In this article we highlight rationalizations within industry that were initiated and conducted locally during overt or latent threat of plant close-down. A common feature in our four investigated cases of 'declining organizations' is that the surprising increases in productivity cannot be thought of as the result of 'management by fear' or other active measures taken by management. On the contrary, our findings suggest that the 'dose-down effect' is brought about through workers' active and creative involvement in production matters when managers' interest in maintaining the established order at the workplace is fading away.