Você está na página 1de 22

Running heading: ORGANIZATIONAL CHANGE

An Investigation into the Dynamics of Organizational Change, due to Acquisition in a Cayman


and San Francisco Bay Area Context and the effect on Employees and Leaders.
Paula Grierson- Thompson
GR501
International College of the Cayman Islands
Dr. David Marshall
14th December, 2016

Abstract

ORGANIZATIONAL CHANGE

The purpose of the paper was to investigate the dynamics of organizational change in the area of
acquisition and question the fundamental role of the human elements. The geographical area of
the investigation was Cayman and the San Francisco Bay Area. All participants had previous
international exposure to the process required for an acquisition of a firm. They garnered
experience either through education, being employed in the field of Human Resource or as a
lecturer of organizational behavior. The methods used to collect the data were: research from
previous studies on the topic, a conference call, and face to face interview and resource
personnel on the subject. The research findings, however, found an area of contradiction to the
data collected.
Keywords: change, communication, technology

Introduction

ORGANIZATIONAL CHANGE

All organizations must embrace the rapid rate of change or face their timely demise. One
form of organizational change is an acquisition. Acquisitions have been on the increase in the
last decade, partially emerging from the explosion of technological advancement. Organizations
see this as an excellent management strategy to gain a competitive advantage in the marketplace.
Technology, however, is playing the leading role in organizational behavior today. For
instance, both organizations possibly were using the same software but in a different way. But
the employees of the acquired firm would need to learn new software skills; these new staff will
have to be trained. It is learning new ways that cause some measure of resistance to the change.
How do the leaders of the acquired firm and the acquiring firm help their employees through the
transition?
The human element, however, is often neglected in the process and it is their contribution
that determines whether or not the venture will be successful. The concentration is often on the
viability to increase and sustain profits to keep shareholders happy. It, therefore, means that more
attention should be placed on the human resources available to the organizations. According to,
Ashkenas Lawrence, DeMonaco and Francis, (1998) statistics prove, that losses should be
expected in acquisitions. Therefore it is imperative that before purchasing a business, it is
advisable that leaders prepare strategies to ensure, training and development are recurrent and
not only performed once to amalgamate the firms in question. Despite this fact, however, some
companies are champions, one such example that is noteworthy is GE Capital Services. They
have had over ninety-nine acquisitions which have seen them gain a competitive advantage and
experience sustainable economic growth (Ashkenas Lawrence, DeMonaco, and Francis, 1998).
The strategy of acquisition is not all " doom and gloom," because other studies conducted have
found that there are positives for the acquiring firms, Lines agrees that (2005) acquisitions

ORGANIZATIONAL CHANGE

ensures an organization's some measure of success and chances of improving business over the
competition (as cited in Kuntz, 2012).
The acquiring firm has the responsibility for the smooth transition of the amalgamation
process. This development process must also include the issue of organizational structure,
culture, etc. The leading organization must make the changes quickly and transparently. In this
process, of transition are there theories related to Organizational Behaviors that could be adopted
or modeled to ensure a successful transition?
Leaders, therefore, must be able to plan, organize and implement new strategies in the
process to ensure that the process takes place as smooth as possible to reduce the level of stress
on employees. During my lifetime, I have observed that acquisitions lead to demotivation of
employees, massive layoffs, anxiety, and managers believing that they have failed.
Therefore the topic is important to me because aspiring managers must be able to manage
change. MBA programs must train leaders in organizational change and leadership skills so that
they can be successful in dealing with the transformation of firms. To achieve the change will
require skilled assistance to employees in various forms, such as: prepare the ex-employees with
new skills to make them more marketable for other employment, counseling sessions and general
support for workers, etc.

