Anheuser-Busch Inbev

2164 Words9 Pages
TOPIC: Workforce reductions and compensation and benefits within external studies TITLE: Anheuser-Busch InBev THESIS STATEMENT: Anheuser-Busch Inbev has characterized their management style and success through factors of workforce reductions and compensation and benefits in recent years. I. Introduction A. Definition of workforce reductions and compensation and benefits B. Discuss importance of workforce reductions and compensation and benefits within a company C. Anheuser-Busch InBev II. Company History D. History of Anheuser-Busch E. History of Inbev F. Anheuser-Busch Inbev merge G. Current management practices III. Workforce Reductions A. Layoffs B. Blue Ocean IV.…show more content…
(AbInbev) AB Inbev has been directly affected by changes in the economy within the past few years. They have been forced to make drastic changes within their business practices including reductions in their workforce and changes in compensation and benefits. Fortunately, these changes within the company have proven to be successful and effective. The merger between Anheuser-Busch and Inbev resulted in downsizing through workforce reductions in recent years. In order to maintain a strong and competitive business while the economy fell into a deep recession, the company required this change. Mergers occur for improved finances, less duplication of services and staff, the ability to grow a company faster, and the anticipation of higher returns for shareholders. (Knowledge@Wharton) AB Inbev cut 1,400 salaried positions that affected 6 percent of the company’s total U.S. workforce. Of those positions, 75 percent were based out of the company headquarters in St. Louis, Missouri. Additionally, more than 250 positions that were open would no longer be filled and 415 contactor positions were abolished. (Brussels) As with most mergers, layoffs occur even when the economy is not to blame. Prior to the layoffs, AB Inbev provided an opportunity for salaried employees to accept a voluntary retirement offer. This planned cost reduction of 1 billion dollars was called project Blue Ocean. This helped to eliminate more than 1,000 jobs through an agreement to
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