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  • Essay / Advantages and Disadvantages of Downsizing in an...

    In this essay I will discuss what is downsizing in an organization. I will also mention the pros and cons of rationalization and relate/compare it to social organization. I will also talk about Fordism and the Hawthorne Effect and how these theories can impact or improve businesses like Junction Hotel. Junction Hotel is looking to cut costs but does not want standards to drop as well as the hotel's reputation. There are different approaches that businesses like Junction Hotel can take to reduce costs; To achieve this, one solution would be rationalization. Streamlining is a method of organizing the business structure, i.e. workers and managers, to achieve full performance and capacity. One way to achieve this would be through a hierarchy or bureaucratic structure. Currently, in the Junction Hotel, there is no fixed management; this means that policies and procedures are unclear and staff do not know who to report problems to during work. Staff are unable to fulfill their assigned roles because job descriptions have not been fully explained and there are no clear objectives and goals. For example, the head chef manages the staff while the head chef should manage the kitchen. An Ofsted report shows the consequences of poor bureaucracy when a social work department is not managed as it should be, roles are unclear and targets are not met, this which led to the death of a young girl. [BBC 2010]Streamlining is work designed to achieve maximum efficiency and reduce costs, encompassing aspects of bureaucracy and scientific work design. Fordism is a theory that Henry Ford established based on his production of automatisms..... middle of paper ...than those in your group, then you are a rate breaker, but if you do nothing and wait for others to do all the work, then you are a fraud. For the Junction Hotel staff, some do not understand their actual role or what they are supposed to do, while others perform tasks for the rest of the group as well as their own individual tasks. Additionally, groups have a much greater impact on workers than management, resulting in group output reflected by culture. [Miller and Form 1964]The use of computer technology and software is very important today, almost every business has important documents such as customer details, accounts, employee schedules and pay checks , all of which are processed and created on computers. Junction Hotel must ensure that it employs staff capable of managing online accounts to avoid unprecedented errors and accidents..