3 ms·
Usually 10~15% are considered as "for redundancy". If you go further than that, you will likely lose continuity on your core business. The risk is just too much
by summerlight 4y ago
Usually 10~15% are considered as "for redundancy". If you go further than that, you will likely lose continuity on your core business. The risk is just too much to take. Unless there's a good evidence that the business can sustain with 50% or whatever numbers, it'd better be safe.
It might true that some companies are extremely bloated and their competitors may be demonstrating a similar level of productivity with 30%~50% of people but different companies have different history and contexts; path dependency is the thing. For that level of productivity loss, the root problem is more likely deeply ingrained in the structure (especially management and decision making) so cutting more and more people usually won't help.
- lettergram 4y ago< looks over at twitters 50% layoffs > More than 15% often means a change in the business model.
- jstx1 4y agoLook at Facebook's employee curve in the article - it looks pretty much exponential. If they lay off 50% of their employees, they'll be at 2018 levels when they had essentially the same business model.
- summerlight 4y agoTheir revenue had also exponentially grown (doubled between 2018 and 2021) even though IDFA kicked in, which pours huge complexity on Facebook's business. Unlike people's typical tech stereotype, revenue growth is not something automatically granted with "the right technology"; you need product management, sales and and engineering infrastructure just to keep it.
- mclightning 4y agothey can't afford to make same mistakes they did in 2018 though. when you're as big as facebook, mistakes you make shape the regulations in the world.