despite so many rounds of restructuring, announcing another one has blown off the whole motivation towards work into air. Commitment to organizational objectives is crucial to maintain in such conditions. Commitment refers to attachment and loyalty. It represents the identification of an individual with and involvement in the organization. It consists of the following factors;
The behavior towards the organization also needs to be managed. The visibility of acts, the extent to which the outcomes are irrevocable and the degree to which the person undertakes the action voluntarily are important features of behavior.
Organizations, such as our bank, are facing increased competition and structural change. They are more conscious to get people to identify themselves more closely with the company. To meet these needs, three ways of representing commitments have been identified that are; affective, continuance and normative. Affective commitment deals with the emotional attachments. Continuance commitment is when employee(s) stays with an organization based on his/her perceived cost of staying i.e. the cost of going in search for a new job might be more. Normative commitment refers to the moral commitment of an employee to the organization. ...
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