ORGANIZATIONAL CHANGE

5
Literature Review

The human elements are the fundamental driving resource for the success or failure of an
organization, especially one that is or will be undergoing change due to an acquisition. Scholarly
sources were examined, and it was identified that researchers were also interested in the process
and the impact it had on both the employees and the leaders. It has been reported by Conch and
French (1948) , that in the nineteen forties companies, had already identified that people within
the business were an asset, and they were instrumental in the organizational change process.
They were also aware of the tremendous impact on all staff members. The impact was mainly
due to the psychological issues of job security and the uncertainty for the future. This uncertainty
would often result in diminishing return for production (as cited in Hechanova, Cementina-olpoc,
2013). After that in 2002 and 2007, several researches by Herscovitch and Meyer 2002, Herold
et al. (2007) determined that for the organization to experience profitability the people involved
must be devoted to the change. Not only devoted but are genuine and committed to doing
business differently so as to bring about positive outcomes (as cited in Hechanova, Cementinaolpoc, 2013). To be committed to the cause of ensuring that the organization is successful there
must be factors that exist within the organization's value system and the people must have a
strong desire to overcome challenges. Three studies agree on these factors, they are as follows:
De Vos et al. (2002), which clearly demonstrated that observing the way of doing business has
brought about an easier way of accepting the change required. Herold et al. (2007) purported
that commitment to doing things in a different way is a necessity as well as being prepared for a
painful or negative outcome. Ghazali et al. (2008) proved that an employee positioning himself
to working different would almost always experience success in their transition. Also,
employees often model what their leaders do, so if it is evident that the company leaders are
present and will be there to assist through the challenging time along with executives displaying

ORGANIZATIONAL CHANGE

the same values. Then the information they pass onto the rest of the staff, once on a timely basis
will bring about an undeniable comfort and is a segue for employee loyalty, a most important
factor (as cited in Hechanova, Cementina-olpoc, 2013). There is enough evidence that clearly
proves that the employees play a vital role in organizational change, especially when they are
kept apprised by way of communication, and there is effective leadership support, the acquiring
organization would see the beneficial outcome.
.
The Employee
The definition of a worker has changed due to the age of technology; as a result,
communication has been identified as key to an employee. Francisco to, human resource
departments have a larger role to play than leaving the change process up to leaders because the
process entails a more detailed measured approach.
In the past the description of an employee would be a hired worker who knows that
he/she would be doing the same monotonous job the same way for the rest of their working life
unless they received a promotion, changed to a different department or resigned from their
position. Today the description changed with technology; the hired workers most understand that
they must be ready to do things differently at any moment. Technology has created a need of
constant upgrading and always something new to learn, which emerged out of competing to
secure a significant share of profit. This way of operation is causing tremendous pressure on
employees to keep up. The business market is now a very competitive one, so much so that
firms are constantly trying to outperform each other. Duncker confirms this occurrence ( 1999 )
when he stated that the demand to always be doing things differently, learning new and harder
computer functions, racing to be number one as a company, the most profitable just to keep
shareholders happy, has become the norm. All these needs of the business create mental exertion

ORGANIZATIONAL CHANGE

as organizations must move away from the old way of doing business, to remain competitive in
this century (as cited in Branson, 2008).
Leaders must communicate effectively with employees in various forms post acquisition.
The communication could take the form of training, socialization, motivational retreats,
employee support, and incentives, to help the employees to transition to the vision of the
acquiring firm. It is the reduction of physical work pressure that is important as it results in fewer
errors and brings about trust. Tiong (2005) agrees and states that when change happens in any
company to increase productivity, communication is essential along with leader and other
employee assistance, completion of the task and educating employees so that they can cope with
the stress and are more accepting of the new ways of conducting business.
The ability to balance work and home are also crucial during changes when this is
achieved it helps brings about completing the task on a timely employee commitment (as cited in
Maheshwari, 2015). Researchers have identified that the role of human resource in the change
process plays a critical role and that the workers usually were not considered in any management
buyout or organizational takeover. Some firms have introduced the new function of a changed
department to oversee any changes that need to be monitored while others have moved towards
technology to control the process.
In support, Aguilera and Dencker (2004) reports that their study has found that often in
mergers and acquisitions, plans for employees was often forgotten. In regards to change agents,
the Human Resource department was highlighted by numerous researchers. Caldwell (2001) he
identified that as change agents there were four areas of interest, for example, champions,
adapters, consultants and a synergist. Then they further explained that human resource
involvement creates two models which are of interest and named soft and hard. The flexible
arrangement would look at procedures and goals as well as the care of employees while the hard

