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updated: July 2, 2010

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Employee team building is a key role of HR post-merger.

A merger between organizations can create a difficult work environment for employees,
with job redundancy and futures in question. Post-merger, the human resources (HR)
department fills a critical role in managing change and implementing new mandates in
the least disruptive and most constructive ways possible. Keeping employees¶ needs in
mind is HR's job in a post-merger organization and something that can mean the
difference between a successful and an unsuccessful merger.

  
2. £ne of the most difficult issues facing HR post-merger is job and employee redundancy.
The two companies that have now become one most likely had their own management
team and sales, accounting and even HR departments. This means that some cuts will
have to be made. HR¶s first role is working with the new management to evaluate the
new organization¶s needs in jobs and talent. £nce a transition plan has been decided
upon, it is up to HR to implement it. That means informing employees who will be losing
their jobs, and arranging for and facilitating outplacement and counseling services for
employees who will be leaving. For those who will be staying, it is HR¶s job to ensure
that employees understand the reasoning behind decisions and have clear and immediate
guidance on their new roles and responsibilities. Minimizing employees' uncertainly is
the best way to ensure a return to productivity.

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ÿ. Employees might have been compensated differently by the two companies and these
differences must be quickly reconciled. £nce decisions have been made about who will
stay with the new organization, HR must establish new salary guidelines and implement a
new benefits structure. It is up to HR to decide whether to maintain the salaries and
benefits of one or the other of the organizations or to develop an entirely new approach.

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. A critical and often over-looked post-merger issue is combining the cultures of two
different organizations. For the new organization to become successful in its own right,
an atmosphere of cooperation, camaraderie and optimism must be developed to overcome
the fear and confusion that was likely the norm during the merger process.
Communication is critical post-merger and HR must consider the communication styles
of the two organizations when crafting announcements. HR departments may use team
building and feedback sessions to help with staff integration and to build trust in new
working relationships.

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