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HRM Concepts in International Merger and Acquisition

   

Added on  2020-05-04

13 Pages3226 Words426 Views
Case Study Analysis

Table of ContentsIntroduction.................................................................................................................................................31.Issues of HT in international merger and acquisition...........................................................................32.Complication of Human Resource in context of Compensation..........................................................53.Performance management..................................................................................................................7Conclusion...................................................................................................................................................9References...................................................................................................................................................9

Introduction In the international environment, the HRM concepts are applicable to address the issues relatedto the cultural and social differences. In the international business merger HR professionals needto make strategies and conduct proper research in context of economic, cultural and legaldifferences between countries. The present sections give an overview of the different issues andobligation which are applied in case of international business. The host country should be inconstant communication with the home country office should ensure policies and practices arealigned with the organization (Lebedev, Peng, Xie and Stevens, 2015). The present report is basedon No-cable & Case mobile shops and its acquisition process. 1.Issues of HR in international merger and acquisition No-cable & case is Singapore based enterprise which sells phones, tablets, and repair phones. Ithas 41 chain stores in Singapore and Malaysia. The corporation wants to expand its business onan international level. The owner of the company Jo and Alicia Leung want to purchase Australiabased Galaxia Emporia (Cooper, Liu, and Tarba, 2014) which is an online retail chain and it has 25stores in Australia. Through this merger, No-cable & case receives distribution network in theAsia-specific and also expand business in Australia. In the international business merger, HRissues have to face many types of problems. Some of them are given below:Analysis theory In the merger and acquisition, there are three-stages model which can be used for identify the HRissues and provide formalize the M&A process. The ability to structure of three stage model inthe organization allows others to focuses on necessary conditions for successful M&As. The

three-stage model is taking over by the companies so they can integrate with merger easily andachieved business-related goals earlier.The $13.2 billion acquisition of Columbia Pipeline Group byTransCanada is also followed the similar concepts in order to overcome with HR issues related to themerger and acquisitions.Change Management The first issue associated with the merger is change management. As after the acquisition of thenew business the company has to make many changes in its business policies. The newmanagement can make changes in the top authority and also change in the procedures. It ispossible that the employees and other individuals resist the changes implemented by theorganization. The employee resistance is the most common problem in the change introduced inan organization. The business organizations face this issue as the employees find difficulty inadapting to changes in a business organization. They find it challenging to adapt to new businessprocesses or learn new skills; as a result, the employee resistance is the most common problem inthe business organization. It directly impacts on the productivity and the profitability of thebusiness organizations. In the case of No-cable & Case mobile company, HR may also face similar problems as theemployees of Galaxia Emporia can become change resistant and do not accept new policies(Krug, J Wright, and Kroll, 2014). So new management Jo and Alicia Leung need to makecommunication with workers regarding the vision and purpose of the merger. The HR shouldmake communication about the necessity of changes. Integration of Culture

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