a communication plan

Communication is critical at all levels of the organization. Managers of every organization are required to provide members with reliable knowledge. Contact is one of the “Must Have” qualities for administrators, according to Schermerhorn and Bachrach (2016). The manager should be able to communicate effectively with others through contact that includes a good oral presentation, publishing, technology use, and feedback (Schermerhorn & Bachrach, 2016). This paper describes a manager’s contact strategy for Samsung Electronics, with the aim of informing stakeholders about the layoff of 1,500 employees. It is important to recognize that any stakeholder has an involvement in the company. While some may welcome such a plan, it may not be well received by others.

Communication Goals

Although laying off workers is a difficult task, it is a necessary undertaking for the organization. The main aim of the plan is to communicate the transition the organization is about to take as effectively as possible. It is the goal of the communication to inform the stakeholders of the intentions of the organization throughout the transition process. Therefore, the plan intends to leave no questions unanswered in regards to the change process.

The main stakeholders that the plan targets are shareholders, employees (those who will be laid off and those who will remain), and the members of the community.

Therefore, these types of stakeholders form the audience for the communication plan. The main concern of the organization will be the 1,500 employees that will be laid off. This plan is developed keeping them in mind because they are ones that will be severely affected by the transition. Also, the community is targeted since it is necessary that they understand the situation of the firm and how it plans to handle it. The intention of the organization is to restructure and return to profitability without leaving the people that created it feeling alienated.

The Need for Change

It is important that the stakeholders, particularly, the employees understand the need for the transition. They have to understand the situation the firm is facing in order for them to accept any decisions that may be made by the management. It is assumed that the employees already know change is coming and they are mentally prepared for announcements that may be made by the management. The factors that may have made employees aware of the coming changes include poor organizational performance, lack of raises, and budget cutbacks. Therefore, when the announcement to lay off the employees is made, it will not come to them as a surprise. The stakeholders have to understand that the layoffs have to be made for the continuity of the organization. It is important that they understand that without the planned layoffs, the firm risks closing down. Therefore, the need for the transition has to be understood by the stakeholders including the employees that may be laid off.

Impact on Stakeholders

The decision to lay off the employees will affect the stakeholders differently. While the decision may come as a relief to the shareholders of the company, other stakeholders like employees and the community are going to be displeased (Pfeil, Setterberg, & O’Rourke., 2004). The shareholders of the company will be pleased because the transition means the continuity of the organization is guaranteed. Therefore, in the case the fortunes of the organization turn around as a result of the change strategy, they are likely to benefit. On the hand, employees, particularly those that will be laid off, will be severely affected. They will be rendered jobless and thus will face a new challenge of trying to secure new employment. For those that will remain in the firm, they may have to handle more tasks without necessarily having a pay rise. The community members will also be impacted negatively since more of them will be unemployed.

Key Trends

As the firm plans to enter into a new phase, there are key trends that are likely to be experienced. A new culture is bound to be created as a result of the change strategy. With the restructuring, the previous culture is unlikely to survive in the newer phase. Therefore, a newer culture that is expected to change the fortunes of the organization is likely to emerge. Customers of the company are going to be affected negatively. This is because, with a reduced number of employees, it is probable that their needs will not be addressed as before. It is a matter that the organization has to take into consideration.

Assumptions

There are assumptions made in regards to the communication of the plan to lay off the employees. First, the laying off of the employees is the only remaining option necessary to bring the firm back to profitability. Without the layoff, the organization will continue performing poorly and will eventually close down. Second, it is assumed that the layoffs are going to be permanent. Therefore, the plan does not intend to inform the stakeholders that the move would be temporary.

Risks

The plan to lay off employees is bound to be affected by some risks. The first challenge that the firm is going to face with respect to the layoff is legal risks. In the case prior notice has not been given to employees, the organization is likely to be faced by lawsuits that can affect operations negatively. There is also the risk of low morale by employees that remain. This is because they may be affected emotionally when they lose colleagues they have worked with for several years. As such, the transition is likely to be impacted by these risks.

SWOTT Analysis

Strengths

As consumer electronics firm, innovation characterizes its operations as it spends heavily on research and development. It has strong manufacturing capacity as well. The company also has maintained good relationships with retailers that aid in the distribution of its products.

Weaknesses

Competitors have superior marketing capabilities that attract customers from the firm. Also, other small firms are catching up with the firm’s capabilities and are thus taking the market share. High manufacturing costs have also affected profitability.

Opportunities

Growing market for consumer electronics in regions not tapped by competitors. There is a growing use of the internet to sell directly to customers.

Threats

The company faces serious threats from the products of competitors. Competitors are also manufacturing products that were primarily made by the company.

Trends

The market for consumer electronics is always changing with variation in needs of the consumer. New technologies are being introduced frequently as firms try to out-compete one another. Therefore, emerging products in the industry have newer features that are likely to attract customers.

Conclusion

The decision to lay off workers is a difficult one for any organization. It requires careful planning in order to avoid and reduce the risks that come with the undertaking. Most importantly, the manager’s communication regarding the transition has to be timely, relevant, and comprehensive. This paper has presented the manager’s communication plan to stakeholders that is necessary as the firm transits into a new phase.

References

Pfeil, M. P., Setterberg, A. B., & O’Rourke., J. S. (2004). The art of downsizing: Communicating lay-offs to key stakeholders. Journal of Communication Management , 8 (2), 130-141.

Schermerhorn, J. R., & Bachrach, D. G. (2016). Exploring Management. Hoboken: Wiley.