By The McKinsey Quarterly - In this slowing global economy, smart companies are proactively weeding out underperformers, but staying away from sweeping layoffs that starve good business and destroy morale. Best practices involve shying away from quick solutions to cut costs.This means fostering thriving R&D projects instead of trimming direct research expenses. Initiate process reforms and reallocate time to these top areas by ridding your portfolio of lagging projects. Infuse your corporate culture with the sense of urgency the present economy demands and even consider searching outside areas for specialized talent.
