Management of change: Diagnosis of Hooters using the Six-Box Organizational Model

This Assignment Is Published With Permission From The Author For Online Review Only
All Rights Reserved @ ChinaAbout.Net

Figures

Figure1. Six-Box Organizational Model………………………………………………8

 

1.0 Introduction

1.1 Purpose:

 

This paper is to find out the current problems of Hooters China with the assistance of analyzing its present performance issues. And we also recommend some solution to help this organization to remove these problems and enjoy a prosperous future development in Chinese market.

 

 

1.2 Source:

 

All the date and information collected on Hooters China is from the staff of Hooters China, which was my former employer and from the clients. To make the information more trustworthy, the questionnaires and face to face communication means are used to fulfill this report.

 

 

1.3 Scope:

 

The main concern of this paper is on the downsizing issues to assist Hooters China to reduce cost and gain better business performance in Chinese market.

 

 

1.4 Limitations:

 

The limitations of this paper are due to these recommendations to solve these problems, which most belong to the short term suitable measures due to the time limited and the changeable business situation in the mainland China especially some policies of Chinese government on business development aspects. We suggest Hooters China to adopt these recommendations in the transition period.

 

2.0 Company profile

 

Hooters China is famous for its American beach theme, which is a chain restaurant invested by American in China mainland. The amiable, harmonious atmosphere for dinning, simon-pure American taste with many kinds of choices in food including the beer, spirits, liquors, yummy spicy chicken wings and the hot Hooters Girls become the most attractive points for Hooters to attract more and more Chinese customers. The essence of American food culture and the mouthwatering food make the American invested chain restaurants in China have been enjoyed a good reputation among the customers.

 

 

History

 

It was in Clearwater, Florida that six optimistic businessmen with no experience of food service business decided to open a restaurant with an owl in the logo, men’s favorite beer, and chicken wings as unique feature with girls in orange shorts. In 26 years Hooters has opened 450 Hooters restaurants in 43 states of the US and expanded in other 24 countries. Hooters had come to the Chinese market in the year 2004. from then on, the chain restaurants of Hooters have launched almost throughout the major cities of China.

 

 

Characteristics of Hooters

 

·American invested chain restaurant supported with a variety diversified business strategies for development.

  • American beach-themed restaurant

·MasterCard, Magazine, T-shirts produced by Hooters

 

Staff

 

Five Hooters chain restaurants in mainland China with more than 800 people, half of Hooters Girls.

 

Selling Points

 

 

  • Sexy and beautiful Hooters Girl

·Caring services

  • Comfortable and amiable atmosphere
  • Yummy food and drinks of with fantastic American taste

 

 

Target clients

 

The target customers are oriented at the male customers among the age group from 25 to 55.

 

 

3.0 The Six-Box Organizational Model on Hooters Diagnosis

 

Hooters China has developed in mainland China over 4 years by now. There is a strange phenomenon in Hooters China. Each Hooters restaurant will be over popular at the first 3 or 4 months of opening period, but after that period, the business often suffers cold receptions and the turnover drops dramatically compared with the very beginning.

 

 

On the situation of Hooters China, I would recommend the six-box organizational model to diagnose its performance and find out the solutions to the problem. In the following I will firstly explain the model and then use this model to diagnose the problem of Hooters China.

 

 

3. 1 The Weisbord Model

 

As figure 1.0 shows, the Six-Box Organizational Model from Weisbord is helpful for us to analyze the situation and current issues of one organization. Especially the six issues including the company purpose, company structure, company rewards means, these helpful mechanisms, rewards systems as well as the leadership style are so useful for us to analyze the current problems of Hooters China and then help us to propose some effective solving measures. (Palmer, Dunford & Akin 2009)

 

 

Figure1. Six-Box Organizational Model

 

 

Let’s have a close look at the main elements of this model as figure 1.0 shows.

