I have my final report attached and I need to add about 15 pages (expounding on CH 4-6) discussing the effects of downsizing focusing on turnover and morale. As an Operations Manager for Bank of America for 16 years and 11 years in management.This project is detailed in the attachment. Please feel free to ask questions and I can clarify any loose ends

The ADCP Project
The ADCP Project is perhaps the most interesting, rewarding, and at the same time, the most
challenging part of this course. Broadly speaking, the ADCP project involves choosing a problem
you would like to solve, thoroughly researching it, designing a specific plan of action, and
writing an extended report. This report approximately 35-40 pages (excluding the title page,
abstract, table of contents, bibliography, multiple charts, graphs, figures, and the appendix) will
be the major product oil to this course. However, you can always submit more than the
minimum.
Option 1: Applied Design Intervention
In this option, you identify a problem (preferably at your workplace) after some initial
observation and study. After a careful definition of the problem, an intervention to alleviate the
problem is designed, implemented and evaluated. You must organize your written report of
your project into chapters as shown below:
Page 1 – Abstract (summary of the entire project)
Chapter 1: Introduction
Chapter 2: Description of the problem (Research starts at the end of Chapter 2)
Chapter 3: Description of the Intervention (Solution) Give Pros and Cons of the Solutions
Chapter 4: Implementation and Possible Outcome (Choose a solution & how to experiment it)
Chapter 5: The Evaluation Plan (How you are going to measure if your plan is working)
Chapter 6: Conclusion and Recommendations
Chapter 7: Reflections (a discussion detailing what you learned from the project)
Last Page: Bibliography
Running head: EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
Effects of Downsizing on Turnover and Morale
Name
Institutional Affiliation
1
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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Table of Contents
CHAPTER 1 ………………………………………………………………………………………………………………….. 3
Introduction ………………………………………………………………………………………………………………… 4
CHAPTER 2 ………………………………………………………………………………………………………………….. 6
Description of the Problem …………………………………………………………………………………………… 6
CHAPTER 3 ………………………………………………………………………………………………………………… 10
Description of the Intervention ……………………………………………………………………………………. 10
CHAPTER 4 ………………………………………………………………………………………………………………… 14
Implementation and Possible Outcomes ……………………………………………………………………….. 14
CHAPTER 5 ………………………………………………………………………………………………………………… 18
Evaluation Plan …………………………………………………………………………………………………………. 18
CHAPTER 6 ………………………………………………………………………………………………………………… 20
Recommendations ……………………………………………………………………………………………………… 20
Conclusion………………………………………………………………………………………………………………… 21
CHAPTER 7 ………………………………………………………………………………………………………………… 23
Reflections ………………………………………………………………………………………………………………… 23
References ……………………………………………………………………………………………………………………. 25
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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ABSTRACT
The study identifies the effects of downsizing based on the variables of turnover and
employee workplace morale. In the context of organizational performance and employee
performance, an emphasis about this report is made aiming to discuss the effects of downsizing
within an organization. As long as invaluable information will be attained from this source,
strategists maintaining their focus on comprehending downsizing and finding effective strategies
to manage employee performance and reduce turnover. The target population was mainly Bank
of America management and employees but also other organizations that can find it applicable to
use the research in proper control. Throughput the sections, proper discussion on how employees
are affected by downsizing have been presented. Also, as part of the recommendation, the
organization should employ better employee compensation strategy as a mechanism to boost
employee performance and retention. Employee job moral is a critical factor for improving their
overall performance and reducing their intentions to leave the organization.
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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CHAPTER 1
Introduction
In the corporate world, downsizing is popular in most organizations for both those that
are in operational distress and those that are not. Companies are practicing downsizing
mechanism as it is an increasing feature used to analyze the performance and profitability of an
organization (Entrekin, & Scott, 2013) by reducing the cost associated with having many
employees within the organization. Thus, downsizing has presented some effects which we shall
analyze in this project by mainly focusing on its effect on turnover and morale. Concentrating on
improving profitability as an organization is critical towards determining the future success of an
organization that is in a constant battle to survive. Due to downsizing rates of voluntary turnover
usually surge in most cases. Most organization today faces critical times to ensure that they avoid
effects that are related to downsizing. Therefore, the essay seeks to analyze and discuss the
impact of downsizing while focusing on turnover and employee workplace morale.
Dire situations might be present in the organization that makes an organization to
implement downsizing as a tool of reshaping the organization. Later, most survivors help in
bringing back the company to recovery after realizing the impacts created by downsizing
(Entrekin, & Scott, 2013). Moreover, procedural fairness and justice is a necessary procedure for
addressing employee complaints in an organization and finding a confidential solution towards
addressing the issue of downsizing. Companies live with redundancy and employees are forced
to reconsider their status either to maintain or leave. Industries looking forward to increasing
their profitability should work towards finding better solutions to its process (Entrekin, & Scott,
2013). For example, employee turnover and morale are among significant consequences that are
reflected due to company downsizing.
