Changes Resulting in New Workforce Plan

Question 1

Restructuring

Answer 1

A deliberate act of reorganizing a company in a manner that may affect legal or
operational ownership. Restructuring is caused by changes in strategy, organizational structure, or
downsizing (aka reduction in force or RIF).

Question 2

Acquisition

Answer 2

When a company is bought by another company (e.g., Coca-Cola’s purchases of Vitaminwater, Honest Tea and FUZE tea)

Question 3

Merger

Answer 3

When the acquired company and the company that purchased them combine into a new company (e.g, AOL and Time Warner)

Question 4

Divestiture

Answer 4

• When a portion of a company is sold to another company (e.g., Ford Motor Company sold its Land Rover and Jaguar auto lines to Tata Motors)
• Implemented workforce plan to deal with duplicate roles and to repurpose other roles