 

 

Purpose: one of the important issues of this model is the explanation and agreement of company business aims, which ask for the organization to clarify its business aim and target properly and clearly to its people so as to make them fully understand and win their support.

 

 

Structure: company structure is also important because it offers us the operation outline inside the organization including the layouts in different divisions and their job distribution means, which is necessary to be reasonable and appropriate enough to assist the well function of the organization to achieve its business targets.

 

 

Rewards: it is also important for the organization to consider the rewards systems to make sure whether the current incentives and rewards for its people are effective and useful.

 

 

Help mechanisms: these helpful mechanisms in an organization including rules, policies, plans, meets, budget setting, and communication channels and so on are suitably setting and built to service the organization and its people to achieve the business goals.

 

 

Relationships: The relationships in the organization including relationships between individuals, work units, people and their used techniques are also necessary to consider checking whether they are proper and effective especially during the crisis time.

 

 

Leaderships: It is important for the organization’s leader to keep the balance of the above elements and issues.

 

 

3.2 Diagnosis on Hooters’ performance

 

At first let’s have a look at Hooters China’s unique characteristics. Firstly Hooters is a beach-themed American invested family restaurant. Secondly the female sex appeal of Hooters girls is its main selling point. Thirdly, it insists diversified development strategies such as business in hospitality, sports partnerships and donation to charity organization.

 

 

Form the above aspects and the data gathered both from internal and external of Hooters China, I will give the following analysis based on the Six-Box Organizational Model.

 

 

3.3 Purpose

 

We got a great deal of data on the areas of purpose of Hooters China.

 

3.3.1 Hooters China’s business

 

Both the data from internal and external shows Hooters China is in catering industry and it also plans to open hotels and sponsor sport event. At the same time Hooters China also plan to open more chain restaurants in other areas of China.

 

3.3.2 Hooters China’s mission

 

To make more money, the main mission of Hooters China is to open more chain restaurants, even hotels and sponsor sport events just like Hooters of other countries’ develop plan.

 

3.4 Structure

 

From the gathered data we got the following important aspects on the structure of Hooters China.

 

3.4.1 Hooters China- tasks distribution

 

The data shows task distribution in Hooters China is very authoritarian, such as the expansion and employee recruitment. These issues are only distributed to the director of related department directly without any discussion.

 

3.4.2 Structures setting

 

Hooters China’s structure setting may be not so proper. For instance, more than half of working staff of Hooters China are Hooters girls which are very rigid as other country’s pattern.

 

3.4.3 Structure setting and its operation

 

The structure is not appropriate toward Chinese market. Over populated Hooters girls both part time and full time makes the whole operation of Hooters China difficultly.

 

3.5 Rewards

 

The following is the gathered data which shows the performance on rewards part.

 

 

3.5.1 Specified incentives

 

Every year there is a competition called Hooters Chinese Swimsuit Pageant. The winner is able to win a great deal of money and then take part to the Hooters International Swimsuit Pageant held in America, which is a great attract to Hooters girls of China. While to other staff, it lacks the proper reward system in Hooters China.

 

 

3.6 Helpful mechanisms

 

The data also clearly shows performance of Hooters helpful mechanisms’ performance.

 

3.6.1 Budget towards global expansion development and other aspects

 

As the importance of the budget setting for a business, Hooters China should also take serious towards this aspect. From the top management’s data, we got that Hooters China has invested a big sum of money in opening new chains in other areas of China. While on staff’s training and career development processes part, it only offers very poor input. The dance of hooters girls is always the same, which may make old customers feel boring, if things continue this way.

 

3.6.2 Communication methods

 

There is frequent staff meetings held in order to discuss these current issues in time, while too bloated structure of the management often results in the communication incorrect and ineffective.

 

3.6.3 Coordination management

 

No existing mechanisms for feedback of the staff. And meanwhile, the organizational change for Hooters China are also very seldom in this company, which may this company work not so flexible to meet the requirements and challenges from the environment.

