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Assignment Question
Imagine you work for a company that has recently merged with a global company. Write a brief introduction to your company as well as the company that merged with the company.
Assignment Solution
Culture
Recently my Company, XYZ Ltd. has merged with the automobile giant ABCD Ltd. XYZ Ltd. has been a global leader in manufacture auto parts and different types of tyres for different types of vehicles. The Company was established in 1990 and since its inception it has adhered to a hierarchical structure with a recent inclination towards decentralization. The Company has its headquarters at New York, USA and it is presently operating in 12 countries across the globe. As a part of the organizational norm and culture, all the divisions of the company have to report to the top management placed at the headquarters and decisions are usually made by the top management placed at the headquarters. Though the divisional heads have some autonomy in decision making, the majority of important decisions are either made or approved by the top management. ABCD Ltd., on the other hand is a globally reputed automobile production company. It presently operates in 50 countries worldwide and it has its headquarters situated at Frankfurt, Germany. The Company believes in decentralization of power and it has a flat organizational structure. At present the merger would help XYZ Ltd. to expand its business worldwide and it would benefit ABC Ltd. through the process of bringing about reduction in the purchase cost of automobile related parts and utensils.
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Checklist
XYZ Ltd.
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1. Automobile parts and tyre manufacturer.
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2. Operates in 12 countries worldwide.
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3. Adhere to a hierarchical organizational culture
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4. Though centralized in approach, presently the Company is inclined towards decentralization of decision-making power.
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5. The company has its headquarters located at New York, USA.
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6. Presently the decision-making authority is at the hand of the top management at the New York office.
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7. The tyre production unit is located in 6 particular countries in which the divisional heads contribute a lot to the manufacturing decision-making process.
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8. The Company has indulged in the merger process to expand its business globally.
ABCD Ltd.
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1. A key player in the Automobile industry.
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2. ABCD Ltd. has a strong market hold in both Europe and Asia.
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3. The Company’s organizational structure is flat in nature.
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4. The Company’s headquarters is located at Frankfurt, Germany.
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5. Though the decision-making authority is at the hands of the top management sitting at Frankfurt; owing to decentralization of decision making, the division heads in different countries where the production units are located have the power to make decision on behalf of the top management in emergency situations.
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6. Presently the Company operates in 50 countries worldwide.
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7. The Company has taken the decision of merging to bring about reduction in its purchase cost.
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8. The merger would help the Company in penetrating into the American market.
Steps to Unify Companies’ Cultures:
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1. To unify the culture of both the Companies, the employees of XYZ Ltd. have to be trained to adapt to a culture which is more flat than the existing one. This would help the Company’s employees in mingling more easily with the employees of ABCD Ltd.
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2. As an HR Manager I would try to infuse within the employees of both the Companies the sense of purpose because the sense of purpose will drive them towards a unified goal. People are driven by causes and if I succeed in making clear before the purpose and cause of the merger, there will be ease in unifying their cultures.
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3. I would definitely, in a clear manner, explain the value of the both the Companies to the employees and would like to help them in understanding the primary objective of the merger so that they can grow an urge to get unified in accomplishing the objectives of the merger.
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4. Being the HR Manager I would strive for building a culture road map. I would strive for doing so by introducing communication tools, team-building exercises, team bonding events and so on (Rick, 2012).
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5. To unify the culture, I would measure the degree of adaptation on a regular basis through obtaining feedback on a 360 degree basis.
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6. I would try to give the employees of both the Companies an ownership of culture. This must be done in order to empower the employees and to get them motivated. Such empowerment and motivation will enhance their morale and will increase the degree of their engagement.
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7. I will put much emphasis on communication. In this respect, being the HR Manager, I would constantly remind the employees at every team meeting and in every operating plan “on email and in person that culture is a priority to you and that they are all part of it” (Rick, 2012).
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8. I will strive to promote and nurture diversity so that the cultural essence could be maintained and harmony could be sustained among the employees.
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Rick, T. (2012). TOP 8+ STEPS TO CREATE A GREAT CORPORATE CULTURE. Meliorate. Retrieved January 24, 2018, from https://www.torbenrick.eu/blog/culture/8-steps-to-create-a-great-corporate-culture/
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