As more companies are forced to restructure their workforce, we decided to look at companies that spend the most on administrative roles (ex: HR, accounting, admin assistants, etc), which, based on past downturns, has been at the top of the chopping block.
Below is a view of the entertainment industry, which has shown to be particularly vulnerable in the past few months:
On the one hand, having bloated administrative costs may signal a wasteful culture and a subpar workforce planning process. On the other hand, as companies are forced to shed costs in the current downturn, companies with the highest administrative expenses may have an opportunity to get lean without giving up much output. Revelio Labs will be tracking whether these companies take advantage in the coming months.
If you have any ideas of other workforce planning process metrics to track or would like to hear more about Revelio Labs, please feel free to reach out to us. You can also check out some of our other analyses of company financials and structure here and here.