 

3.6.4 Current situation on career development and training programs

 

It is seemed that there is a shortage on the training and career development programs for the employees in Hooters China. Because a large number of part time Hooter girls make it difficult to properly and punctually implement the training and developing programs for all the staff.

 

3.7 Relationships

 

The following data is the relationships of Hooters China.

 

 

The relationships among working employees in Hooters China may not be as harmonious as we expected. The furious inside competition between Hooters girls makes the relationship among employees even worse.

 

 

Meanwhile, most of the top leaders of Hooters China are from Hooters’ head quarter. The culture difference makes the operation of Hooters China meet embarrassment. The relationship between the top management and the working staff is not as good as it should be.

 

3.8 Leadership

 

The leadership style in this company is more liked a task oriented one, which leads to the working environment of this organization a little bit indifferent (Daft 2008).

 

3.8.1 The performance of the leadership

 

Just as what many workers of Hooters China said and the gathered data shows, the top leaders of Hooters China comes from other countries. They don’t understand the culture and the Chinese market so well. But they insist the Hooters developing strategies so rigidly.

 

 

3.9 Diagnosis conclusion

 

From the six-box diagnosis, we can get there are some problems in Hooters. The six boxes including purpose, structure, reward, helpful mechanism, relationships and leadership expose the following problems.

 

 

Firstly, some operation and proposals may not line up appropriately with the business goals of Hooters China. From the internal data, Hooters China plans open more restaurants and even hotels just as Hooters does in other countries. But the Chinese cultural and bad economy situation will hinder these plans.

 

 

Secondly some structure setting is lacking in the rationality especially the human resources recruitment issues. The number of Hooters girls and other staff can’t meet a balance.

 

 

Thirdly, reward system isn’t properly built up to represent the benefit of every working staff, which may due to the unclearly understanding of the Chinese market.

 

 

Fourthly, communication system isn’t effective which leads to the big body of Hooters girls and foreign top leaders.

 

 

All in all, from the above diagnosis, we can make a conclusion that the reason why Hooters China can’t maintain its performance and keep good revenue as the beginning period is the over bloated staff body and disharmonious top management. To handle this situation I advise to conduct downsizing in Hooters China. The rationale of this proposal I’ll explain later.

 

 

4.0 Downsizing for Hooters

 

The above discussion may indicate that there may be a need for Hooters China to carry out the downsize strategy to help its development in China market more properly and effectively. But things often have two sides including both the pros and cons. In the following, we will analyze the necessity for downsizing, and its risks as well as these countering risk methods.

 

 

4.1 The necessity

 

Firstly, I would like to explain what the so called downsizing is. Downsizing refers to the procedures of cutting down the staff numbers as well as the business size or scope in the organization, which has become a widely used change practice by many companies all around the world (Cummings & Worley 2005).

 

 

Secondly, the economy development isn’t very optimistic in the world scope, the influences from economy crisis and high inflation rate become the big hindrance for Hooters China to further expand (Griffin & Pustay 2010). And the conservative Chinese cultural isn’t fit for the traditional Hooters’ developing pattern that several sexy Hooter girls work as waitresses (Chun 2008). And especially, Hooters China also wants to develop children as new customers. Frankly speaking, most of Chinese parents will never bring their children to such restaurant, because the situation which has too sexy Hooters girls isn’t good for children’s development (Xing 1995; Chun 2008), so it’s wise for Hooters China stops the expansion plan and thinks the situation twice. Downsizing is the proper choice.

 

 

Thirdly, the female concentrated recruitment isn’t welcomed by all the staff. Yes, we have to admit the importance of Hooters girls which are the cornerstone of the business in Hooters China. But Hooters China is a catering industry which should put the quality of food as well as the service at the same place. Too much emphasizing the function of Hooters girls while ignoring other business factors is the death-wound of a business. So it had better control the number of Hooters girls and use the remained energy to improve other factors of business such as the taste, diversified choice of food and more focus on customers’ feed back( Elliott, Rundle-Thiele & Waller 2010). The Hooters girls’ number controlling proposal is also a kind of downsizing.

