Carve Out (Selling of Company Parts)
Is the disembodiment or selling of parts or businesses of a company. It is one of the most severe and deep changes an organization and its employees can face.
A Carve Out is one of the biggest challenges for:
- Organization / Organizational Development
- Leadership / Management
- Employees
- Customers
Challenges during a Carve Out are:
- Damage of company reputation
- Loss of customers to the competitors
- Negative selection of employees
- Performance Gap in the organization
- De-motivation, paralysis of organization
Impact of a Carve Out:
1. Individual
Life derails, lose control of life, company betrayals, fear for one’s existence, personal plans/expectations not valid anymore, insecurity, fear, concerns, loss of focus and capacity to act, confusion, defensiveness, emotionality, denial, paralysis
2. Group/ Team
Of no worth to organization, structures are breaking, team focus declining, stress level rising, conflict level rising, co-operation level declining, decreased decision making, decreasing output, future hierarchies
3. Organization
Alienation – still part of the Selling organization, insider/outsider question, cut interfaces/processes, upcoming organizational changes, new systems and procedures, standing in old organization vs. standing in new organization, organizational set-up
To read more about Carve Out:
- Main overall goals of Carve Out Change Management:
- Questions to manage Carve Out:
- Example of Stakeholders to consider in a Carve Out:
- Generic Carve Out Roadmap: Business Process and Change Management Process
- Managing Carve Out accelerates closing the performance gap
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