In any company there are periods when it is necessary to optimize labor resources. If a critical moment comes in the organization, and the activity ceases to be profitable, then the management comes to a decision on the need to reduce personnel costs, and therefore reduce the number of employees. We will talk about what optimization of staff work is and how to carry out activities related to it in this article.
WHAT DOES OPTIMIZATION OF STAFF WORK MEAN?
First of all, it is worth understanding what optimization is. There are several definitions of this term:
Optimization is the choice of the most optimal solution from all possible options, which will allow the enterprise to achieve its goals in the existing economic conditions.
Optimization of the headcount is a reduction in the costs associated with the maintenance of employees of the organization and their remuneration. This is achieved in one of two ways – by dismissing a certain number of work units or by reducing the payroll.
The activities of any organization are aimed at making a profit, provided that costs are minimized. When top management understands that restructuring and further optimization cannot be avoided, then, first of all, cost reduction goes in those areas that are not “profitable”, that is, they do not bring income to the company. Most often, “subordinate” divisions are those where administrative workers are concentrated: secretaries, accountants, HR specialists, lawyers, etc.
As practice shows, the majority of business owners and hired managers begin to lay off those staffing units that are considered “unnecessary”. And most often these include service personnel.
However, the measures taken in most cases do not give any cardinal changes. The staffing level does not change significantly, but there is no one to do the work without which the functioning of any enterprise is impossible. The management gets rid of auxiliary and technical personnel, and it does it intuitively, without a reasoned need. As a result, both the remaining workers and those with whom they had to say goodbye experience discontent and stress. The company’s reputation also suffers from such transformations, since its position in the labor market looks unstable.
Other common management decisions are:
Situations when employees of pre-retirement age are forced to retire early
Moving employees from one rate to another within one department or to another, in which there is no increase in position and salary, and possibly a decrease;
Ignoring the initiative of the employee or agreement of the parties (with payment of compensation) can also lead to the same issue.
Companies also often practice personnel changes, when several divisions are formed into one. In the context of such optimization, department heads are forced to either quit or move to the positions of ordinary specialists.
HOW TO START OPTIMIZING THE WORK OF PERSONNEL AT THE ENTERPRISE?
You can optimize your staff’s performance by introducing the Saas services and apps in your company. Instead of using traditional installed software, Saas provides flexible and instant app solutions. To learn more about how it can optimize the performance of your personnel, please visit Saas Community.
Optimization of staff work
Personnel changes in an organization are never painless, regardless of who is doing the work to optimize personnel. It is difficult for a top manager to decide who the company will have to say goodbye to. Ordinary employees are forced to be in a stressful state until the “verdict is announced.”
Reduction of staff is a difficult task, which is almost impossible to carry out without emotion. The most difficult thing in this situation is to inform each employee that he is fired. More often than not, this responsibility falls to the share of HR professionals.
It is important to remember that in any case, you need to remain human and speak frankly. A small consolation for HR managers will be that in the eyes of the team they will seem more worthy than leaders who chose to stay on the sidelines.