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On the human resource integration after M & -- Reflections from two cases contrast

Author: SuQiong From: www.yourpaper.net Posted: 2010-06-07 11:42:13 Read:
Keywords:   the merger and acquisition of human resources integration;
Abstract: the end of M & A is not representative of the success of M & A, M & a real success of enterprises depends largely on the effective integration of both human resource.The main existing human resource integration of enterprise employee turnover, employee emotional fluctuations, employees of the new organization not suited to such three problems, propose creative solutions: retention, comprehensive communication, adjusting the organizational structure, staff training.
The enterprise merger and acquisition is to achieve maximum profits, which play both sides of the role of assets, optimize the allocation of resources, realize the input and output maximization.In fact, for the acquisition of enterprises, take effect after the merger, the merger and acquisition activity came to an end.But this does not mean that after the merger of enterprises will realize the profit maximization.If a mountaineering growth compared to an enterprise's words, to complete the merger and acquisition is just climbed halfway up the mountain, want to complete the top must be integrated, integration is the core of things, especially the integration of human resources.
Important 1 after the enterprise merger and acquisition of human resources integration
Case 1:1987 years, Taiwan Acer computer company bought the United States produces the miniature computer Kang company, but after 3 years of accumulated losses of $500000000.By 1989, the company had to withdraw in acer.The real reason for failure is "malfunctioned strategy" the integration of human resources.Acer, the lack of talent international enterprise management, the gap can not send employees to fill this growth, coupled with the Kang company researchers erosion, helpless, Acer was forced to declare the failure of M & A.
Case 2: a "merger and acquisition engine" said Cisco company in 1998 to acquire Cerent, in every detail before the formal merger company specially organized a group to study the SWAT assimilation.Especially for the integration of personnel do a lot of preparatory work.In the two months after the takeover of the company within the Cerent, each company's employees are working, with titles, all know that incentives and health benefits.This merger is finally obtained a great success.Cisco company president Chambers once said: "if you want to get from your company to purchase 5 - 1O times return, it obviously not from today's existing products, you need to do is, to keep those able to create this kind of growth.Instead of saying that we in mergers and acquisitions, as we are in M & a talent."
In the enterprise after the merger, how to integrate the two sides of M & A in human resources is the primary problem to be solved in merger and acquisition.The success or failure of the above two cases of enterprise M & A, we can say that, if the enterprise merger and acquisition of real success depends on the effective integration of the enterprise human resources to a large extent.
2 after merger, the existence of human resource problems in the integration of the
Generally speaking, enterprise human resources integration after M & A of problems mainly in the following three aspects:
First of all, both the turnover of staff.Due to the enterprise merger and acquisition will bring the uncertainty, this uncertainty will inevitably lead to the loss of a large number of employees, especially the key staff.The so-called key staff refers to those employees who have expertise, grasp the core confidential, control of key resources, have a profound impact.If key people left the enterprise M & A, then enterprises through mergers and acquisitions are just hard assets.With an entrepreneur's words, "M & A to the enterprise just pork rather than a pig".
Secondly, the employees' emotional fluctuations.Mergers and acquisitions will generally on the staff of the psychological and emotional cause enormous impact, so it has huge fluctuations in mood.If handled properly, these because of anxiety and worry about the emotional fluctuations tend to disperse the attention of people, they don't care about their duties, to sales and customers is the perfect balance.So the performance of the business will be greatly affected, while employees will be frustrated, which further increases the volatility of its emotional.
Finally, the employee can not adapt to the new organization.After the merger, the face of a new enterprise organization become, whether acquirers or merged side will have a new organization not to adapt.This does not adapt will bring great inconvenience to the work, for a long time if it, will be to the enterprise caused extremely bad influence.
3 solution
3.1 design schemes to retain key staff retention.
Retention scheme is mainly aimed at the loss of key employees and design.Once they loss, caused by the enterprise often immeasurable loss.Therefore the design of a set to be able to retain key staff retention scheme is the first task of the enterprise after M & A.
(1) golden handcuffs.
"Golden handcuffs" is the so-called stock options system of stock option is a kind of long-term incentive mode, it creatively to price difference resulting from the stock appreciation as compensation to the human capital of enterprise, the interests and the interests of enterprises key employees to maintain close contact in quite long time, this can not only avoid the key staff the loss, but also to attract more people.As mentioned above, the Cisco retain mechanism on the successful use of the stock option system.Because this system has better reflects the characteristics of both incentives and constraints, in Western golden handcuffs are described as occupation managers "".
(2) the golden parachute.
"Golden parachute" means in accordance with the provisions of the contract, when the company merged or hostile takeover, if senior managers of passive or active leaving the present position is lost, can get a hefty severance.On the one hand, "golden parachute" to ensure the departure of senior management personnel is the key employee welfare; on the other hand, it is conducive to the interests of shareholders, helps to reduce the merger or takeover resistance.
(3) non compete agreement.
Non compete agreement is the enterprise to prevent its employees to do the same work for a rival contract by this method can retain key employees, in order to prevent its leave in enterprise competition, which poses a great threat to enterprises.A lot of enterprises subject to the requirements of non competition agreement key staff, and take it as a financing conditions.Investors often the stock grant agreement, stock bonus plan and non-competitive agreement together, to ensure that key staff loyalty to the enterprise management.
3.2 strengthen communication
After the retention of key employees, the merging parties to carry out a full range of communication and exchanges, including communication, layer and staff communication, internal and external management of shareholders and management (mainly customer) communication.Shareholders and management communication is established on the basis of mutual trust, is mainly for the management of enterprise financial, personnel and other aspects of clear and policies, so that the interests of both sides tend to be the same.Management and staff communication, generally take formal way, through the arrangement of a series of employee communication meeting, let the staff know the general process of mergers and acquisitions, such as ownership changes, the future mode of operation, should also be timely to eliminate various concerns of employees, work place, problems such as migration of layoffs or expansion, welfare state employees concerned.Comprehensive communication so that not only can effectively prevent the loss of talent, also can alleviate the surplus staff emotional fluctuations.
3.3 the organization structure adjustment
(1) redundancy scheme.
The enterprise after the merger will improve the allocation efficiency of human capital for the purpose of reconfiguration and optimization of large-scale integration of human capital.The redundancy is one of the most common means to optimize the allocation of human capital, currently the world's most mergers and acquisitions are also using this method.The layoffs will generally bring great impact to the employee's psychological, economic.Therefore, layoffs to as quickly as possible, as far as possible to reduce the harm to employees, at the same time, rapid cuts will also help make the staff quickly return to the original state of.
(2) performance pay system.
Performance pay system is a core of human resource management, it directly relates to the implementation of direct benefit and company strategy of employee.Taking A, B two companies as example to talk about specific integrated compensation system (see Table 1).A large enterprise (B company) bought a business situation is not very good medium enterprise (A company).Through the survey found, A, B companies pay system are not perfect, so the two sides decided in the integrated compensation system for the company according to the basis of future demand.After the integration of salary system mainly includes five major projects: wages, salary incentive wages, bonuses, welfare salary, wage costs.In the wage integration, mainly adopt the market pricing mode.Since AB has no dedicated incentive wages in M & A, so we must change the status quo, the suitable incentive system.It should also be set bonus wage.In the welfare salary, AB two, the length of each integration should be set up, wages and benefits in accordance with market standards.Special cost refers to the specific cuts damages, the international general is taking the 1 year layoff compensation scheme.Integration should be in line with the international market, use the
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