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Zero-Based Headcount Review

Don't ask "do we need another hire?" — ask "if we started today with nobody, who'd we hire first?".

90 min Advanced

Goal

Break gradual team bloat ("add a person per problem") by rebuilding the org chart from zero based on actual priority, not history.

Steps

1

List every current role in your unit without names — roles only.

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Expected Outcome

Immediate

You find at least one existing role you would not rehire if starting from zero.

Evidence base

School: Zero-Based Budgeting / Organizational Design

Founders: Peter Pyhrr · Jack Welch (1970)

The zero-based principle extends from budget to headcount; Jack Welch applied it at GE within his rigorous periodic org-review discipline.

Frequently asked questions

How long does "Zero-Based Headcount Review" take?

This exercise takes about 90 minutes, practiced with another person in a Written reflection format.

When will I notice the effect of "Zero-Based Headcount Review"?

You find at least one existing role you would not rehire if starting from zero. In the short term: At the next hiring cycle or natural attrition, budget shifts to the truly top-priority role.

Is "Zero-Based Headcount Review" evidence-based?

Yes — it draws on Zero-Based Budgeting / Organizational Design (Peter Pyhrr, Jack Welch (1970)). The zero-based principle extends from budget to headcount; Jack Welch applied it at GE within his rigorous periodic org-review discipline.

Is "Zero-Based Headcount Review" suitable for beginners?

Its difficulty level is: Advanced. No external tools required — it can be practiced directly inside the app.

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