 

 

Fourthly, both some managers and staff complain about the reward system. After all, it’s because of a great number of Hooters girls. Hooters China focuses too much on Hooters Girls, such as the “Hooters Chinese Swimsuit Pageant”. It is very difficult to make a balance between them and other staff. So since the Hooters girls are very important, Hooters can consider making Hooters girls more versatile. For example, Hooters can offer some cross training programs for Hooters girls, which can let them be qualified as chefs and staff of marketing (Cascio 2010). So no more chefs and marketing staff are needed. It is a kind of downsizing.

 

 

Fifthly, there is a bad communication mechanism in the internal of Hooters China. The main reason is the foreign top leaders of management. These leaders don’t understand Chinese culture well enough which would lead misunderstanding and inappropriate developing strategies (Kuo 2011; Minkey 2009). So to increase the speed of communication and decision making as well as getting closer to customers, there is a need to reduce layers of management, in other words, reduce the number of non-Chinese staff in management.

 

 

At last, Hooters China also expands in other fields, such as hotels and sports sponsorships. But under such bad circumstance of economy, it is wise for Hooters to sharpen the focus on core business and cut the investment on other fields. This can improve its competition power to a great extent.

 

 

Based on the above analysis,we recommend  Hooters China to carry out the downsizing strategy to save money and time, enhance the efficiency of its human resources, enhance the communication effectiveness and  avoid other mistakes in the future.

 

 

4.2 Risk on downsizing

 

Although it is seemed that Hooters China is necessary to carry out downsizing, there may also some side effects for Hooters China if it implements the downsizing strategy.

 

To begin with, the working morale and sense of belonging of the working staff may be affected to a certain extent and a short while. No matter how large or small scope of the downsizing such as the lay off scale is, the remaining people may feel at a loss and insecure about their future inside the organization. And especially when these lay-offs are the good friends of those remaining, things may become worse. The resistance to downsizing, the fear, angry and even some misbehavior may occur during the process of downsizing and a short while of period after downsizing (Mishra & Spreitzer 2009). Such kind of situation may have bad influence on the entire performance of Hooters China.

 

 

In the other place, due to the performance of Hooters China may be affected by the low working morale and productivity of working staff, the possible poor service for customers may impact on the reputation of this organization among customers as well as the image as a good employer for its future working employees (Palmer, Dunford, & Akin 2009).

 

 

Thirdly, due to the above two side aspects, it may increase the difficulty in talents recruitments in the future (Khera Communications 2009).

 

 

Fourthly, downsizing will ask for Hooters China to reconsider the strategies and measures on talent recruitments and development issues, which is often time consuming (Mishra & Spreitzer 2009).

 

 

By and large, the implementation of downsizing in Hooters China may arouse many consequences both positive and negative. But based on the current situation of this organization, there is seemed that the downsizing strategy may be the best choice for Hooters China to solve the current problems. Due to this, we will propose some proper recommendations for Hooters China to implement this transition effectively.

 

 

4.3 Countering risk measures

 

To better implement the downsizing strategy and avoid these bad consequences as the above mentioned, we recommend the following measures to assist Hooters China during the transition period.

 

 

4.3.1 Acting honestly

 

It isn’t wise enough to adopt other means instead of clearly clarification of the downsizing including the lay-off issue for its employees in Hooters China, which may make the situation out of control or even worse. We suggest Hooters China to act honestly and clearly clarify as well as announce the downsizing strategy to the staff in order to win the support and reduce the level of resistance to change. (Buchanan & Badham1999)

 

 

4.3.2 Negotiation

 

 

As Palmer, Dunford and Akin (2009) advocated it is significant and necessary to inform all the inside stakeholders including working staff and shareholders about the downsizing issues in advance. Frankly speaking, it is an ordinal and normal practice in the global business world. But in advanced notice to the shareholders and employees about this plan can help them to prepare themselves both physically and mentally. The formal meeting on the clarification of this issue is suggested to hold to address its importance and inevitability. It is necessary and important for Hooters China to make its inside stakeholders fully understand the current situation that they and their organization are in the same boat. When this point is fully understood by the inside stakeholders, Hooters China may feel more easy to win their support. And then, Hooters China should also operate the downsizing strategy transparently and welcome the suggestions from stakeholders.

