Advantages Of Restructuring:

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1) Optimum utilization of resources available with the business unit. This results in increasing productivity and lowering of costs.

2) Increase in the efficiency and profitability of the business unit.

3) Cost reduction and capacity to face market competition effectively.

4) Introduction of remedial measures to current problems and difficulties faced by a business unit.

5) Reduction of unwanted and wasteful activities, which bring          down the production cost considerably. Even duplication of work and efforts can be avoided.

6) Introduction of strong and slim organisation structure by eliminating redundant positions.

 

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