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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The research project has been divided into sections to help in understanding our topic of
study. The report will contain chapter which provides a brief overview of what the essay report
entails. Also, in chapter two, the essay gives a description of the problem regarding the effects
that downsizing has on turnover and morale of employee in my organization which in this case
refers to the Bank of America. In chapter 3, the essay discusses solutions towards mitigating the
problem discussed which entail major strategies for employee retention and how to effectively
minimize turnover. In this part, the essay will focus on strategies such as employee compensation
and benefits as a strategy for reducing employee turnover while increasing employee retention
capabilities within the organization In addition, chapter four discusses on implementation of a
solution and possible outcomes. Also, I shall discuss how to experiment with the solution.
Chapter 5 determines the best evaluation plan that can be used to evaluate the viability of
the various strategies used such as employee compensation scorecard to help in measuring and
determining if the plan will work out. Moreover, considering that a problem has been identified,
interventions to alleviate the problem will be designed and implementation will be critical to help
in getting the best outcome. Also, in chapter 6, the essay analyzes on recommendations and
conclusion regarding the project of study. Chapter 7 briefly demonstrates my summary of lesson
learned throughout the entire project. Additionally, a set of bibliography has been set at the end
of the paper giving references on where research information was found to help in discussing the
main topic.
For purposes of improving financial performance, downsizing is a strategy which makes
most employee fear. Various reasons are presented why downsizing is practiced which include
modernizing, outsourcing, company restructure, and organization redesign (Entrekin, & Scott,
2013). Thus, employees try to find alternative methods to improve their lives better. In case
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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downsizing is implemented on them as part of the human resource unit, various approaches
towards dealing with the issue. However, even though downsizing is implemented, organizations
do not consider to analyze important implication that is brought about by downsizing the
organization (Entrekin, & Scott, 2013). Not only are implications identified but also costs are
incurred during the process of downsizing. Often, employees decide to voluntarily turnover by
overlooking at the remaining goals present within their environments. Therefore, the essay seeks
to analyze and discuss the effects of downsizing focusing on turnover and morale and also have a
look at employee retention strategies to minimize turnover (Martin, 2013).
CHAPTER 2
Description of the Problem
Considering tough economic times, most organizations today rely on downsizing as an
option to remain competitive in relation to organizational commitment. However, many
companies fail to recognize the effects of downsizing and how it affects turnover and morale
itself (Iverson, & Zatzick, 2011). In an effort to reduce or rather cut cost that is incurred,
downsizing seems to be influential in the organization to help in reshaping on how employees
are replaced to have the salary of new employees being cut twice. Thus, it is critical to
understand the relationship created between downsizing and turnover (Ahmad, & Sulaman,
2015). Moreover, when there is an increased turnover, the organization risks being understaffed
due to subsequent turnover. Coherently, most organization regard to retain top influential
performing employees as a safety precaution to lose them to voluntary turnover. Employees see
downsizing as a jarring event; thus their psychological contract risks being violated.
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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Moreover, downsizing does not only make employees reevaluate their position in the
organization but also their situation when they hear an announcement being made concerning
downsizing. Based on a desirable situation, employees would like to retain their position and
confirm their status in an effort to improve their life into greener pastures. Thus, the extent of
employee’s commitment or dedication is often affected by downsizing meaning that turnover is
highly applicable to most employees when downsizing is considered (Ahmad, & Sulaman,
2015). Therefore, employees consider utilizing their options either to stay or turnover on a belief
that downsizing will prevent them from quality performance and improvement in the workplace.
Perception will be based on how effective organizational commitment is done in the
organization. Thus, their morale can only improve if organization regard to procedural justice.
As part of human resource practice, procedural justice influence employee decision on
how they review the organization process. For example, based on payments provided, employees
can boost their morale if payment has been increased but on contrary lower their morale when it
is reduced (Iverson, & Zatzick, 2011). Also, it is a salient process to make employees perceive
that organizational, procedural justice has been relatively administered on high levels.
Downsizing can be influential to employee’s perceptions. Additionally, it is more likely that
employees will consider to stay in the organization or rather face disappointment regard what
extent they can take to be interdependent with the organization (Iverson, & Zatzick, 2011). For
example, some determinants can help identify if an employee will stay or leave due to
downsizing such as friend’s relationships, benefit plans, or either paid sabbaticals.
