Case Study $15$: Executive Summary

What is the purpose of this report?

Q What problem is being addressed? Summarize briefly$$avoid unnecessary detail?

Employee lay off in MNC semic$$ductor company: How organizational support overcoming employees' dissatisfaction and assist in increasing worker motivation.

Identification of key issues

$,MNC$ semiconductor company ABC facing unreasonable decline in $PC$ processor demands. Since many employees are practiced working from home since the pandemic, the demand for computer supplies decreases.

Market share loss. The company has been facing a loss in their market share and there is an increase in competition between their rivalries.

Facing overstaff issue. With a less demand of their product in the market, their number of staffs look higher. There are many departments and many staffs, but the sales are decreasing gradually. This causes a loss to the company as they had to pay their staffs even when there is less sales and no visible profit gained.

Decides to layoff employees. Laying off is a loss for the company and also for the employees. The company loses their talents, and the employees loses their income.

Analyze behavior & motivation

Laying off employees causes a dissatisfaction and low performance among the employees. The employees feel demotivated to work as they are very worried about losing their job. They have to wait for months to land into another job if they are laid off suddenly. They also tend to underperform during this period as they perceive that their performance is not important as the company is somehow ready to lay off their employees. There was a stressful working environment in the company. They were all talking about the lay off issue and their focus on work was slowly reducing.

Addressing challenges $/$ improving the situation

$,MNC$ semiconductor company ABC proposed a lay off plan for the employees. The plan was well panned with many crucial aspects which will benefit the employees. The recognized the affected employee and had one to one meeting with them. They gave their moral support towards them. The company has also decided to give a compensation package based on their performance before they lay off them. The compensation package will be very useful for the employees in the future. A $60$ days' notice was also proposed.