| downsizing A reduction in the size of an organization, often associated with process engineering, to save costs and increase the flexibility and adaptability of the organization. In some instances this can bedisadvantageous; it has been suggested that an organization can lose its business memory and experience a major decline in its morale if too many of its most experienced staff have taken early retirement or been made redundant as part of a continuing policy of downsizing. See also: corporate anorexia, rightsizing. |