Assessing Downsizing Guidelines With an Exemplar

Abstract

The propositions in two theories of downsizing are compared to a success story in an exemplary state agency: the Ohio Department of Mental Health (ODMH). ODMH was downsized, taking out a total of $150 million, with hospital closures, transfers, and mergers. A 15-year database of weekly reports to the governor of the state of Ohio recorded the actions taken in 19 closures, mergers, and transfers and their success. Propositions offered by Cameron (Cameron, 1995; Cameron and Smart, 1996) to turn aside dirty dozen outcomes and by managed de-development (Nutt, 2001; 2004) were compared to the CEO's actions documented in the histories. The findings suggest that the guidelines offered by both theories have merit. Crucial actions appear to be shifting ODMH to a lower order of organized complexity by devising a new identity to guide change with slow-paced moves to preserve core competencies that differentiated before integrating and accommodated before assimilating.