VeriSign makes no exception. The company is aware that employees must be satisfied in order to provide quality work processes. In 2007, VeriSign noticed that its strategy at the time was not in accordance with market's demands anymore. As a consequence, the company announced the public about "a change to our business strategy to be more tightly-aligned with our core competencies, which is to provide highly scaleable, reliable and secure Internet infrastructure services to customers around the world. The strategy calls for divesture of a number of non-core businesses in our portfolio, such as communications, billing and commerce, content delivery, messaging and enterprise security services" (VeriSign, 2007).

Given the change of general strategy, the situation requires changes regarding resource allocation. In such a situation human resources become more important than they are in a normal, usual situation. Some of the company's managers were in charge of modifying the previous strategy and implementing the new one, in a very smooth manner, so that the company's activities are not affected by the changes. The situation was also favored by the fact that VeriSign has a very flexible organizational situation that is able to quickly adapt to significant changes.

The financial sector of the company is also affected by the change...

Financial resources must be allocated to new activities imposed by the new implemented strategy. But this also means that these financial resources must be taken from other activities, at least partly. It is very difficult to establish what activities will be deprived by part of their attributed financial resources and how much will they lose in favor of other activities of the business.
The same situation occurs with physical assets also. There may be cases where existing assets must be moved towards other activities. In order to optimize the resource allocation, VeriSign has thoroughly analyzed the physical assets situation regarding the requirements for every department or business activity. The same actions were taken regarding the technology requirements.

Reference List

Freeman, S. & Cameron, K. (1993). Organizational Downsizing: A Convergence and Reorientation. Organizational Science. Vol. 4, No 1. Retrieved March 9, 2009.

Goren, B. et al. (2009). Five Steps to Resource Optimization. Sascom Magazine online. Retrieved March 9, 2009 at http://www.sas.com/news/sascom/2008q4/column_emerging.html.

Annual Report (2007). VeriSign. Retrieved March 9, 2009 at http://files.shareholder.com/downloads/VRSN/573071338x0x190141/a65a1902-eb6f-414a-b64b-347ea5b59bd0/VeriSign_2007AR.pdf.