Question

In: Operations Management

According to the following article? What types of structural problems need to be resolved when the...

According to the following article? What types of structural problems need to be resolved when the two organizations are merged?

Both A and B are two large sales companies, and B was acquired by Company A due to poor management. Both companies have a similar organizational structure - function-based design.However, after the acquisition of the new company, it suddenly increased a lot of shops and employees.After the completion of the acquisition of the new company, get an increase of many chain stores and a new Internet sector. In order to integrate these new businesses, the post-acquisition organizational structure must change. Now, the two companies that merged together became the largest sellers. Performance is gradually increasing. Although the company's merger has challenges, most of them have great confidence in the company's managers.

Solutions

Expert Solution

Types of structural problems need to be resolved:

  • Develop a new Profit and Loss Statement with respect to the benefits, costs, and timing of the employees, consultants, lawyers and bankers and other stakeholders involved
  • action at priority to regulatory and legal considerations
  • streamline the new resources allocation, to gain reduced cost and improved customer service levels or improved production process, optimized inventory levels etc., also with respect to manpower involved
  • Restructure the processes and systems; the numbers, capabilities, mindsets of all people
  • Refine new solutions for the technology organization, investment processes and safety procedures and needs
  • Take feedback on level of employees, and consider where additional refinements need to be made
  • Assessing the corporate cultures of each organizations and bring a sync
  • determine the new organizational structure by retaining and motivating key talent
  • Don’t forget to well communicate the reasons for the Merger to employees to avoid any dislocating and upsetting

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