 

 

4.3.3 Avoid troubles with legal issues

 

 

We also suggest Hooters China to act and operate the downsizing practice carefully and always take the legal issues into consideration. A proper lawyer is recommended for Hooters China to consult with, which is necessary. (Wolfe 2009)

 

4.3.4 Facilitation and assistance

 

 

Palmer, Dunford and Akin (2009) claimed downsizing sometimes works as the catalyst for bad emotion among staff in an organization. Due to this, it is better for Hooters China to provide many facilitation and assistance to its employees, especially for these remaining workers. For instance, some experienced experts on alleviating the emotion of employees after downsizing are useful for Hooters China to consult to relieve their mood. Moreover, the respect and dignity should also be offered to the working staff to make them feel that they are cared by their company.

 

 

4.3.5 Education and empowerment

 

The changing environment in the world market is also important for Hooters China to take into consideration when downsizing. One suggested measures for Hooters China to alleviate and refresh working staff is to enhance their competitiveness, which is useful in enhancing their confidence and working enthusiasm without too much worry about their future. On the basis of this aspect, we advise Hooters China to offer and develop more training and education programs to its employees mainly focusing on their working capacity enlargement and capability enhancement. (Palmer, Dunford and Akin 2009)

 

 

5.0 Tactics and alternatives

 

This part we will recommend some tactics of downsizing and other alternatives. These can help Hooters China to conduct downsizing smoothly and reduce some side effects as well.

 

 

5.1 Tactics

 

As Cummings and Worley (2005) mentioned, one of the quick measure to cut cost and keep the proper business performance is downsizing. Based on the current situation of Hooters China, the following downsizing tactics are suggested as below.

 

 

And meanwhile, according to Palmer, Dunford and Akin (2009), three types of techniques including reducing workforce, organization redesign as well as systemic redesign are often used as the tactics of downsizing. Reducing workforce refers to the position number cut of the working employees. Organization redesign indicates the tasks or responsibility change in the areas of working content for employees. And the systematic redesign refers to the culture change inside the organization. And we’ll base on the above issues to offer the following suggestions.

 

 

5.1.2 Layoff, outplacement and early retirement

 

In the filed of reducing workforce, layoff and outplacement are the primary suggestions. China for Hooters is an almost new market. To maintain the image of a good employer, it’s not proper for Hooters China to only adopt layoffs as the downsizing method. To reduce cost fast and effectively, layoffs is the most effective way. (Palmer, Dunford & Akin 2009)

 

 

As the above analysis mentioned, lay-off may bring out complaints and resistances from the survival employees. To alleviate the side effects, outplacement is recommended to mollify the dilemma. It asks Hooters China to provide several services including the counseling assistance for the lay-off employees on the re-employment issues, which is proved effective by many companies to console the emotion of working staff and keep the reputation of good employer. (Wolfe 2009)

 

 

Moreover, early retirement is also recommended as one of the effective tactics of downsizing for Hooters China to adopt. To avoid too many troubles aroused by lay off, the tactic of early retirement is helpful to shorten the working years of working staff so as to save spending on employees’ salary. Although it has many benefits, it is a time consuming tactic. (Palmer, Dunford & Akin 2009)

 

 

5.1.3 Working hours and wages reduction

 

