Role of Hrm in Mergers Nad Acquisition

Is Human Resources important? Should it be done away with altogether? Dr. Dave Ulrich gives his take on the topic in his article, “A New Mandate for Human Resources,” in the Harvard Business Review. This topic is up for debate because of the widespread variance in differing opinions on the matter. HR is the department of a business or organization that deals with the hiring, administration, and training of personnel. In this paper, I plan to summarize and critique Ulrich’s “A New Mandate for Human Resources” for young business majors or those interested in reading this article.

The role of a Human Resource department is ever changing in today’s volatile business environment. Over the years HR have become strong strategic partners within an organization by providing functions such as recruitment,

The role of a Human Resource department is ever changing in today’s volatile business environment. Over the years HR have become strong strategic partners within an

Mergers and acquisitions have become a growing trend for companies to inorganically grow a business within its particular industry. There are many goals that companies may be looking to achieve by doing this, but the main reason is to guarantee long-term and profitable growth for their business. Companies have to keep up with a rapidly increasing global market and increased competition. With the struggle for competitive advantage becoming stronger and stronger, it is almost essential to achieve these mergers. Through research I will attempt to dissect the best practices for achieving merger success.

A merger is a partial or total combination of two separate business firms and forming of a new one. There are predominantly two kinds of mergers: partial and complete. Partial merger usually involves the combination of joint ventures and inter-corporate stock purchases. Complete mergers are results in blending of identities and the creation of a single succeeding firm. (Hicks, 2012, p 491). Mergers in the healthcare sector, particularly horizontal hospital mergers wherein two or more hospitals merge into a single corporation, are increasing both in frequency and importance. (Gaughan, 2002). This paper is an attempt to study the impact of the merger of two competing healthcare organization and will also attempt to propose appropriate

It is believed that at the root of any business strategic merger is to expand. This expansion could be in the form of a larger operations leveraging resources, enhanced opportunities or too simply unite with another business to reduce expenses. Ford and Volvo explored the option of teaming up in hop of lowering manufacturing cost.

The goals of mergers range from reducing the number of competitors, to access of new products (Belcourt et al., p 330). Statistics show that 80% of new product developments fail (Howells, 2011), partly due to challenges and conflicts with human resources functions. Mergers and acquisitions are the fastest way to enter new markets. “It is estimated that 1/3 of all mergers fail due to faulty integration of diverse operations and cultures,” (Chhinzer, 2013). Therefore, the success of a merger or acquisition lies in the ability to guide, motivate, retain, and effectively use

Mergers and acquisitions occur because directors see benefits that could come from combining two or more businesses, which could improve the

Mergers and acquisition plays an important role in survival/vitalization of a corporation in today’s market. It continues to be a breakthrough strategy for improving innovation of a company’s product or services, market share, share price etc.

HR help deal with any issues or difficulties identified with individuals in the organization as the merger or acquisition process unfurls. HR decides whether the cultures of the two organizations that are becoming one through a merger or acquisitions are perfect. HR must have a firm handle on the culture of the organization for which they work and should contemplate the culture of the other organization to influence such to an assurance. Culture differences may comprise how the two organizations describe and measure achievement within the organization; benefits workers enjoy, for example, individual time and protection; how issues inside the association are handles; the administration styles of the two organizations; and the general character of the workers and managers toward business capacities and the business in which they work.Besides, through the outstanding industriousness ration of a merger or acquisition, which comes after the acquiring organization, makes its underlying offer to buy the other organization, administration from the buying organization evaluate whether the transaction makes strategic and financial sense. HR from the obtaining organization particularly survey the advantages structure of the other organization to reveal any potential

Strategic Human Resource Management has been developed to give companies a competitive edge over other companies. Since widespread access to and the use of technology have resulted in tighter margins for maintaining a competitive edge,

The growth strategy of corporations generally influences their decision relating to mergers and globalization (Chambers, 2013). However, corporations often attempt to replicate practices disregarding the very complicated and contextual nature of certain practices (human resource management (HRM) practices – compensation philosophy) (Morris et al., 2009).

Human Resource management has a high impact on the overall organization being managed. HR management makes certain that human talent is used successfully and resourcefully to accomplish organizational goals. As an organization core competency, human resources has distinctive competencies that generates high value and sets apart an organization from competitors in areas such as productivity, quality and service, employee skills, and innovative changes. HR management activities can be grouped into categories which include strategic HR management; equal employment opportunity; staffing and talent management; compensation and benefits; and employee and industry relations. This paper will

Whether an organization consists of five or 25,000 employees, human resources management is vital to the success of the organization. HR is important to all managers because it provides managers with the resources – the employees – necessary to produce the work for the managers and the organization. Beyond this role, HR is capable of becoming a strong strategic partner when it comes to “establishing the overall direction and objectives of key areas of human resource management in order to ensure that they not only are consistent with but also support the achievement of business goals.” (Massey, 1994, p. 27)

In 21st century, the significance of traditional sources of competitive success (e.x. Technology, economies of scale) decreases because they are easy to imitate. In contrast, “the significance of human resources as the greatest asset of a business enterprise has increased since human resources constitute an organisation’s intangible, irreplaceable and, un-imitable resources” (Pfeffer, 1994). In addition, the business environment changes rapidly. Competition, globalisation, changes in the economic, market and technology are adding the pressure on the old human resources management system. In order to cope with changes, there is a need for the transformation of human resources management.