Understanding Business Restructuring and Streamlining: A Systematic Literature Review

Abstract

Abstract—Business restructuring & streamlining has become an essential strategic response to increasing environmental turbulence driven by technological disruption, digital transformation, regulatory change, and economic uncertainty. Despite extensive research, the streamlining literature remains fragmented, offering limited insight into when firms should restructure & streamline and why different strategies are adopted under similar conditions. This study addresses this gap through a systematic literature review of 112 peer-reviewed articles published between 2016 and 2025, following the PRISMA framework. Using thematic synthesis, the review integrates evidence on restructuirng & streamlining antecedents, types, and organizational mechanisms into a unified conceptual framework. The study proposes the Restructuring and Streamlining Urgency Matrix (RSUM), which explains how the interaction between external environmental pressure and internal organizational motivation shapes restructuring & streamlining urgency and influences decisions. The framework further highlights organizational capabilities as a key boundary condition explaining variation in restructuring & streamlining responses across firms facing similar environmental pressures. By integrating previously disconnected streams of research, this study advances the theoretical understanding of business restructuring & streamlining and provides a practical framework to support strategic decisions under conditions of uncertainty.

Keywords—business restructuring; business streamlining; strategic management; systematic literature review; restructuring & streamlining urgency matrix