The Year Of The Mergers And Acquisition Essay

Our case study deals with Mass Merger. Since the 90s, together with the globalization of business, Mergers and Acquisitions have developed at an incredible pace. Thus, companies from all over the world can be lead to work together as one single corporation. Moreover, the world has become interdependent not only economically, but also culturally, that is to say one culture may influence another one or different cultures can be mixed. It is then obvious that intercultural issues have to be solved.

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.

Sharing information and keeping the lines of communication open with the existing employees and new employees is going to be a vital requirement for this merger. Mergers tend to leave employees anxious which create increased stress and lower productivity rates among employees (Bhaskar, n.d.). An effective communication plan can help mitigate this problem and quickly return the company to full production when the merger has been completed. Starting communication lines early also help reduce the amount of speculation employees have. Even with before a merger deal is completed employees might get a sense of what is going on through a number of different channels. This can lead to

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

When information is shared between the two companies it makes the whole organization better. Utilizing programs to show how effectively the company is operating can help show areas of concern. These can be accessed and addressed in a timely fashion . Because each side would like for the company to thrive, they work together . During this merger roles of the employees / department should be clearly defined . As with anything the lack if knowledge or understanding is what cause failure. As I have started before knowing when employees are aware of their roles and how to do them effectively thing run much more smoothly and are done to standard. (work by rote) .when the employee fails to understand the organization Does as well . While it s the employees job to stay well informed it is also up to management that these things be made clear. During a merger the by learning different ways of comp,eying task employees learn and management  s able to vine up with new techniques.

As critical as planning for culture fit is the need to communicate throughout the merger process. A clear and thoughtful communication plan can go a long way in easing concerns, distrust and resistance as employees are challenged to go from the known to the unknown. (Gunn). Even though, we experience many changes, the leaders communicated with us the plan and the timeline to provide a vision and clarity. Jaclyn stated, “They were all very open, if you have questions, please come to us. If you 've got concerns, please come to us. There wasn 't any sort of we need to be quiet; we need to keep quiet”. (Personal communication, September 21, 2015) Furthermore, the leaders worked nonstop to resolve the system issues we encounter and they were attentive to how this affected us. They provided a timeline of what will happen, and when it will happen. According to “Organizational Change and Development” resource, “The key to avoiding or handling resistance to change based on lack of understanding is to communicate clearly what the change entails”. (Organization Development). In addition, I believe we all experience the “DADA syndrome”. The process people go through when

According to experts, IT is labeled as the “root cause” for many merger failures due to lack of integration, failure of due diligence and the inability to facilitate synergies (“IT M&A”, n.d.). With eighty

Post-merger integration work is difficult, political, and often driven by teams that still have day jobs. Budgets are undefined, executive leadership is not clear beyond the C-level, no plans exist, and no one has done it before. Companies are willing to spend money on due diligence ahead of signing the papers, but do not always follow through to ensure that targets are met. In many cases, integration team members are plucked from the “operate and maintain” staff, and either cannot see or do not share the strategic vision of the “design and build” dealmakers. Companies that thrive from mergers do eight things (at least) correctly: Have a Plan, Communicate, and Measure Results, Dedicate the Team, Automate, Plan for Turnover, Focus on Business

This study examines how leadership, teamwork, and organizational learning can contribute in making mergers and acquisitions work. Our intention is to identify critical factors and practices needed for merger success. Our research is part of an ongoing project, and builds on previous analysis of merger success/failure in such organizations as Standard Oil, Exxon Mobile, and Time Warner-AOL. In this paper, we turn our attention to the recent merger of Pixar and Disney. In our view, the Disney-Pixar case seems to be a good example of a successful merger in progress. This is demonstrated very clearly by recent box office successes such as Academy Award

Due to the financial downturn and the emergence of new devices in the global handset

In response to the recent merging of Healthcare International and Care Alliance Health Systems, the management teams of both medical facilities has come together to write a memo on the merger and the effect that it will have within our new organization. Our organization

With reference to the item on telecoms and your own research, to what extent do you think that leadership is the main factor influencing the success of takeovers and mergers?

There are many potential risks associated with acquisitions and mergers. According to Allen (2014) risks include “ the miscalculations regarding the scale, scope and change management implications of the integration and the level of assimilation required” to make the transition a success. Another risk is would include the a lack of an adequate or strong communication strategy. Finally, a lack of identification or preparation to ensure key staff and core competencies are identified and a plan is in place to ensure they are retained could prove to be a major risk.

The Federal Commerce Commission conditionally approved AT&T's acquisition of cable company MediaOne. The Department of Justice's Anti-trust division conducted it's own separate anti-trust merger review and proposed a consent decree with AT&T which requires the merged firm to divest it's interest in the cable broadband ISP Road Runner and to obtain Department of Justice approval before entering certain types of broadband arrangements with Time Warner and America Online. This merger is in compliance with the Federal Commerce Commission 30% horizontal ownership rule. This rule prohibits a single cable company from serving more than thirty percent of the nations multi-channel video programming distribution. Subscribers who are

These revolve around the question of where do operations need to be integrated, and where the merging businesses can carry on separately. To answer this work with four decision principles (Harding, D. and Rovit, S. 2004). 1) Plan for ownership. Launch integration plans months prior to the deal being publicly announced. Link decisions to the deal's in-vestment thesis and to the synergies and cultural issues identified. Integrate quickly in critical areas. 2) Target areas for integration based on the investment thesis. Mergers aimed at creating economies of scale require almost seamless integration. However, mergers aimed at product extension, customer and geographic scope require selective integration. 3) Put culture high on your leadership agenda. Managers of merged organi-zations need to retool their corporate culture to fit with the deal's investment thesis. Tools include hard tactics-organizational structure, incentives compensation and the di-vision of decision-making authority-to address cultural integration. 4) Retain key re-sources in the core businesses. Mergers can exert a gravitational pull on employees. Keep the talented focused on taking care of business. Develop a plan to maintain key employees and protect the customer base. Effective integration generally ranks as the single most important factor influencing the success of a deal (Harding, D. and Rovit, S.