ORGANIZATIONAL CHANGE

method would involve the technologies to be used and the guides to follow. Beckers and Saks
(1996 ) also took the stance that human resource in firms should play a vital role to ensure
change is accepted. They also state that technology must be used to ensure that the information
disseminated is friendly and does not need much explanation. With this system, it provides
workers involvement so as to allow easier transformation (as cited in Maheshwari, 2015).
The Leader
The definition of a leader within an organization could be designated as an employee as
they also work for the company. The difference is they are employees given authorization to lead
or employees with supervisory responsibility. They would hold anyone of the following titles;
supervisors, manager, executives, or owner. They play a tremendous role to ensure that the
organization's goals are achieved to ensure the profitability and sustainability of the firm.
However, due to dynamic nature of technology, these leaders must change their strategies and restrategies their way of business to align them self with the changing pace of the professional
environment. These leaders have the support of the human resource department personnel who
play a vital role as an organization tries to change. Communication and monitoring are essential
for the change process to be successful if leaders fail to provide information on a timely basis it
gives rise to the emergence of rumors which disrupts the harmony of the firm.
In support of this argument, Jamel et al., ( 2006) states that it is compulsory that
companies must accept that the business markets have changed so a re-strategizing has to be a
constant goal of supervisors or anyone who plays a leadership role in an organization (as cited in
Branson, 2008 ). Other scholarly sources such as, Mossholder et al., 2011; Becker, 2001; Barney,
1991; Conner and Ulrich, 1996, Lawler and Mohrman, (2003) have produced writings on the
subject of the convergence of leadership roles and business improvement. They concluded that it
was correlated to human resource procedures (as cited in Maheshwari, 2015). Leaders have the

ORGANIZATIONAL CHANGE

ability to mobilize the employee to change; additionally, six types of research were examined by
Appelbaum et al. (1998) to substantiate, and they discovered that loss or improvement of
business by doing things in a different way is based purely on the leader's ability to foster the
change. Also, a measure of resistance must be expected, but a correct solution would need to be
applied by the leading member of staff to reduce the contention (as cited in Maheshwari, 2015).
Also, DiFonzo and Bordia, (1986-1998); Smeltzer and Zener( 1998 ) admonishes that, sadly if
the change is not monitored the outcome will be an escalation of rumors, an atmosphere of
negativity and lead to low productivity (as cited in Maheshwari,2015 ). Other writers such as
Storseth states that leaders should introduce employees to the process of change, to ensure
improvement during the transition phase (Storseth, 2004). Reissner also identified, that not only
were the personal growth of leaders paramount to the business success in the metamorphosis
period but also the company's need must be dealt with expeditiously. (Reissner, 2010)
Similarities of articles
The literature carried a common theme; these included the following. The change process
has a psychological impact on both employees as well as the leaders. For an acquisition to be
active feedback must be analyzed from workers and communication critical. A human resource
department should act as an agency to ensure the smooth operation post purchase.
Differences of articles
There were no significant differences in the literature identified. The articles all carried a
common theme in regards to the role of leaders, employee resistance to change, the need for
communication, loyalty and how significant a role the human resource played.
The Caymanian and San Francisco Bay area background
The two organizational perspectives examined in this paper were Mellon Capital of the
San Francisco Bay Area and DMS of the Cayman Islands. The two entities are both financial

ORGANIZATIONAL CHANGE

10

institutions doing extremely well in their area of expertise. Bloomberg and Hedgeweek were
examined to explain the nature of their business.
According to Corporation, 1983, Mellon Capital Management is one of the leading fund
governance organizations in the United States of America. They provide both local and
international services for investment, shares, pension, not for profit organizations, governmental
agencies, insurance while overseeing portfolios and mutual funds. Also engage in hedge funds,
diversified portfolios, and bonds. They used technological analysis to create their collection and
identified as a "green" organization that insist on not doing business with an organization that
exhibits high carbon discharge into the atmosphere
(http://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=5019662).
Ltd, 2015 explained that DMS (Cayman) is an offshore investment firm which emerged
out of legal firms referrals because of a new United States of America financial, commercial law,
FRP's ( FATCA responsible officer ) were required to act as administrators in Cayman. The
Cayman branch has international connections with DMS (Europe.) They are the leaders in US
FATCA solution and have gone as far as implementing, software to generate reports for them
called Annex IV. In 2015 the firm won eleven awards, for being the largest investment bank in
the world.
(http://www.hedgeweek.com/2015/04/07/221008/dms-offshore-investment%C2%A0services%E2%80%93-best-offshore-regulatory-advisory-firm)

