Vertical Reconciliation: A Case Study

1. What does this split-department situation do to your efficiency as a manager, and how can you compensate for this change?

According to the researchers the increased value results from an opportunity to utilize a specialized resources which arises solely as a result of the merger (Jensens & Ruback, 1983; Bradle, Desai and Kim , 1983). For creating operational and financial synergies managers believe that two enterprises will be worth more if merged than if operates as two separate entities. Thus, the two companies, A and B:

In the course of this change, senior managers wish the whole organization can fit with the changed situation and the operation of the new reorganized structure can be more smooth and efficient. But also through this change, the middle managers, especially branch managers and

It's much more expensive to merge organizations than people realize, said Michael Goldstein, a former investment banker and finance professor at Babson College in Wellesley, Mass. Even companies in the same industry are often tripped up by costly distractions, as people worry about jobs and units fight over different ways of operating Pick (2003). Goldstein says “All that just makes people less efficient and in order to avoid such issues, merging organizations need to better communicate goals and plans to employees and other stakeholders, said Campbell Harvey, a finance professor with Duke University's business school”. “Mergers shouldn't happen too fast, especially at colleges and universities, which have a slower pace than businesses, he added. Pick (2003) says “The one toxic thing in mergers is a clash of cultures. The director of the Center for College Affordability and Productivity, wonders whether mergers are even a very useful tool in the academic world”. Another contrast to Ole-Jacobs is that advocates advocate of mergers mention many additional reasons behind the mergers such cost-saving approaches, such as online classes, more intensive use of campus availability and faculty, and trimming of athletic programs. One of the underlying reasons businesses merge is economics. Another contrast with the Ole-Jacob study involves "economies of scale," or capturing more sales and profits by combining two businesses and

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Collaboration and mergers have similar obstacles to their success. In both cases, there is a risk of volunteers and staff being apprehensive about any new changes that will occur. One example would be “a loss of autonomy that may reduce their own role” (Worth, 2013, p. 199). Another potential threat to both is the use of such resources as time and money to either collaborate on their shared mission or merge into one organization.

Integrated healthcare is defined as the collaborative provision of varying healthcare services through one common system (Zon and Lam, 2014). Integration in the healthcare system can take different forms. In this case, study, both vertical and horizontal types of integration can be seen. In healthcare systems that make use of a horizontal integration, that is similar services are grouped together and operate under a single unit (Hernandez, 2000). The most common horizontal integration practices involve the geographical alliance of two or more hospitals located in the same area.

When there is a significant change being made such as a merger of several organizations there tends to be quite a bit of resistance to the new changes. Even though some decisions are hurtful to some, it is a collaborative decision made by everyone involved. The change initiative stage will define how the stages of change are implemented for the merger and the evaluation of the plan for the merger. When these are made and agreed upon, then for growth and success to occur the newly joined organization will need to provide ideas on sustainability.

In 1954, Alpha Plastics was founded near Manchester. And by the mid 1969’s, the company had developed into a medium-sized company with around 6,000 employees. The company was famous for developing and manufacturing a wide range of laminates and industrial adhesives. Also, it had explored the market in synthetic fibre manufacture by take-over. In 1988, Alpha Plastics involved in merger with the Colmar Chemical Company, which is a slightly larger organisation with 8,500 employees and located near Stockport. Colmar produces a variety of industrial chemicals besides plastic and specialises in the production of synthetic fibres. Alpha Plastics believed that the merger would allow taking advantage of

Internal changes may be triggered by organisational strategies: centralisation/ merger due to pressures of “economies of scale” for market-place competitiveness, which may lead to closures, redundancies, change in Job descriptions, re-training / re-skilling.

For most, resistance to change inevitable, for some it is their personality and others it is fear of the unknown. Organizational structure may change through downsizing, outsourcing, acquisitions, or mergers. In this paper, I will be examining resistance to change during a merger and how to manage this type of stressful and many times unclear change in an organization. There are three key strategies for managing resistance to change; communication, participation, and empathy and support. Throughout this paper I will discuss the three strategies above as well as some other contributing factors to change in an organization.

I realized there are several steps an Organization Developer must consider in order for a company to have a successful outcome when they go through a transition. The OD must be able to identify several different components to produce a positive outcome. For instance, the OD must identify what needs to change with the company and communicate the problem in a clear and concise manner. It is also important to put together a team that can help with the process to ensure that everything goes accordingly. Also, if additional training is necessary then that must be factored in for others to understand the different aspects of someone else’s job. Employees must also understand why the change was necessary; therefore, the OD must be the one to convey that message in order for employees to understand the process of reorganizing. Once employees understand why the change is taking place, they must understand the new plans and goals

In this dynamic business environment, change is inevitable. Changes can be planned, or unintentional: depending on the driving forces behind. The major forces for change can be derived from the nature of the workforce, technology, economic shocks, competition, social trends, and world politics (Robbins & Judge, 2011). In this post the author will explain the Kotter’s eight –step approaches to managing organizational change and discuss how his company handles the planned changes in term of organization reconstruction.

The purpose of this report was to examine organization restructuring. Research for the report included literature based on organizational restructuring and the various processes involved in restructuring. The major findings indicate that the two methods commonly used for organizational restructuring to be downsizing and reengineering of business processes(Cummings & Worley, 2008). Downsizing assist the company to reduce its workforce, and this saves cost in terms of payroll reduction. Reengineering allows a company to change and adapt to the way it

According to the case study both companies are in the merger process. During the process there are significant changers applied to the both companies. In this report pre and post-merger processes ware analyzed mainly using following change management theories and models,