Execution of a Large-Scale Redundancy Process within People & Culture
As part of a global Service Operations transformation, a major industrial company initiated the centralization of transactional HR services to a European hub. The objective was to harmonize processes, reduce cost, and enable a more advisory-focused People & Culture function.
The first country in scope became the starting point for this shift—requiring the largest workforce restructuring within the local People & Culture function in recent history.
What we did
The transformation represented a strategic shift from operational HR execution toward a more value-adding advisory role. Over time, the transactional HR structure had grown disproportionately large relative to the organization, contributing to structural cost inefficiencies.
The initiative therefore included a significant redundancy process as part of the broader operating model change.
To manage this responsibly and effectively, we:
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Defined the future global operating model and local target organization
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Clarified future capabilities, roles, and responsibilities following the transfer of activities to the centralized hub
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Facilitated alignment workshops on current and future-state structures
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Developed and anchored a structured communication plan for managers and employees
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Identified key risks and mitigation actions
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Led and supported union negotiations and formal restructuring processes
The approach balanced business objectives with fairness, transparency, and regulatory compliance.
Results
A clearly defined future organization was established for the local People & Culture function, aligned with the new global Service Operations model.
The redundancy process and union negotiations were conducted in a structured and responsible manner, ensuring a fair process for affected employees.
The outcome enabled a cost-efficient and strategically repositioned HR function—creating the foundation for long-term scalability and continued transformation.
Outcome
The organization successfully executed one of its most significant People & Culture restructurings in recent years.
The transformation reduced structural cost, clarified accountability, and strengthened the shift toward a more advisory and future-ready HR operating model.
