Definition

reorganization (reorg)

Part of the Business terms glossary:

Reorganization, in a business context, is an overhaul of a company's internal structure.  

Companies go through reorganization for various reasons. Purposes include improving efficiency, cutting costs, repositioning the business, and dealing with corporate changes such as mergers and acquisitions. The restructuring may involve changes to departments, business units and employee roles, and often includes significant layoffs. 

Changes to the organizational structure are often made to focus effort on a business' core competencies and to minimize the use of resources elsewhere. A company may sell off or otherwise exit unprofitable business units, or outsource work to areas with cheaper labor. 

A reorganization is often just called a "reorg."

 

This was last updated in August 2013
Contributor(s): Ivy Wigmore
Posted by: Margaret Rouse

Related Terms

Definitions

  • SMAC (social, mobile, analytics and cloud)

    - SMAC (social, mobile, analytics and cloud) is the concept that four technologies are currently driving innovation in business. (SearchCIO.com)

  • LinkedIn

    - LinkedIn is a social networking site designed specifically for the business community. The goal of the site is to allow registered members to establish and document networks of people they know and... (WhatIs.com)

  • GAAP (generally accepted accounting standards)

    - GAAP (pronounced "gap") stands for "generally accepted accounting principles," a collection of commonly followed accounting rules and standards for financial reporting. (WhatIs.com)

Glossaries

  • Business terms

    - Terms related to business, including definitions about project management and words and phrases about human resources, finance and vertical industries.

  • Internet applications

    - This WhatIs.com glossary contains terms related to Internet applications, including definitions about Software as a Service (SaaS) delivery models and words and phrases about web sites, e-commerce ...

Ask a Question. Find an Answer.Powered by ITKnowledgeExchange.com

Ask An IT Question

Get answers from your peers on your most technical challenges

Ask Question
  • Reorganizing AS/400 Files While Active

    If your file has millions of deleted records, I would ask how many good records. If it is a small number a REORG only taks a few moments depending on the number of LF attached. One thing you need t...

  • Reorganization of V5R4 while active

    <i>Can someone tell me how to use this?</i> Use it like RGZPFM has always been used. (More later...) <i>Does this come with the operating system or is it a separate module we wo...

Tech TalkComment

Share
Comments

    Results

    Contribute to the conversation

    All fields are required. Comments will appear at the bottom of the article.