Case Study- Merger Event

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1. Introduction 450
2.1 Background
In 1954, Alpha Plastics was founded near Manchester. And by the mid 1969’s, the company had developed into a medium-sized company with around 6,000 employees. The company was famous for developing and manufacturing a wide range of laminates and industrial adhesives. Also, it had explored the market in synthetic fibre manufacture by take-over. In 1988, Alpha Plastics involved in merger with the Colmar Chemical Company, which is a slightly larger organisation with 8,500 employees and located near Stockport. Colmar produces a variety of industrial chemicals besides plastic and specialises in the production of synthetic fibres. Alpha Plastics believed that the merger would allow taking advantage of Colmar’s Research and Development facilities as well as its marketing organisations to be more competitive. However, this event had caused the unrest in Alpha because employees did not know the detail information and fear of merger. Also, the merger plan, including department structure, management reorganization and new human resource assignment, caused the dissatisfaction in the two companies. There are some problems and conflicts in this merger such as redundancies, integration and communication. The board had no ideas to improve this situation. 2.2 Aim

It is hoped that this report will assist the board to relieve the pressure. The aim of the report is: a. To evaluate the current situation
b. To design and evaluate an alternative action plan
c. To put forward the recommendations on how the current situation could be improved By doing this, the merger will be continued successfully and effectively. In fact, the related suggestions are provided throughout the report in the related sections. 1.3 Objectives

In order to achieve these aims, there are several objectives considering to be completed. To review the whole process of merger, the related objectives are: * Review the merger situation, plan and feedback

* Identify the main problems of this merge
* Explore the reason why employees are dissatisfaction
* Use the tools and technical to evaluate this merger
* Apply the change model and theory into this case
* Identify the strategies to recovery
* Form an action plan based on the analysis
2.3 Limitations
Actually, this report may not be a true representation due to the following limitations. Firstly, the main information and resource will be form the case study and there is a limited in getting enough information and resources to do study and research. Besides, this report is based on the limited knowledge form the case study in which it is likely to have some assumption being done. Secondly, due to the limited word and time scope, it is believed that several problems may not be studied and analysed as in-depth as possible.

2. Current situation evaluation with Force Field Analysis (FFA) 2.1 Reviewing merger situation, plan and feedback
2.2 Identify the tool of evaluating
FFA

2.3 Problems analysis with FFA
a) How did the major problem occur?
b) Can you provide solutions, or solution, to each of these major problems? * Make reasonable assumptions in areas where there is incomplete information. 提出假设(资金、时间)可行/不可行

2.4 Identify main problems and dissatisfaction 400左右
* Leadership style and organizational culture conflicts
* Integration issues
* Dissatisfaction with structure 人事/地点
* Redundancies 由于人员结构调整引起
* Communication

3. Change model and theory applying 400
3.1 Identify the change model and theory
Kurt Lewin's Change Model
If there is one thing that you can be certain of in business today it’s change. Kurt Lewin, a physicist and social scientist, defined a model for organizational change as far back as 1947. This model is still taught today in many business schools as part of the change management discipline. Organizational change does not have to be a complex process. In fact,...
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