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Downsize IT Staff for Future Gain with Minimal Pain
Info-Tech Research Group, July 2011
Apply a quick and steady hand. Cut, but don't amputate.
Your Challenge
- Staffing costs comprise the biggest piece of the IT budget. To really cut costs, staff must be a target, but cutting staff is painful and hard to do objectively.
- Maintaining morale and minimizing risk are top priorities during downsizing, regardless of the time frame given to execute the change.
- This solution set will help make quick, smart, and survivable staff reductions.
Our Advice
Critical Insight
- Layoffs are often left too late in the cost-cutting game, leading to sub-optimal decision-making. Cut deep and early with layoffs to contain the pain and realize the financial benefits early.
- Target administration, middle management, and applications roles first since they're least likely to negatively affect IT service delivery. Be cautious when cutting the help desk if service quality will be negatively affected.
Impact and Result
- Understand the implications of different types of staff cuts to minimize the risks brought on by poor decision-making.
- Be sensitive to the negative human impact of downsizing by being as fair, open and decisive as possible.
- Leverage Info-Tech's exploration of IT leader experiences to gain real-life insight into staff downsizing practices.
Get to Action
1.Explore the tactics and pitfalls of trimming staffing costs.
Learn the fundamentals of staff downsizing based on different targets and time frames.
- Storyboard: Downsize IT Staff for Future Gain with Minimal Pain
- Staff Downsizing Case Study: A Lesson in Layoff Avoidance
2.Quickly prioritize where to make staff cuts first.
Target specific functional roles in IT with the goal of preserving the quality of IT service delivery.
- Staff Downsizing Case Study: A Lesson in Unionized IT Shops
- IT Staff Downsizing: Targeting Specific Roles in IT
3.Practice complete due diligence to make objective and optimal reductions.
Understand the end-to-end downsizing decision-making process, from prioritization to reorganization.
- Staff Downsizing Case Study: A Lesson in Preparedness
- IT Staffing Requirement and Allocation Assessment Tool
4.Manage communication and morale.
Limit risk, keep the staff you need, and put your IT department in a position to thrive going forward.
- Staff Downsizing Case Study: A Lesson in Moving Quickly
- Staff Downsizing Case Study: A Lesson in Retention
- Employee Termination and Departure Checklist
*This is a bundle package with multiple titles
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