The race for securing dominance in the global market is heavily affecting the major agricultural, construction, and turf care companies such as Deere & Company. In an effort to leverage resources and institute cost-saving measures, John Deere released approximately 800 salaried employees and revised its organizational structure. There are several interventions that can be applied to structural design. This paper will examine the interrelated application stages of reengineering and downsizing as well as execution concepts .
Reengineering – Downsizing
1. Clarifying the Organization’s Strategy According to Zedong (2011), downsizing is “typically an ill-conceived attempt by people in power to pander to shareholders or the public to
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2. Assess Downsizing Options and Make Relevant Choices. The continued process of reengineering John Deere’s organizational structure required additional quality improvement and cost savings measures at the department level. According to Zedong (2011), “re-engineering is about examining work processes and finding innovative ways to eliminate waste, duplication, and non-value-added activities. It can result in significant quality improvement, as well as time and cost reduction. But often it requires changes in organization and work habits” (p. 1). Thus, departments need to “rethink how the work gets done” (Cummings & Worley, 2009, p. 341). Therefore in order to assess downsizing options an overview of the diagnosis organizational system model process is necessary with particular concentration on the group level and individual level to ensure changes are aligned with organizational objectives. For example, the call center I supervise was originally designed for ten tier 2 agents, four tier 1 agents and eight to ten contingent workers (during peak season – April through September). Tier 2 agents handle highly sensitive customer issues; tier 1 agents and contingent workers handle frontline calls, general questions, and administrative tasks. Four tier 2 agents either received promotions or left prior to the