A case study: The 'downsizing' of an American automobile manufacturer, Oldsmobile Division, GMC

The study represents an examination of the 1986 downsizing event that occurred at Oldsmobile Division, General Motors Corporation within its field staff.;This study analyzed the 1986 reorganization and determined: (1) The strategy and the outcome of the changes implemented; (2) Alternative strategies that might have been implemented; (3) The most effective strategy for future "sizing" activities within Oldsmobile Division.;The dissertation was formulated using the case study format. Material relating to this downsizing event was secured from a number of sources, including both General Motors and Oldsmobile Division. This data was supplemented by interviews from three groups: (1) Members of Oldsmobile Division's current senior management; (2) Members of Oldsmobile Division's senior management during the 1986 reorganization; (3) Employees of Oldsmobile Division who are not now and were not previously members of Oldsmobile Division's senior management.;The literature, as well as the study, indicated that "downsizing" has become viewed as a panacea for all organizational problems. While some "downsizing" activities involve many organizational changes, other than just the elimination of jobs, many do not. The data indicated that merely establishing a "head count target" and dismissing people until this desired staffing level was achieved, was counterproductive for an organization.