Date Added: Oct 2009
A highly successful international firm that prided itself on a strong commitment to its employees began trimming its staff at the first signs of the downturn. One senior manager convened a meeting to discuss, at length, their strategy if cash went to zero. The organization extended its payout to vendors while requiring quicker payments from its customers. They implemented changes driven by fear, which resulted in spreading high levels of anxiety among workers. This approach cost them a high price in terms of reputation, staff, and potentially the bottom line.