Reorganisations, restructures and other major changes

Special considerations for change

You may encounter specific considerations depending on why you are planning a reorganisation.

Relocation

If your business is growing rapidly, you may decide to move premises to accommodate extra staff. Or, you may want to reduce costs by moving to a cheaper location, or be nearer to customers, labour or transport links. Relocation is stressful, so make sure that new premises have quantifiable advantages over the old ones to justify this upheaval.

Potentially, the most damaging effect of relocation can be the ability to retain staff. Develop a relocation support package for employees who are moving with you and consider further financial incentives to retain key staff. Check out the quality, availability and costs of labour in the new area. Consider and consult with suppliers and customers - if suppliers face problems delivering to your new location then you'll need to find new ones, for example.

Thorough research, proper planning and effective execution are essential to ensuring relocation is as smooth as possible. It is a good idea to set up a small team of employees who have the authority and management backing to take decisions. You could also hire a relocation agent if you feel you don't have the relevant skills in-house. Find a relocation agent on the Association of Relocation Agents website.

Mergers or acquisitions

If you are contemplating a merger or acquisition, the people factor becomes hugely important. Reconciling two different business cultures can be extremely difficult. You will need to review salaries and contracts and make sure everyone is remunerated and treated fairly.

If you are planning redundancies, make sure you comply with relevant legislation concerning consultation. See our guide on making an employee redundant.

Whatever form your reorganisation takes, if yours is a larger business you must meet the requirements of the Information and Consultation of Employees (ICE) Regulations, which give employees the right to be consulted and informed about organisational changes. The regulations initially apply to all businesses with more than 150 employees, and will affect all businesses with more than 50 employees from April 2008.

Subjects covered in this guide

• Introduction
• Reasons for changing the way your business is organised
• Different business structures: by function and area
• Different business structures: by product and project
• The importance of planning and communication
• Managing people
• Implementing change
• Systems for delivering change
• Financial considerations
• Special considerations for change
• Here's how I changed my management style as my business grew

Warning: main(http://www.encorepersonnel.co.uk/inc/php/page_functions.php) [function.main]: failed to open stream: Connection refused in /home/sites/encorepersonnel.co.uk/public_html/hrportal/organisation/reorganisations/special.php on line 210

Warning: main(http://www.encorepersonnel.co.uk/inc/php/page_functions.php) [function.main]: failed to open stream: Connection refused in /home/sites/encorepersonnel.co.uk/public_html/hrportal/organisation/reorganisations/special.php on line 210

Warning: main() [function.include]: Failed opening 'http://www.encorepersonnel.co.uk/inc/php/page_functions.php' for inclusion (include_path='.:/usr/share/pear') in /home/sites/encorepersonnel.co.uk/public_html/hrportal/organisation/reorganisations/special.php on line 210