Scenario 6.1
In 2003, managers at BabyBlooms Corp., a national retailer of baby products, noticed that sales and profits were slumping.Store managers were instructed not to fill any vacant positions, which saved some money.However, by January, 2004, it was essential that BabyBlooms cut expenses further.The firm decided to offer incentives for top managers if they decided to leave before their tenure out of free will.Expenses still remained high, and in May, the firm asked store managers to reduce staff by laying off 10 percent of its workers (about two workers per store).When those cuts were still not enough, management called for store closings in some locations.For example, one of the store closing was announced to employees on August 1 and accomplished by December 1.In locations where stores were not closed, managers were ordered to terminate any under-performing employees, identified by low performance appraisal scores in the last two evaluations.
-Refer to Scenario 6.1.The scenario is the best example of _____.

Question

Quizplus · Accepted Answer

The scenario describes the process of rightsizing, which involves reducing the size of a company's workforce to improve efficiency and profitability. This is done through measures such as offering incentives for voluntary departures, laying off under-performing employees, and closing stores in some locations. The scenario does not involve progressive disciplinary plans, outsourcing, employment at will, or employee retention.

Scenario 6.1 in 2003, Managers at BabyBlooms Corp., a National Retailer of Retailer