In: Operations Management
Organizations engage in mergers with and acquisitions of foreign companies in order to obtain a global presence. The primary motive for this action is financial. When organizations fail to consider the HR implications, the M&A can fail. As the IHRM professional, what recommendations would you make to executive leadership to increase the likelihood of a successful M&A as it pertains to managing human resources? Provide specific examples to support your answer.
Some specific recommendations for the Human resource are enlisted as examples for the successful M and A:
1. Strategy co-ordination: The new business opportunities likely require creating by overcoming the competitive advantages.
2. Channels formulation: The new mostly targeted approach is likely required to be created so to target the potential customers and finally enriching the service delivery.
3. Employees’ intake: The skill full engineers and other skilled professionals like sales manager are quickly required to be hired to deliver the highest workload in work and perform with “A” level efficiency.
4. Technology innovation: A better technology approach is highly recommended for the organization to patch up with the organizational activities after the merging so to coordinate with the work standard.
5. Product and positioning approach: The new products are needed offering to the existing customer’s to increase the sale or else require gathering the list of new leads to enrich the sales in the organization.
6. Acquiring customer’s database: The potential customers are required to be targeted with the mutual co-ordination to increase the sale and can sustain a long-term relationship with the organization.
Examples: The Company normally comes to merge because of low financial strength or bankruptcy. Both the company merges with each other by following a different set of rules. The prime motive of merging is to fix the organizations process by mutually sharing of culture and lead the business by adopting the different set of strategic aspects to bring the transparency in work and through the effective set of the communication standard. It will build a strong rapport among the two merged companies and the mutual co-ordination of the work standard will be improved.