Electronic Data Systems
Electronic Data Systems (EDS) is one of the largest business technology companies in the world. "EDS provides a broad portfolio of business and technology solutions to help its clients worldwide improve their business performance. EDS'core portfolio comprises information-technology, applications and business process services, as well as information-technology transformation services. EDS' A.T. Kearney subsidiary is one of the world's leading high-value management consultancies. We support the world's leading companies and governments in sixty countries."(EDS website, 2004)
As EDS is going through its plans for reorganization and restructuring, one of their long-term plans is to reduce their labor force by 20,000 employees over the next two years. As we all know employees are one of the most important assets a company can have, and therefore we must plan the way we approach informing these employees about the future reduction in force.
As we all know EDS is not a small company with annual revenues of more then twenty billion dollars.
EDS currently employs more then 120,000 people, but due to cost cutting measures and restructuring efforts, the company must reduce its workforce by 20,000 in the next two years. This is never an easy situation to be in as it means asking people to leave their jobs and find other ones in an already flat economy. EDS has been through many good and bad times, founded in 1962 by H. Ross Perot who sold out to General Motors in 1984 after establishing a technology giant. General Motors spun off the company in 1996 and they have been having trouble ever since. Over a year ago, EDS decided to bring in a new CEO Michael Jordan to help turn the company around. "Jordan vows to cut $3 billion in annual costs in the next 30 months and ax up to...