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Change and Culture I - Case Study Example

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Much has been written and discussed about the financial aspects of a merger and the impact that mergers and acquisitions have on the financial and capital structures of firms. But the fact remains, that not only do these financial aspects are crucial for a firm, they also have a…
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Change and Culture Case Study I
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Change and Culture I

Download file to see previous pages... Hence it can be safely said that for the management of a newly consolidated firm, the single most important issue that requires the utmost attention is the development of a strategy that ensures that the employees of the firms can smoothly transit between the pre and the post merger periods.
This essay discusses the impacts that a merger has had on the employees of a healthcare organization and the strategic decision-making on part of the management of the organization which allowed the respective workforces to develop a system of trust and respect for each other. The essay also discusses the way mergers can effect the business processes and structures of firms and how management can deal with these issues in a way which ensures that the organizational values and culture is kept intact.
According to Camara& Renjen (2004), studies by researchers and analysts has confirmed that mergers are as likely to destroy as to create shareholder value. A major cause for this is that mergers bring together two companies which had previously been working according to different policies, had entirely different business procedures and had unique cultures. Due to this, the differences that arise between the employees, as well as the changed rules and procedures seemingly create an atmosphere of uncertainty which is most commonly viewed by the employees as a direct threat.
The organization in whose context we will discuss this issue further is a medical centre which has been active in the healthcare sector for the past 25 years. Having a reputation for providing excellent services , it is one of the leading hospitals in the country and according to the reports, a total of 22,080 inpatients and 230,000 outpatients were served in the last fiscal year. Before the said merger took place, the hospital, although extremely well-regarded, was working on a relatively smaller scale and housed 400 beds among which 58 were ...Download file to see next pagesRead More
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