negative news memo.docx6552ffec1f0ac52529 (2)[1]

Negative News Memo MGMT2002, T3 2023 – Dhaenens TO: DATE: 17 November 2023 (Due Date) SUBJECT: Negative News Memo Packet Scenario: Major Office Changes at Sydney Sky Trading Company (SSTC) Assignment: Write a negative news memo informing your company employees of some significant changes with respect moving offices (downsizing space and rethinking work arrangements). The purpose of this assessment is to provide an opportunity to apply the business communication principles gained from course content this term in a meaningful and practical manner that is timely considering current organisational challenges. This hypothetical scenario is intended to give you some practice in a situation similar to those typical in present (and upcoming) circumstances. Key Information (including context and background):  You are the current Director of People & Culture at Sydney Sky Trading Company, “SSTC” with roughly 200 employees. SSTC imports a range of unique cultural goods and products from across the world for sale in Australia among some other related services (like logistics).  Due to a huge spike in the cost of their property lease renewal, the SSTC is forced to move from their current headquarters. Fortunately, the company has recently secured several new spaces with a plan to decentralise operations and separate market segments. The four new spaces feature retail space which has opportunities for further optimisation to suit company needs. The new offices are placed in attractive locations across Sydney. However, the changes bring new challenges as the shift reduces overall office space by 40% despite an overall increase in the square metreage of retail.  With respect to the new office space, most of employees who previously had physical offices (including many in leadership) will now be moved to open plan with some employees working longer shifts and losing their dedicated workspaces (sharing with others). This is likely to going be received negatively by a significant portion of employees.  This decision was made in consultation (via surveys and focus groups) across several groups of employees (although many were opposing of these changes), but ultimately, the choice was forced in terms of cost while shifting to meet customer demands. You have received many inquiries, so a decision announcement is becoming increasingly warranted.  In other changes, you have had many employees working from home using a hybrid working approach, so this change does give you an opportunity to solidify these policies and practices. Hybrid work cuts down on office requirements and increases flexibility for 1

employees which benefits their work-life balance. Of course, you know there are other benefits too. All this is delicate balance, but these changes might create some good opportunities like a closer connection to specific products segments such as beauty & care, food & beverage, and jewellery. SSTC really wants to build brand recognition ahead.  As there are some major changes to your office going forward, it is likely that some of your staff will likely depart the organization, but you hope this can be mitigated through your message delivery. As the Director of People & Culture of SSTC, you know there are many cases where employees will move into new roles via one-to-one conversations with supervisors (and may require some further intervention).  You expect these office moves will occur in the 90-120 days, so you have some advance preparation/transition time and avoid some unnecessary shocks, but there is still some ongoing uncertainty (and this change will take a big team effort). You expect that this information is likely to be significant news. At the very least, this represents a big change .  You and your team want to assist further, but you also want to let this news settle before employees rush to contact you and their supervisors (which will occur in due time. Again, this news may incense some employees, but it has been in development for some time. Overall, you believe there is some unrealised promise and value in this announcement (and closer connection to the core products imported). Your bad news message should:  Include “to, date, and subject” at the top of your memo (as it appears above) with your message below the line, followed by a signoff (i.e., name and title) at the bottom.  Organise using an inductive/indirect outline (opens with a neutral idea and provides details/explanation before the main idea/announcement).  Be presented in memo format with only a few bullet points (if used at all). o Begin with a buffer and end on a positive note; you should allude but avoid tipping off the bad news too early or in the subject line (i.e., do not use the scenario name). o Transition from your opening paragraph into the details supporting your decision. o Announce the bad news after the reasons for your decision (little to no reasons should come after your bad news statement). o Conclude with shifts toward positive elements including a counteroffer or silver- lining (get creative).  Be free of spelling and grammatical errors. Review carefully.  Include explanation and justification which illustrates a situation and decision that will be as well-received as possible. Some creative license is available with this case. You should explain some of this approach in the page proceeding your memo.  Be cleanly presented in a way that can be understood by multiple stakeholder groups. Supporting Material & Referencing: Although this scenario is hypothetical, the expectation is that you attempt to be as realistic as possible in this memo. There is plenty of supporting information at your disposal that you could use to your advantage in articulating this decision. 2