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Home > QFINANCE Dictionary > Definition of corporate restructuring

Definition of

corporate restructuring

General Management

major change in firm's activities a fundamental change in direction and strategy for an organization, which affects the way in which the organization is structured. Corporate restructuring may involve increasing or decreasing the layers of personnel between the top and the bottom of an organization, or reassigning roles and responsibilities. Invariably, corporate restructuring has come to mean reorganizing after a period of unsatisfactory performance and poor results, and is often manifested in the divestment or closure of parts of the business and the outplacement, or shedding, of personnel. In this case, corporate restructuring is used as a euphemism for delayering, rationalization, downsizing, or rightsizing.

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Definitions of ’corporate restructuring’ and meaning of ’corporate restructuring’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’corporate restructuring’ and other financial terms with our online QFINANCE Financial Dictionary.

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