Vodafone Idea Merger: Organizational Structure and Leadership

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Added on  2023/01/18

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This presentation provides an overview of the Vodafone Idea merger, examining its organizational structure, leadership style, and the challenges faced during integration. The presentation discusses the merger's impact on brand image, highlighting the need for strategic adjustments to maintain customer satisfaction and market position. It explores the difficulties in coordinating employees and adapting to new policies, as well as the importance of effective training. The presentation also references relevant academic sources, offering a comprehensive analysis of the merger's complexities and implications within the telecommunications industry. It emphasizes how the merger aimed to strengthen the market position and improve service delivery through strategic adaptation.
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PRESENTATION
TASK
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Merger Of Idea And Vodafone
The merger between Idea which is Aditya Birla Group and Vodafone happened in 2017
in India as both are the telecommunication companies which provide their services
across the country.
The deal was closed in 23 billion US dollars which made the Vodafone the rightful
owner of Idea and also own all the shares of the company.
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Organizational Structure
Idea and Vodafone after merger also have to change their organization's structure in
order to increase the efficiency as the main aim of bot the companies was to lead the
telecommunication industry in India.
The structure of the merger company have changed drastically as idea was Public
company and the share of the company was in the public. The company have also
changed the percentages of promoter of idea and increased it to Vodafone.
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Leadership style
The company have now more employees, and they also have to maintain their
companies but the main change the companies have made that they will follow the same
objectives and all the polices and strategies will be adopted by both the merged
companies.
The leadership style of this merger was adopted as democratic leadership style in which
all the leaders have to follow their role and responsibilities according to the level of
management.
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Brand image
the company now have to develop a strategy to let the people know that after the merger
they are more effective in providing the services and also prove the population with
better products and services to increase the brand image of the company.
There are many factors which can also impact the brand of the merged company like
previous customers are nit happy with the merger and refuse to use the services of the
company anymore,.
It will also have different imact6 of their brand on different geographical location of the
country making it very difficult for the company to analyze all the problems which are
faced by the merger of the two companies.
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Challenges Faced In successful Merger
Coordination of employees
The employees who are being working for the companies were very effective in doing
their task but after the merger and due to change in all the policies and structure of the
company the employees were inefficient in coordinating and completing the objectives
of the company as the company was not effective in training the employees to adoption
of change in the organization.
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REFERENCES
Giessner S., 2016. Organisational mergers: a behavioural perspective on identity
management (No. EIA-2016-067-ORG).
Ovseiko, P.V and et.al., 2015. Organisational culture and post-merger integration in an
academic health centre: a mixed-methods study. BMC health services research. 15(1). p.25.
Puusa, A. and Kekäle, J., 2015. Feelings over facts–a university merger brings
organisational identity to the forefront. Journal of Higher Education Policy and
Management. 37(4). pp.432-446.
Yang, Y., Lütge, C. and Yang, H., 2019. Organisational culture affecting post-merger
integration. Review of International Business and Strategy.
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