In the aspect of organization redesign, working hours and wages reduction is recommended for Hooters China. It refers to that Hooters China can shorten the working period with the association of salary cutting, which is a relative soft measure. As we all know, downsizing isn’t pleasant news for employees. Nobody prefers to be sacked. Compared with the choice of being fired, people many prefer to reduce their salary. Since then, Hooters China is suggested to adopt such kind of tactic to save money and avoid these racial resistances from employees due to fire. (Cummings & Worley 2005)

 

 

And at the same time, Hooters China can also redesign the orientation on recruitmentto make the working process more effectively. For example, Hooters China can employ more part time Hooters girls and reduce the full time Hooters girls. Because most of the part time Hooters girls come from universities, their requirements on salaries are relatively low. This can help Hooters China to save more money. (Cummings & Worley 2005)

 

 

5.1. 4 Reducing the scope of service

 

For systemic redesign part, Hooters China should try to simplify the process of food supplying. Till now almost all of the restaurants of Hooters China have the same suppliers of salad dressing in America. Only the transportation fee is a big sum of money. In fact, Hooters China can cooperate with some local suppliers whose offerings are also good taste and nice quality. This can really reduce cost.

 

 

5.2 Disadvantages and alternatives

 

5.2.1 Disadvantages

 

The above tactics of downsizing may be the possible choices for Hooters China to implement the transition. There are also many disadvantages of these tactics. At first, layoff may be defined as a radical tactic, which may easily lead to the confidence and sense of belonging loss of employees in Hooters China. Moreover, working hours and wages reduction as well as early retirement tactics may also result in the working morale and enthusiasm decline which may be the short term choices for Hooters China. (Cummings & Worley 2005)

 

 

To really make the downsizing practice working properly and effectively and keep the side effects in the small extent, some other possible and useful tactics are also important for Hooters China to adopt in case of contingency.

 

 

5.2.2 Cross training

 

Reh (2009) indicated cross training is aimed to enhance the working capability of working staff to make them affordable to diversified jobs in their organization. As the above discussed Hooters China can train the Hooters girls to act as waitress as well as chefs. So there is no more need to hire chefs at high expense and the beautiful chefs can also be a new selling point to attract customers, which is not only to reduce cost but also to increase profit. And once almost all the working staff is capable and skilled in more working field, it is also benefit for Hooters China to retain these employees than to sack them. Meanwhile, the tactic of cross training can be defined as the measure of staff career development, which may make Hooters China act more flexible to meet future challenges in the human resources aspects.

 

 

In short, we consider such kind of tactic is the most effective one because it not only helpful for Hooters China to save cost but also good for the development of the employees which is a win-win measure.

 

5.2.3 Voluntary resignation

 

As the tactic of lay off is rather radical and passive in decreasing the reputation and credit as a good employer, the voluntary resignation is a good choice for this organization to adopt, which refers to letting these people who are willing to leave to leave. (Cummings & Worley 2005)

 

 

5.2.4 Unpaid holiday

 

The unpaid holiday is also suggested to Hooters China. It can offer employees more flexible choice on the salaries and on the unpaid holiday, which may be defined as a win-win way for both Hooters China and its employees. It may not only assist Hooters China to save cost but also foster a harmonious relationship between Hooters China and its employees. (Nuddleman 2007)

 

 

6.0 Political issues and related solutions

 

Buchanan and Badham (1999) indicated the position of political issues in the transition period can’t be neglected as well. And in the downsizing period, Hooters China may also encounter some political issues. As the side effect of political issues in both the current and future development of an organization, which is often regard as achieving personal target rather than the organizational one (Mayes and Allen 1995 cited in Buchanan & Badham1999 ). In another word, to achieve the personal goals, several of misbehaviors may be practised by staff in Hooters China during the downsizing process, which may hinder the proper function of the entire organization.

 

 

6.1 Political issues

 

6.1.1 Bad-mouth

 

In the downsizing process of Hooters China, we may predict that there will be many people sacked. Although some relatively mild tactics as the above mentioned may be adopted by the organization, it may not be so perfect to solve every problem. As the differences among different staff such as the different personality and background, the reaction toward downsizing issue may be different from different people. Some may attribute the false to Hooters China, which may result in the bad mouth.