ORGANIZATIONAL CHANGE

11

Organizational Behavior Topic Exploration


Organizational change has taken on new frontiers due to the advent of technology;
therefore the process of acquisition is by no means effortless. According to By (2005 ) and
Carson ( 2004 ), for an organization to accomplish its objectives in adopting another group or
being adopted is onerous. This is due to differing aspirations, practices, ethos, perceptions of the
changes required and the constant adjustment feature of today's business market needs
commonality with other entities; this commonality is the internet a by- product of technology,
which has revolutionized the business industry (as cited in Kutz, 2011 ).
Also, there is always a feeling of fear and uncertainty that the announcement brings to the
acquired firm staff. Often time management does not give enough reason to satisfy an employee
curiosity. To supplement, the gap of uncertainty leads to the origination of rumors which start
because employees have no other form of information available. The false stories often emerge
over the topic of job security and loss of employment which would follow. A positive note is
that most times, the firm purchases the Goodwill and assets and also the skills and talent of
employees of the acquired company.
It is the workers and the leaders, the human element that is the driving force for a
company's success. Therefore it is important for executives to provide a model to follow which
includes training for the staff on new ways of doing business. Ackerman ( 1986), Quinones and
Ehrenstein ( 1997 ) supports this argument by stating that, the measure of accomplishment is due
to the efforts of the employee wanting to believe in the cause, accepting transformation and
learning new core responsibilities (as cited in Kutz, 2011 ).
Leaders must be able to plan, organize, and implement new strategies for the
organization to gain a competitive edge. During my lifetime, I have observed that acquisitions
lead to demotivation of employees and panic. The organizational change always results in

ORGANIZATIONAL CHANGE

12

massive layoffs and managers are left with the feeling that they have failed. Training program
now exist and transparency which is mandatory, but is these enough to reassure the acquired firm
staff?
The following has always been my concern; the emotional trauma that exists for
employees when the company they worked for has been acquired by management buyout" or
another organization and the challenges faced by the leaders of the acquiring firm to ensure that
the process works.
From our locality, Kim Wallace - Walter highlighted, in her interview that, leaders of the
acquiring company have to make sure that they share as much information as possible with the
new staff. Sharing of relevant information seeks to reduce stress and increase the productivity of
an acquired firm. From the information received the worker then can them self-assess if they
want to be a part of this new organization ( K. Wallace- Watler, personal communication,
November 24, 2016, 10.35 am ). While Janine O'Neil of the San Francisco Bay area,
admonished as well that leaders need to communicate and ensure transparency so that employee
can explore their options and can opt out, this separation allows the acquiring firm to be
successful. ( J. O'Neil personal communication, November 21, 2016, 11.15 am ). The
information gleaned from the interview was very useful because I did not know that employees
had an option not to continue with the acquiring firm because I have only experienced
redundancy exercises.
The purpose of the paper, therefore, was to investigate the issues which give rise to
thought provoking questions in organizational change post-acquisition. The issues would include
but not limited to; what are the strategies employed to ensure that employees and leaders are
prepared for the transition? Is there a science to ensure the smooth transition of the acquired
firm and engagement by the acquiring company?

ORGANIZATIONAL CHANGE

13

I have learned that much research has been conducted in the content area of leadership
and their findings all conclude that it is the human element of the business that is the driving
force for success for any acquisition. Prentice supported this concept years ago, and the thought
is relevant today, he identified leadership as the fulfillment of objectives through the instructing
of people (Prentice, W.C.H., 1961) Also, the Human Resource department of an organization
also plays a vital role. This role is to create a balancing environment to ensure that the transition
proceeds smoothly. Despite efforts, it is evident that there is a cause of concern by the employees
for job security and adjusting to the change. Leaders must be able to get the employees to be
committed to the necessary changes required. Prentice continue to state that, competent
executives believe that it is imperative to take a genuine interest in the development of their staff,
so they introduce strategies to assist the employee to be productive (Prentice, W.C.H., 1961).
The human resource department which I did not initially think was relevant to the topic came out
of the research literature as a fundamental requirement of any acquisition equation. The
department plays a significant role in the fostering of the change process, to ensure that the
acquiring of the firm meets approved standards and meet the companys deadlines.

