Originally Posted by
aflouisville
Question:
If you owned a company with many divisions which was making an overall profit, but was overstaffed in one division, would you adjust the staffing of that division (by furlough) or retain the overage in that division?
Just a thought
If I owned a company in such a state, before I'd adjust staffing, I'd make sure that I was providing my clients with the best product that I could produce. After that, and before I'd adjust staffing, I'd look out into the marketplace and see where I could make additional profit, by expanding the business that that overstaffed division did. It might require me to slightly lower the client's cost for my product, but with the expectation that because of lower costs, more clients would sign up for my product. If, and only if I was unsuccessful in increasing market share and profitability, would I think of reducing staff, because I know that the most valuable asset of my business is my employees, and that if I were to let some of them go, either by furlough or firings, the long term good will of those employees would be damaged forever. But hey, that's just me.
JJ