 

 

For instance, some lay off employees may speak ill of Hooters China. They may spread some rumors to other remaining staff to affect their working emotion. And some people may spread rumors and bad mouth Hooters China in the public such as in the internet or other kinds of multimedia, which may have bad influences on the reputation and images of Hooters China to a certain extent. (Cummings & Worley 2005)

 

 

6.1.2 Job hopping

 

As we have mentioned the big body of the management in Hooters China. We may also predict that besides these ordinary employees, some management level employees may also be sacked to restructure the management body. The replacement of the management position may result in the job hopping of other employees even the outstanding one. (Palmer, Dunford & Akin 2009)

 

 

For example, some management level employees may feel at a loss once they have witnessed the sacking of their colleagues and even worry about their future in Hooters China, they may try to find a new position in other company to find the sense of security. And besides such situation, these fired manage level employees may instigate some of their outstanding subordinates to go with them which may result in a big loss in the talents pool for Hooters China as well. (Palmer, Dunford & Akin 2009)

 

 

6.1.3 Other kinds of misbehaviors to survive

 

Once knowing the news of downsizing, people in Hooters China may begin to prepare. To survive, people may adopt a variety of means even some misbehaviors. For example, some marketing staff may fabricate some fake data to make their achievement seemed more outstanding, which may finally affect the smooth function of Hooters China. (Cummings & Worley 2005)

 

 

Moreover, some employees may try every means to bribe their direct boss so as to retain their jobs, which may foster an unhealthy atmosphere in the working environment of Hooters China. (Cummings & Worley 2005)

 

 

6.1.4 Information disclosure

 

To transfer the resentment on Hooters China, some fired employees may adopt several measures to revenge Hooters China, such as disclose much important and confidential data or information to these competitors of Hooters China such as the advertisement planning, budget for business development, new expansion strategies and so on, which may make Hooters China faced with a big loss. (Buchanan & Badham1999)

 

 

Generally speaking, the above mentioned political issues are so bad for the well development and function of Hooters China both in the current time and in the future. To better handle these problems, we will introduce some solutions to remove these problems.

 

 

6.2 Solutions

 

6.2.1Collaboration

 

We suggest the Human Resource Department of Hooters China to assist the downsizing practice whole heartedly. For example, some consulting programs and activities are recommended to be introduced by the HR Department to offer employees suggestions and ideas on how to mollify their emotion faced with downsizing, how to adjust their attitude to find a new job, how to remove other negative emotion or attitudes. Such kind of offering from HR Department may reduce the probability rate of resistance and misbehaviors of employees in Hooters China.(Daft 2008)

 

 

6.2.2 Early notice and appropriate compensation

 

Cascio (2010) suggested the early notice and proper compensation means should be used for company practising downsizing. And for Hooters China we also advise it to do so. It is suggested to give these fired workers enough time to prepare both physically and mentally. As the normal pink slip is about 30 days in advance notice. Hooters China may prolong the period to 45 days to give these people more time. And meanwhile, proper compensation for lay off should also be offered. With these means, we hope the resentful emotion of these fired employees can be mollified.

 

 

6.2.3 Third party interventions:

 

 

According to Palmer, Dunford and Akin (2009), we suggest the top management to turn up to deal with disputes in the lay off issues in the management level. Just as the above mentioned, the top management can have a face to face communication with these fired managers to show their thanks and respect to these managers and then show their apology and regret on their leave, which may also helpful in alleviate the emotion of these fired managers.

 

 

6.2.4 Empowerment:

 

Cummings and Worley (2008) supported the empowerment measures to increase the involvement of employees in the changing process. For instance, Hooters China is suggested to appoint some people with some important roles in the downsizing process to enhance their sense of belonging and avoid of misbehaviors conducted by these people.

