B.V.Raghunandan, SVS College, Bantwal. Karnataka-India

Type of Merger decides the Mode of Integration

Identities are retained, lost and created Involves Integration of systems, processes,

procedures, strategy, reporting systems etc

Most difficult aspect is integration of people Mergers prompted by efficiency may

involve downsizing and consolidation Requires change of mindset, cultures &

behaviour Involves redistribution of power, conflict of

interest and divided loyalty

Power, Authority, designations and positions to be redistributed

New designations may have to be created

Style of management and working relations decide the culture in an organisation

Any serious variation must be tackled

Power - Autocratic

Role -Bureaucratic and Hierarchical

Task -Team Work and Project Assignment

Persons -Equality of Human Beings

Culture Audit should be conducted as a Part of Due Diligence

Methods of reducing the resentment of Top Management should have been devised

Where the methods are not sufficient, it may result in turnover of top management personnel and employees

Real Integration can not tart unless the resentment is removed

Assessing Speed of ChangeEstablishing Clear LeadershipClarity of CommunicationMaintaining Customer FocusMaking Tough DecisionsDealing with ResistanceTaking Focussed Initiative

Not creating sense of urgency for change Not creating powerful coalition Lacking vision for the organisations Insufficient Communication Lack of proper planning Ignoring resistance Setting easy targets and making show-

offs Not anchoring changes in corporate

culture

Board Level changesAppointment Heads of various

divisionsRationalising the functions like

production, research and marketingPerformance EvaluationRemuneration/RewardsKey People RetentionConflict Management