hr and m&a1
TRANSCRIPT
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7/28/2019 hr and M&A1
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HUMAN SIDE IN MERGERS &AQUISITION
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Cross culture and HR Processes
While implementing M&A HR practices that
concern
Planning, selection and staffing
Appraising
Compensation and socialization
Need to take into account difference in thenational cultures where they are to be
implemented.
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Planning, staffing and selection
Career management system isinappropriate in the culture of Islamicbelief.
In japan JD is vague and flexible to fituncertainty whereas in USA and france JDare detailed to reduce uncertainty.
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Skills importance
In USA and UK psychology and humanrelation are valued whereas in germanyand france advanced studies are valued.
Performance Appraisal
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HR issues and M&A
Pre-combination Combination
Solidification& advancement
There are several HR issues that take place at each
stage of M&A. The stages of M&A are:
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Stage I Pre-combinationHR Issues HR implication and measures
Identifying reason for M&A Knowledge and understandingthe need to be disseminated,competencies needed.
Forming M&A team/leader Proper leadership need to be inplace.
Searching for potentialpartner/target Composition of cross functionaltop level teamSelecting a partner/target Culture assessmentPlanning to manage the process ofM&A.Learning from process
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Stage-II combination & integration of companies
HR Issues HR implication and measures
Selecting an integration manager Selecting appropriate candidateDesigning the composite structure forsynergy and performance Creating team for rationalizing majorHR policiesInstituting Training and development
strategies
Communicating the above is essential
Retaining key employees throughcompensation design
Deciding on who stay and who leaves
Motivating employees throughperformance linked reward
Establishing new culture, structureand HR policies
Managing the change Managing increased diversity
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Stage-III Solidification of new entity
HR issues HR implication and actions
Leadership and high managerialqualities
Focus on retention ok key peopleand redressal of grievances
Assessing new strategies andstructure
Rationalization of manpower
Setting up shared vision andcustomer focused new culture
Blending two cultures needs largescale visioning exercises
Assessing new HR policies and
practices for flexibility
Training, compensation and PM to
focus on harmonizing grades and teambased reward.
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7/28/2019 hr and M&A1
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THANKS