IS Strategy and Downsizing: A Conceptual Framework

Many firms are presently engaging in organizational downsizing (or downsizing) for different reasons such as cutting costs and increasing competitiveness. The holistic effects of downsizing are, however, not yet entirely clear. This is particularly true with respect to issues related to IS and this study is an attempt to understand this phenomenon better. We argue that downsizing affects IS strategy within an organization by impacting the organizational processes and social networks of a firm and present a conceptual framework. Implications of the study are discussed