HRM in Mergers and Acquisitions: Course XYZ - Analysis and Report

This report delves into the crucial role of Human Resource Management (HRM) during mergers and acquisitions (M&A). It examines why some companies fail to develop HR plans during these processes, often prioritizing revenue and market share over the human element. The report highlights the importance of early involvement of HR professionals to identify key resources and retain employees to boost morale. The report also references key academic articles. It suggests that HR managers should play a key role from the beginning of the M&A process, rather than being involved only at the end. This proactive approach can help ensure a smoother transition and successful integration of the merging entities.

HRM during Mergers and Acquisitions 1
HRM during Mergers and Acquisitions
Name of Student
Name of University

HRM during Mergers and Acquisitions 2
1. Why do some companies fail to develop HR plans as part of their mergers and
acquisitions strategies?
Answer: Many companies fail to develop HR plans during the Merger and Acquisition process.
These happens because the primary focus of the organizations during the merger or acquisition
process is towards the revenue which the combined entity will have. They focus on the market
share and activities which will showcase their strength in the market (Ivancevich, 1987). All this
lead to ignorance of the most important resource of the organization which are the people who
form the base element in the building of those organizations. They should be dealt with first
during M&A process so that the process would be smoother and fruitful.
2. What roles should HR professionals play in these processes?
Answer: HR managers should play a key role during Merger and Acquisition Processes.
Generally, they would be left out in the beginning and will be involved in the end to find out the
redundant positions and fire the employees with low performance (Schweiger, 1992). However,
the exercise should be opposite. The HR managers should be involved in the beginning to find
out the crucial resources from both the merging organization and retain all employees to boost
the morale of the employees from both the organization.

HRM during Mergers and Acquisitions 3
References
Ivancevich, J. M., Schweiger, D. M., & Power, F. R. (1987). Strategies for Managing Human
Resources During Mergers and. People and Strategy, 10(1), 19.
Schweiger, D. M., & Weber, Y. (1992). Strategies for managing human resources during
mergers and acquisitions: An empirical investigation. In Human Resource Planning (pp.
101-118). Gabler Verlag.