"Corporate downsizing" isn't exactly a term that employees would like to hear, but the sad fact is that it does happen. Take, for example, the case of SCi Games: the company has decided to cancel fourteen of its projects and now plans to cut 25% of its jobs following its recent management issues.

The SCi board reportedly found the said projects to be of either substandard quality or simply not capable of generating a good return on investment. The head honchos also preferred to streamline their operations by operating at a maximum of 800 employees.

According to SCi CEO Phil Rogers, both moves are part of the company's radical restructuring plan. The rationale behind the downsizing, Rogers explained, is to increase company efficiency and output quality while reducing expenditures at the same time:

Our quality has slipped below acceptable standards and, through disappointing game development and working within an ineffective operating structure, we are failing to realise the commercial return our creative ability and our shareholders demand. Our infrastructure is too big and expensive for the scale of the business.

To get SCi on track we have to act rapidly and effect change quickly. We must allow the world-class people that we have within the Group to focus on strong, profitable titles which will create the value our shareholders deserve.