Аннотация:Abstract Several factors that explain differences in the downsizing strategies utilized in organizations are examined in this study of 91 organizations in the automotive industry. Specifically, mutual trust within a top management team is positively associated with a strategy based on organization redesign. Mutual trust between members of an organization and its key customers and suppliers is positively associated with a strategy based on systemic change. Moreover, these two strategies are positively associated with performance outcomes in the areas of cost reduction and quality improvement.
