NAME: O M SANTHOSH

REG NO: BP22MGMT0100212

CLASS: MBA 1ST YEAR

SUBMITTED TO: Dr CHITRA K
CASE STUDY OF IBM IN ORGANIZATION
COMMUNICATION

In 2014, IBM announced a major restructuring that involved laying off

thousands of employees as part of a plan to refocus the company on growth
areas such as cloud computing and artificial intelligence. The company used a
variety of communication channels to manage the change and maintain
employee morale.

One key aspect of IBM's change management communication strategy was

transparency. The company provided regular updates on the restructuring
process, including details on which business units would be affected and how
many jobs would be cut. The company also held town hall meetings and
webcasts to answer employees' questions and address concerns.

Another important element of IBM's communication strategy was empathy.

The company acknowledged the impact that the layoffs would have on
employees and their families, and provided resources such as job placement
assistance and counselling services. IBM also emphasized its commitment to
treating employees with respect and dignity throughout the process.

IBM's communication strategy also focused on the company's long-term vision

and strategy. The company emphasized its commitment to innovation and
growth, and highlighted the new opportunities that would be available to
employees in growth areas such as cloud computing and artificial intelligence.

Overall, IBM's change management communication strategy during the 2014

restructuring helped the company navigate a difficult period of change while
maintaining employee morale and positioning the company for future growth.

Analysis

IBM's change management communication strategy during the 2014

restructuring serves as a good case study for effective communication during
times of organizational change. The strategy was successful in maintaining
employee morale and positioning the company for future growth. Here is a
brief analysis of the case:
Strengths:

Transparency: IBM was transparent about the restructuring process and

provided regular updates to employees. This helped to build trust and reduce
uncertainty among the workforce.

Empathy: The company acknowledged the impact of layoffs on employees and

provided resources to support them. This helped to maintain employee morale
and reduce negative feelings towards the company.

Vision: IBM communicated its long-term vision and strategy to employees,

highlighting the new opportunities that would be available in growth areas.
This helped to motivate employees and create a sense of purpose.

Weaknesses:

Layoffs: While IBM's communication strategy was effective in managing the

change, the layoffs still had a negative impact on some employees. The
company may have been able to reduce this impact further by offering more
resources and support to affected employees.

Public perception: Despite IBM's efforts to communicate transparently and

empathetically, the layoffs generated negative publicity and damaged the
company's reputation. The company could have been more proactive in
managing its public image during the restructuring process.

Conclusion

Overall, IBM's change management communication strategy was successful in

maintaining employee morale and positioning the company for future growth.
The company's emphasis on transparency, empathy, and vision helped to build
trust and motivate employees during a difficult period of change. However,
there were still some weaknesses that could have been addressed to further
improve the strategy