Human Resource Management Integration Framework For Mergers And Acquisitions

U.S.A Merger Expert Joseph? Cola Lingle's research shows that only about 35% of mergers and acquisitions can achieve the desired target. There are many factors that influence the success of mergers and acquisitions. Resources Management integration is one of the key factors related to the success of mergers and acquisitions.

The core human resources challenges faced by mergers and acquisitions enterprises in the restructuring process include the following aspects:

First, staff morale is restored. The merger and reorganization of enterprises is essentially a reconfiguration of human resources, which will cause all employees to shake. The immediate consequence is that employees are in a state of anxiety, whether they can retain the job, where they work, whether their income will change, whether they can adapt to the new organizational structure and managers, how to correctly evaluate their work performance, and so on. efficiency Substantially reduced. For manufacturing enterprises, the stoppage of labor is a great psychological impact on the front-line operators, which may lead to large-scale personnel turnover and have a profound impact on the production and operation of enterprises.

Second, key personnel retention. The main hazards of key brain drain are the loss of important customers and other factors such as financial risks, material resources risks, and operational risks. In the period of mergers and acquisitions, the key personnel policy is not clear. The key talents of enterprises are more vulnerable to the temptation of the outside world because of their market value, and are more easily attracted by their competitors. The identification of key personnel is also difficult, especially for those who are not familiar with the industry. Once they are concerned about this kind of crowd, they may have lost or are about to lose.

Thirdly, the employees are properly housed. In the process of restructuring business and organization, it inevitably involves job changes and personnel resettlement. In the process of reorganization, the prospects of enterprises are becoming clearer, and the turnover of employees who have previously been lost can occur. The resettlement of such personnel has aroused concern among the staff on duty. If they are not handled well, the imbalance of the employees' minds will be aroused. In addition, the lack of knowledge about the existing business and personnel will also bring difficulties to the placement of personnel.

Fourth, personnel policy innovation. Under the influence of mergers and acquisitions, human resources work such as adjustment of enterprises, promotion of Posts and staff members are frozen, resulting in adverse effects on employees and occupations. Once we start restructuring, we will find that the human resources policy of enterprises is lagging behind the market and reality. It is necessary to re-examine the internal and external environment of human resources combined with the development strategy of enterprises, and formulate strategies for remuneration, promotion and placement. Enterprise strategic adjustment and organizational transformation means new human resource needs, and also require enterprises to make overall human resources planning. Generally speaking, the longer the M & A, the greater the impact on employees, and the greater the expectations of the employees.

In order to deal with the challenges mentioned above, enterprises need to carry out the integration of human resources management in a planned and step way according to the specific circumstances of transformation. The overall framework and steps are as follows:

First, corporate strategy and business. Combined with the expectation of the shareholders' Merger and reorganization, we can sort out the strategy and business of the enterprise, and judge whether the original strategy of the enterprise is consistent with the strategy of the group company. This is also the basis for process and organizational change and strategic planning of human resources behind.

The second step is the integration of business process, organization and post system. This step should be called the basic integration stage, including organization structure design, business process optimization, fixed post assignment, core post recognition and so on. On the one hand, the organization post system is conducive to the implementation of the strategic objectives of enterprises. On the other hand, it also takes full account of the placement and retention of management personnel.

The third step is strategic planning of human resources. 　

Through in-depth investigation of the entire human resource management system and internal and external environment, we find advantages and disadvantages, analyze the balance between supply and demand of human resources, and propose the optimization steps of human resource management system.

The fourth step is human resource management reform (pay, etc.). Guided by the strategic planning of human resources, priority should be given to those important and urgent human resource management matters, including salary, performance, competition, job placement and personnel diversion.

The fifth step is integration. The group and the merger and reorganization of the enterprise's own unique culture, refining the mission, vision, core values, values and codes of conduct, ideological rectification movement, unified thinking, strict reflection.