Part A Red and Blue Engineering has recently lost a $5 million contract, which will result in an immediate 30% decrease in the budget. In response, the Red and Blue Engineering Management Team has...

Part A Red and Blue Engineering has recently lost a $5 million contract, which will result in an immediate 30% decrease in the budget. In response, the Red and Blue Engineering Management Team has been meeting behind closed doors for the last month, and has decided to cut 30% of existing core and program staff positions (20 staff members) and reorganize its operational structures. Everyone at Red and Blue Engineering is aware of the financial loss and understands that some level of staff reduction will be necessary, but so far no formal communication has gone out about the extent of cuts, timing, etc. As to be expected, people are very nervous, and this has only served to exacerbate the rumours about who and how many jobs will be eliminated. Overall morale is low. Several key employees (that are keepers) have already begun looking elsewhere for work opportunities. Supervisors are worried about having fewer employees to do the same amount of work. Cooperation among units has greatly decreased, as everyone is concerned about their own future. And productivity is starting to suffer. The CEO understands the severity of this reduction and the importance of transparency in this process. At the same time, he realizes that the management team has not demonstrated a strong track record when faced with tough human resources issues. In the past they have been accused of lack of information sharing, indecisiveness on major issues, making decisions in isolation, and “playing politics” favouring some staff over others.In order to demonstrate change in the leadership and management style and minimize the trauma associated with this unfortunate budget reduction, the CEO has asked you to consult with the management team on proposed strategies for making this transition transparent, inclusive and as smooth as possible. You will be responsible for consulting with the entire management team on their strategic roles and responsibilities in leading this organisational change. You will also need to help them understand where they are likely to encounter resistance. You recognize that several members of the management team are not particularly excited about a task force coming together to advise them on executive decisions, particularly a group that is comprised of line management staff some of which might be affected by the final decision. However, the CEO has given you this responsibility, and has promised to support your recommendations for the viability of Red and Blue Engineering. Your assessor will arrange the role play so that you can consult with the management team (your classmates will act in this role). You will need to facilitate that discussion and negotiate an agreement between the management team to solve the problem.
Part B Based on the discussions in your role play, prepare a detailed organisational development plan for Red and Blue Engineering. Communication/education plans refers to: •documented range of activities designed to ensure all affected groups and individuals (and other relevant parties) obtain sufficient knowledge to allow them to understand what is happening and why, and to allow them to participate where appropriate Activities and interventions may include:  action research  brainstorming  career planning  inter-group team building  job redesign  quality circles  re-engineering  sensitivity training  succession planning  surveys (with feedback)  team building  training  transition analysis