When Consultants and Clients Clash

1361 Words6 Pages
The main problem at Kellogg-Champion is that the CEO, Royce Kellogg has no clue that his idea that things regarding the merger are in great shape are wrong. He told the consultants that all the “big integration related issues” were taken care of and all he really needs is some help finishing the small details of “finalizing common operating policies and procedures in ways that are good business and fair to all”. This sounded like a simple task, however it became obvious to Susan Barlow and Jim Roussos after just gathering and sifting through data that the commonalities between the two companies were not as prominent as they were led to believe. This probably should have raised a red flag and triggered an immediate request for a more…show more content…
It appears as though he has no clue as to how difficult mergers really are. His exact idea was that “The differences between Kellogg & Meyer and Champion are purely internal. They are completely within our direct control: evaluation, control and compensation, office policies and procedures, hierarchical levels, reporting structures, and executive titles. This is annoying, time-consuming stuff—but it’s not difficult. Not like figuring out derivatives!” Thoughts like this give us a greater insight has to how little he understands the complexities of a merger and how difficult combing these two companies environments really is. He fails to understand that two successful companies that are “equals” are very adept to the ways of their individual companies and that attempting any change, let alone expecting one company to simply give up the way they have been doing things takes time, patience and lots of real communication with all the employees. I think Royce Kellogg’s lack of knowledge and understanding of this could be the biggest problem.
For that reason, I would suggest that Susan Barlow and Jim Roussos attempt to shed light on what mergers are really like – as a precursor to explaining the problems they have found inside the company. This might put Royce Kellogg in the right mindset to really hear what they are saying about the status of the merger. If they cannot get him
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