This term is generally used by companies as a replacement for "layoffs".  After an experience I had the other day, I have a new way of thinking about it.  I frequently get my RBSUV (Really Big SUV) washed at a local place that offers hand-drying.  Ah, there's nothing like a clean car!  In the summer, they usually hire a lot of teenagers, mostly female, mostly pretty cute; good for business, no doubt.  The girl who was drying cars the other day was only about 5' tall.  Very nice, thanked me, smiled, etc.  But, she couldn't reach across my windshield to dry it off, so I had two options: let it air-dry and live for a couple days with water spots, right in my line of vision, potentially causing me to fixate on those, versus dodging all the texting-while-driving idiots.  Or, I could get out and dry it myself.  If you know me, you know which option I chose.
Have you right-sized your staff lately?  Do you have people who are too short to serve your customers?  Not literally, unless you own a car wash (or maybe a giraffe-dentistry business).  But, are they "short" with your customers, because they are simply not capable of being client services people?  Have you hired people with great technical skills and knowledge, then put them into sales positions, instead of hiring great salespeople and giving them the technical training they'll need?  Too often, we see people put in positions of selling, serving customers, and being on the front lines in general, who do not have the personality, skills or training to succeed.

So, Right Size.  Next time you hear this term, hopefully you'll think of it in this way.  But, if you put the wrong people in the wrong jobs, eventually you'll probably have to think about it the other way.