The San Fran Experience


Although the seminar was geared towards technology and society, the information garnered in
San Francisco applied to organizational behavior. Innovation, change, and collaboration were the
theme throughout each seminar presentation we attended which was remarkable. For the
collaboration to take place effectively, though, there must be a commonality with other entities;
this commonality is the internet a by- product of technology, which has revolutionized the
business industry. Technology has created a new business world that globally must be embraced
for any organization to survive through the strategy of acquisition, which exists for all
organizations whether; privately, public or not-for-profit operated.

ORGANIZATIONAL CHANGE

14

The San Francisco experience was related to my topic and the prescribed text. The areas
of exposure were economic pressure, organizational change, changing quickly due to
globalization, helping employees cope with work-life balance, job satisfaction, motivation,
leadership, communication, and barriers to communication, challenges to leadership, introducing
the organizational culture, teaching corporate culture and dealing with stress.
On the seminar, I found three strategies employed by Google most surprising and rather
not- traditional; - Google's Head of Operation stated that he only hires applicants for a position in
the organization only if they have demonstrated that they are smarter than he was. Also, Google
had a policy which gives an employee a reputational standing based on whom they hired and
deducted from their reputational standpoint when the person they employed did not meet the
high aggressive company standards. Most surprising was that failure was not looked down upon
but embraced as an opportunity to learn from and improve. (J. DeMike, personal
communication, November 10, 2016, 11.15 am). These three examples are not the norm from my
experience; leaders are always mindful of whom they hire so that they will not face any
competition for their job position and failure is met with harsh consequences.

Application of the Learning


I will be using this course in Organizational Behavior to propel my professional growth
to be an effective leader, ready and willing to embrace change and new technological
development. Leadership is a craft that takes into account experience and education to influence
persons from various; diversity, cultural and ethnic background, to ensure the smooth operation
of an organization and to sustain profitability.
I have changed professionally after the seminar trip to San Francisco Bay area in ways
that are priceless. To experience the collaborative energy of all stakeholders in a community,

ORGANIZATIONAL CHANGE

15

speaking one common theme of innovation and change was almost magical. The pursuit of
innovation and the ability to accept rapid change now resonate with me, but it is the matter of not
only accepting the change but embracing the change that is paramount so that you are not left
behind in this world of technology.
According to Robbins & Judge, firms require tenacious heads and strategic planners to
ensure that the organizations meet their objectives. Histories tenacious leaders included men
such as Nelson Mandela - who rose from prison barracks to the president of South Africa,
Richard Branson owner /C.E.O. of Virgin group, Steve Jobs who was instrumental in the birth
Apple Inc. The leaders possess the characteristics of Trait theories of leadership which identified
superior supervisors from mediocre directors based on one's characteristics and concluded that
individuals with the trait are a frequently unique in comparison to other persons. They also add
that Emotional Intelligence is another requirement because some leaders may have the talent,
education, and experience but lack the ability to be effective leaders (Robbins & Judge, 2014
p g .179). It is an ambitious thought to think that I could be one of the above mentioned great
leaders but with the information provided I am confident that I would be a much better leader in
future than I have been before.
I have changed in that I now understand why some individuals have no drive and are
happy to do the same type of work every day. Having this seminar experience has increased my
knowledge base, I have now come to appreciate that not everyone can be a leader and or be an
effective one. The experience that I have now that I did not have before is the stamina to meet
tight deadline and endure until the project is complete. Also, I can be a source of encouragement
to others both in my personal and work life to keep trying, to constantly be ready to accept
change because the exposure has changed my perspective on embracing change.

ORGANIZATIONAL CHANGE

16

In addition I had the pleasure of interviewing three experts in the field of organizational
behaviour ; two from my own locality in Cayman- Mrs Kim Walker- Walter ( Senior People
Manager - DMS Cayman ), Ms. Heather Halsey ( VP Operations People and DevelopmentDMS Cayman ) and one from the San Francisco Bay Area , Ms. Janine O'Neill ( Head of H. R.
for Mellon Group and feedback via email for

three questions from a Prof. Lo, (Lecture at the

University of San Francisco). They graciously accepted the interview for the furtherance of
education and are aware that the completed paper will be rights of the International College of
the Cayman Islands.

The Similarity of Cayman and San Francisco context.


