Question

The newly constituted HR Department has applied interventions designed to smoothly merge two companies and create one unified organizational culture. The HR Department of the new company now wants to answer several research questions related to the merger's success. A representative sample of employees, including individuals formerly from each company will be used to make inferences about the larger company-wide population. The HR Department want to know whether the new company has been successful in creating a unified organizational culture and whether there any differences in employees' perceptions of the organization's culture depending on whether individuals were formerly associated with one company versus the other. Finally, there is interest in determining whether employee engagement and performance changed pre-merger to post-merger. Describe what data you would collect and analyses you would run in order to answer each question and why.

Answer 1

To begin with, let's first understand what exactely is meant by company's merger

Well, as the term suggests, Merger simply means when two businesses or companies with two seperate identities becomes unified to form one organisational unit.

Let's now understand the Key Advantages of Merger. Once we know the advantages, then the data which we need to analyse the company's performance post merger can easily be analysed.

* Two Large companies, or even small companies becomes more stronger to capture the market. This eventually leads to penetrate a new market , fulfilling of varied customer needs, the Research and development verticle of a company improves and most importantly it boosts the financial power.

* Product Innovation and Development : Since, innovation and product development or advancement is expensive as well as risky, hence a merger would make higher valuation and be better positioned to develop new products.

* Increased employee enhancement and Talent : With the merger of the two businesses, the leadership qualities of key individuals enhances and everybody gets benefits from one another.

* Increased market share : The new company formed post merger is so strong that it readily captures the market share and gets way ahead in terms of competition.

* Reduced the Cost of operations : Post merger, several cost reductions can be seen. For example, the company can buy the raw materials in bulk so that it is comparitively cheaper than buying in small quantity hence, cost reductions can be seen. This in turn also leads to larger outputs because of the much hard working teams.

* Business expansion : Since, merger leads to boosting up of finances, it can be used to expand the business operations, in other geographical areas as well.

Obviously, If something has pros then it will be also having some cons as well. So, some of the cons of the merger i am listing below :

* It leads to raising of cost of goods and services

* It also creates the communication gaps

* It also creates unemployment.

On the basis of these advantages and disadvantages, we can take out the data which can be used to analyse that what changes or no changes have come post merger :

A. We can check the trend of the market share. Once we would have these figure, then we can easily calculate how strong the company have been now post merger. This can be done by comparing the trends in the company share in the market before and post merger.

B. The accountability of the profit : The HR needs to take out the revenue in terms of profit, pre and post merger. This would help them to understand how much profit percentage has been increased after the merger of the two companies.

C. The Hr needs to take out the productivity chart of the employees post and pre merger. As, we discussed above that post merger, the thought sharing and the leaderhsip process increases so thereby the productivity of the employees.

D. Cost of production: We also need to analyse through the figures that how much cost cutting on the goods have been done post merger. This would help us to determine that the merger had led to how much cost cutting.

E. Advancemet in the product : We also need to analyse that what all advancement in the product have been done in terms of both innovation and cost.

F. The percentage of employee cut down rate, has also to be determined to check weather the merger has been successful in terms of creating employment opportunities or it has lead to creation of increased unemployment rate.

Please note - A survey from the employee, is necessary wherein anonymous feedbacks can be taken that what all changes they have seen and are they happy with the work culture post merger or not.