 

 

6.2.5Compromises

 

Buchanan and Badham(1999) also reminded us that some appropriate compromise are also helpful in the transition time. After the downsizing period, management of Hooters China had better to give the staff some compromises such as the future working environment and security of their job to stabilize the panic and win people’s trust.

 

 

7.0 Conclusion

 

In this report, we have adopted the Weisbord Model to analyze the current situation of Hooters China. And due to the findings, we recommend the downsizing strategy for Hooters China to deal with its current problems.

 

 

As the downsizing strategies own both advantages and disadvantages, we have offered many choices on downsizing tactics for Hooters China to choose. And then we also offered some recommendations for Hooters China to deal with the political issues during the downsizing period.

 

 

Although our recommendations and report may have some limitations, we do hope our effort can assist Hooters China to have a proper function in the future.

 

 

 

 

 

 

 

 

 

 

 

8.0 Reference

 

Buchanan & Badham1999, Power, politics, and organizational change, SAGE         Publications, London,

 

 

Cascio, W.F. 2010, Managing human resources: Productivity, quality of work life, profits, 8th edn, McGraw Hill, New York,

 

 

Chun, L 2008, On feminism and China: Foot-binding as an aesthetic, history and dialogue, vol. xv, New York University, electronic version

<http://www.asianetwork.org/exchange/2008-spring/anex2008-spring-lin.pdf>

 

 

Cummings, T.G. & Worley, C.G. 2005, 2008 Organization development & change, Thomson South Western, Ohio,

 

 

Daft 2008, The leadership experience, 4th edn, ed. Calhoun, Acuna & Sabatino,      Thomson South-Western, USA,

 

 

Elliott, G., Rundle-Thiele, S & Waller, D. 2010, Marketing, John Wiley & Sons Australia, Ltd, Milton,

 

 

Griffin, RW & Pustay, MW 2010, International business, 6th edn, Pearson, New Jersey,

Khera Communications 2009, 5 Tips for Downsizing and Layoffs, more business.com, viewed 20 Octorber 2011,

<http://www.morebusiness.com/company-downsizing>

 

 

Kuo, L 2010, Hooters restaurant underscores mixed sexual messages in China, Los Angeles Times, viewed 18 October 2011,

<http://articles.latimes.com/2010/apr/09/world/la-fg-china-hooters10-2010apr10>

 

 

Minkey 2009,猫头鹰餐厅Hooters“胸脯+餐馆的经营创意 (Hooters business ideas of ‘breast  plus  restaurant’),Bossline.com,viewed 18 October 2011,,

<http://biz.bossline.com/?action-viewnews-itemid-13947>

 

 

Mishra, A., Mishra, K., & Spreitzer 2009, Downsizing the company without downsizing Morale, MIT Sloan Management Review, viewed 20 October 2011,

<http://sloanreview.mit.edu/the-magazine/articles/2009/spring/50310/downsizing-the-company-without-downsizing-morale/>

 

 

Nuddleman 2007, Paid vs. unpaid holidays, Phillip J, Griego &Associates, viewed 20 October 2011,

<http://calemploymentlaw.wordpress.com/2007/06/21/paid-v-unpaid-holidays/>

 

 

Palmer, I., Dunford, R. & Akin, G. 2009, Managing Organizational Change, 2nd edn, Mc Graw Hill, New York,

 

 

Reh 2009, Cross Training Employees, About.com, viewed 20 October 2011,

< http://womeninbusiness.about.com/od/layoffsandjobcuts/a/fair-layoffs.htm>

 

 

Wolfe 2009, Should you only layoff lower wage workers, About.com, viewed 17 October 2011,

< http://womeninbusiness.about.com/od/layoffsandjobcuts/a/fair-layoffs.htm>

 

 

Xing, F 1995, The Chinese cultural system: implications for cross-cultural management, CBS Interactive Inc, 19 October 2011,

<http://findarticles.com/p/articles/mi_hb6698/is_n1_v60/ai_n28657596/?tag=content;col1>