Encourage staff to share information.
There will always be resistance to change, ensure that information dissemination on a timely

basis.
Identify skill set areas of workers to maximize them in other areas
Motivation is essential for the employees.
Emotional Intelligence is essential in an acquisition process.
Buy in "of employees both from the acquired and the acquiring firm is critical.
Employee involvement through the process of acquisition is useful but not necessary until the

acquisition has taken place.


Communication is key to the entire process to ensure transparency and reduce negative rumors
which impede productivity.

The differences between the Cayman and San Francisco context.


Encourage staff from the organization that is being acquired not to speak about the past as the

thought process, hinders mental acceptance of the changes they must embrace.
Employees must feel as if they are valued.
Instead of a large forum for Q and A use a separate session to encourage constructive feedback.
Participatory decision making by employees.
Cayman uses competency software to produce an analytic response to finding leaders that are
well suited to accomplish full transition after an acquisition.

ORGANIZATIONAL CHANGE

17

Communication should be from the top down and the bottom up of the organizational chart to
encourage acceptance by all involved in the process.
Use anonymous platforms to secure positive feedback.
Discourage "Grapevine" by promoting open communication
An employee can be unproductive and resist change, therefore, use strategies to identify these.

Limitations
During the trip, it was my intention to discuss with Prof Lo., who is an accomplished
educator in the field of organizational behavior, from the University of San Francisco, pertinent
issues related to my topic. Acquisitions of organizations both the acquiring and the acquired
have always concerned me, as to the impact not only on employees but also leaders. He would
have been the ideal resource person in San Francisco to have had a most rounded conversation.
His level of education and experience coupled with his global exposure would have meant that
his knowledge would have been by far superior.
However, due to our agenda, it was not possible to speak with him the day he made his
presentation. I made numerous desperate attempts to reach out to him via emails reminders. He
responded to say that he was busy and could not answer all nine questions, so I happily condcensed the issues to only three issues, still to no avail. After that, I requested a conference call,
but still no answer.
I had previously, however, sent twenty-five Linkedin in-mail to anyone who had
acquisition experience in the San Fransisco Bay area and even changed my Linkedin summary to
prove authenticity. Of the twenty-five, one viewed my profile, and I stalked her until I finally
was able to do an interview with her via phone. It was after this meeting that I received the
answers to questions from Prof .Lo.

ORGANIZATIONAL CHANGE

18

I had one unfulfilled goal, which is to be able to have a more in-depth conversation with
the individuals who chose to volunteer their information which has had the experience and
education in the field of organization acquisition. To accomplish my unfulfilled goals would be
definitely to reach out to the resources I interviewed recently for this course in my locality.
Summary and Conclusion
Organizational change is a process that must be embraced by organization/s for them to
survive in this age of technology with stiff barbarous competition. Changes may take one of the
various forms: - mergers, acquisitions, and the implementation of a new technology where new
strategies will have to be employed. Therefore to be in business, the executives must always be
looking and searching for the new way of conducting the business to be able to exterminate the
competition. The business strategy of acquisition would grow the group of companies into a
stronger body. Google Inc., is a perfect example of an organization that has embraced this
corporate strategy and is now a very successful colossal grouping of various companies.
It is the employees and the leaders who are the cornerstone of any successful business
acquisition. The human element plays a vital role in the process; economic achievement is
significant too, but it would not have any success without workers and leaders. It is the
dedication of the staff and leaders active communication with the aid of a change unit which
makes a significant difference in the sustainability of an organization. From these support the
team gains committed and loyal employees.
An area of concern was the fact that the three content area experts who engaged in the
oral interviews, all were in agreement that a change unit is not required to facilitate change, the
literature however disproves. The research explains in its entirety that the human resource
department plays a significant role in all changes in an organization to ensure that employees
have the resources and support required to be successful. There is unanimous agreement that