Moreover, in relation to downsizing and turnover, the career development of employees
also suggests that a positive relationship will be created or not. Career resources centers have
proved to be influential in most organizations which are employed to help in employee
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
assessments on their strengths and what needs to be improved. Also, from managerial training
and training, organizations have failed to orient their employees on care development and
personal growth thus increasing the reasons why they leave after downsizing. Therefore, based
on the utility of leaving or staying, they will be influenced after hearing downsizing
announcements while they consider their option that they are the best fit for new job market
challenges or helping the company grow (Ahmad, & Sulaman, 2015). Therefore, as a
consequence, it is essential for an organization to reconsider their stand on downsizing based on
the fact that they will improve their profitability or lower their standards due to turnover. It is
necessary to practice downsizing, but practices which are done prior to downsizing will
automatically influence turnover.
As part of work experience, downsizing also affects employee’s morale despite the
circumstance of others choosing to leave. Of course, morale matters when it comes to
organization performance after downsizing, but it depends on how much influence was caused.
Interestingly, an employee will feel unsettled due to downsizing and lose their morale which in
turn can be an inevitable consequence which undermines organization productivity (Iverson, &
Zatzick, 2011). The manner by which changes of downsizing have been administered in the
organization will require an organization to seek on best process or strategies to minimize
turnover and improve retention. Moreover, future relationships are built on good morale created
within employees but when not effectively practiced, such activities can threaten industrial
performance. Also, the wellbeing of an employee is influenced by downsizing as they will rate
their situation to be either just or unfair (Iverson, & Zatzick, 2011). Therefore, they will be less
assured about their security. As most employees today think and believe that their company
performance will be rewarded one day, it will be unsure when downsizing is practiced.
8
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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The most organization today fail on the part of convincing employee why downsizing
will be influential for the future of the organization; thus as an organization, they end up risking
downsizing circumstances. Employee response will be less anticipated due to the lack of care
they receive and development option like promotions. Moreover, the lack of enough time for the
management to approve their skills on supporting employees can also be a consequence related
to downsizing. Ironically, more problems will only be created rather than solved due to
redundancy or downsizing. Thus, companies need to be equipped with practical strategies to help
develop survivors or jobless employees.
Despite business today are striving to improve their performance, downsizing is a
challenge towards ensuring the company remains competitive. As part of corporate restructuring,
it is a powerful approach to help in dealing with competition challenges in the work
environment, but productivity and efficiency can be undermined without the consent of
managers in administration (Ahmad, & Sulaman, 2015). Downsizing can case acquisitions,
mergers and also demergers being formed in a result. Additionally, if the organization does to
resort to making employees as their asset, reduction in wages, and lack of development through
training can lead to lower productivity as employees will feel no need of continuing to work. In
essence, more gap will be created due to employee mistrust which is developed among
employers and employees in the whole organization. Employees in an organization are so much
skeptical about any changes made within an organization making them have anxiety even when
new roles have been administered. Moreover, interpersonal relationships are likely to be lost
despite the company being positive towards downsizing influencing future success.
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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CHAPTER 3
Description of the Intervention
Waiting for an employee to exit from an organization can be a missed golden
opportunity. It is essential to fix organizational issues related to employee turnover by employing
effective strategies which will develop more employee turnover room and keep the organization
running towards achieving its goals and objectives of productivity. What motivates and boosts
the morale of employees is an entire touching base that can mitigate the problem of turnover and
institute retention (Kappel, 2017). Thus, employee retention is a necessary process as high costs
are incurred significantly due to employee turnover as much as twice the salary of an employee.
Moreover, from a human resource management perspective, it is worth to invest and have time
considering that retention payoff. Therefore, lost morale will be motivated while talents will be
retained despite turnover which will contribute to organizational performance and success in the
future.
As worldwide turnover rates have increased significantly over the years, an average of
high turnover rates have been recorded at 13.2%. It is vital to implement possible strategies that
can help in mitigation employee turnover and finding solutions to boosting morale among the
organizational employees (Iverson, & Zatzick, 2011). Many reasons might be presented as to
why most employees leave an organization which is even unknown to their employers. Thus,
employers have resorted to strategies that can help make an employee develop a feeling that they
are not only valued but also engaged within the organization for its success (Iverson, & Zatzick,
2011). Real impacts reduce the turnover rates for those who leave jobs due to both non-payment
and payment reasons at 88% and 70% respectively. Therefore, when managers understand the
causes, it will be helpful in finding a better way to implement their strategies.
EFFECTS OF DOWNSIZING ON TURNOVER AND MORALE
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Therefore, as an option of increasing retention and reducing turnover, employers should
determine that retention is initiated by first making recruitment or new hires. When applicants
are screenshot for application and who will attend an interview, employers need to emphasize on
organizational cultures and strategies to provide what aspects are considered within an
organization (Allen, 2008). Moreover, good recruitment will lead to finding quality candidates to
ensure they have the required talents within an organization. Managers such as human resource
managers should incorporate acquisition programs which are related to formal retention
programs. By default, poor recruitment often cost organizations which a disadvantage. For
example, it will cost the i …
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