Key Change Management Issues related to Organizational Structure - Essay Example

Large Builder plc is an organization that has performed consistently in the highly competitive construction sector in the United Kingdom even during the years of low economic growth.  It has survived and profited as a result of its ability to make quick and farsighted decisions related to investment, market positioning and cost-cutting. In order to take advantage of the upturn in the housing market, Large Builder plc has decided to acquire a small, regional housing developer, Small Firm Ltd.

This acquisition is however expected to be performed with retaining most of the current employees of the Small Firm Ltd. and by using their existing market base. While this decision is expected to bring in an expansion in the revenue base, the merger and integration of Small Firm Ltd. with Large Builder plc would require considerations over and above the financial investments and legal deals that would go in the acquisition.  There are several important and distinct differences in the two organizations, owing to their different sizes and structures that need to be taken into account while ensuring that Small Firm Ltd.

is able to perform the functions and adopt the business processes as envisioned by the Large Builder plc. Further, the two organizations have been managed in an entirely different cultural environment – Large Builder plc having a professional and corporate culture and Small Firm Ltd. practicing a small family-like culture. The above differences in structure and culture need to be understood at the onset as well as pre-empted with a strategy of integration to facilitate a smooth collaborative organizational environment post the proposed acquisition.

The following sections will therefore contain a discussion on  the key change management issues that need to be taken into account when integrating Small Firm Ltd. into Large Builder plc.