ORGANIZATIONAL CHANGE

19

employees input was not necessary for the initial stage of the acquisition process nor during the
stage of negotiation, but once the deal was sealed, then staff would be informed. Thereafter
employees input could be garnered by Q and A, focus groups or other means base on the culture
of the organization.
The geographical areas were chosen strategically because the San Francisco Bay area in
California is a success story, due to the fact that its GDP is above that of a country and it is only a
small city in the state of California. While Cayman, also a very small nation that occupy a
microscopic geographically area is renowned as one of the leading financial centers in the world,
which endeavor to maintain international standards. Therefore it was ideal to study the two
locations to understand their process of acquisitions.
The topic matters because executives do not concentrate enough attention on the human element
of a business especially in the case of an acquisition. The following information was garnered
and will be useful to me not only in my present place of employment but when the time arises for
me again to be a leader. It is to be understood, and noteworthy that this process of acquisition
brings an air of anxiety and fear for many staff members however if handled well the benefits are
there to be reaped. Once leaders understand the psychology of the process their observation
through emotional intelligence will help to calm some of the anxiety of the staff.
The emergence of technology, however, has created not only a new way of doing
business but a paradigm shift from the traditional ways. It is the learning of new software that
has brought about resistance, and resistance is expected from the labor force because of this
factor of technology. Computer technological knowledge requires frequent upgrades therefore to
reduce the issue of resistance leaders are obliged to share information through the process of
communication and endeavor to train their staff. This process has proven to reduce not only the
resistance to change but reduce rumors and result in employee loyalty and sustainability.

ORGANIZATIONAL CHANGE

20

To oversee this process it is essential for change champions to exist to monitor the
process, these employees are already in the organization, only underutilized. Research studies
are apparently lacking is this area. However, a wealth of the investigation exists regarding
leadership and employees; interest should now turn to how the human resource department can
assist leaders to facilitate the change process in organizations.

References

AshkenasLawrence, R.N., DeMonacoSuzanne, J. F. (JANUARYFEBRUARY 1998 )

ISSUE

Real: How GE Capital Integrates Acquisitions. Retrieved https://hbr.org/1998/01/makingthe-deal-real-how-ge-capital-integrates-acquisitions


Branson, C. M. (2008). Achieving organizational change through values alignment.Journal of
Educational Administration, 46(3), 376-395. Retrieved from
doi:http://dx.doi.org.ezp-02.lirn.net/10.1108/09578230810869293
Corporation, M. C. M. (1983). Mellon Capital Management Corporation: Private company
information. Retrieved December 15, 2016, from
http://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=5019662

ORGANIZATIONAL CHANGE

21

Hechanova, R. M., & Cementina-olpoc, R. (2013). Transformational leadership, change


management, and commitment to change: A comparison of academic and business
organizations. The Asia - Pacific Education Researcher, 22(1), 11-19.
doi:http://dx.doi.org/10.1007/s40299-012-0019-z
Kaplan, R. and Norton, D. ( 2005 ) The office of strategy management, Retrieved from
https://hbr.org/2005/10/the-office-of-strategy-management
Kuntz, J.R., & Gomes, J.F. (2012). Transformational change in organizations: A self-regulation
approach. Journal of Organizational Change Management, 25(1), 143-162. Retrieved
from doi:http://dx.doi.org.ezp-02.lirn.net/10.1108/09534811211199637
Ltd, G. (2015, April 7). DMS offshore investment services best offshore regulatory advisory
firm. Special Reports. Retrieved from
http://www.hedgeweek.com/2015/04/07/221008/dms-offshore-investment
%C2%A0services-%E2%80%93-best-offshore-regulatory-advisory-firm
Maheshwari, S., & Vohra, V. (2015). Identifying critical HR practices impacting employee
perception and commitment during organizational change. Journal of Organizational
Change Management, 28(5), 872-894. Retrieved from http://search.proquest.com.ezp02.lirn.net/docview/1710607315?accountid=158672
Prentice, W.C.H. ( 1961 ) Understanding leadership. Best of Harvard Business Review. Retrieved
fromhttp://psgleadership.scripts.mit.edu/2011IAP/pdf/1_required_reading/Understanding
%20Leadership.pd
Reissner, S. C. (2010). Change, meaning and identity at the workplace. Journal of Organizational
Change Management, 23(3), 287-299. Retrieved from doi:http://dx.doi.org.ezp02.lirn.net/10.1108/09534811011049617

ORGANIZATIONAL CHANGE

22

Storseth, F. (2004). Maintaining work motivation during organizational change. International


Journal of Human Resources Development and Management, 4(3), 267-287. Retrieved
from https://www.deepdyve.com/lp/inderscience-publishers/maintaining-workmotivation-during-organisational-change-mR0nqoWEpJ?
Robbins, S. P., & Judge, T. A. (2014). Essentials of Organizational Behavior (12 ed.). New
Jersey, New Jersey, United States of America: Pearson Education, Inc.

Você também pode gostar