The current economic crisis has forced many organizations to strategically restructure and downsize. Broadway Brokers is not immune to these economic challenges and has faced competition from discount brokers and Internet brokerage services. Broadway Brokers' position of having the largest market share has been jeopardized by their slow reaction to the ever-changing changes within the industry. Broadway Brokers staff possessed strong interpersonal and sales skills, yet lacked knowledge of the high tech skills that had flooded the market. Organizations' lack of adaptation to new technologies and their absorbent overheads were threatening their profitability. The organization was faced with the need to restructure, consolidate and implement employee layoffs to remain competitive in the current financial climate. Rumors of impending office consolidations and staff layoffs had been circulating for some time. However, the CEO's comment in a Financial Times article confirmed those rumors. In fact, top management had already made the decision to implement a structural plan that would dramatically reduce office space, close offices, and reduce employee levels throughout the organization. Top management was dead set on downsizing and consolidation and was now relying on its management staff to come up with a plan to implement a transition. A dozen of the company's most respected managers, from assistant vice presidents to CEOs, came together to devise a plan for change (Jick & Peiperl 2003). In developing a transition plan many concerns were presented to the management staff for consideration. First, Broadway Brokers has grown successfully and has not been… middle of paper… and a potentially more flexible organization. The management team at Broadway Broker is faced with the challenging task of scaling and consolidating the organization. A thorough investigation into how to execute the proposed changes will be necessary before the organization can move forward. Change processes must be executed in a way that represents compassion and consideration for all involved. For change to be successful, the management team must have understanding and empathy for the psychological impact of the imposed change and how employees will react. Most human beings are afraid of change and do not embrace it in a positive way. However, the road ahead will be difficult for Broadway Broker's management team; with proper planning and understanding, positive change can support the future of the organization.
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