Throughout this course, you will review scenarios involving Company A, which has been acquired by Company B. Company A was founded in 1956 in Mobile, Alabama. The average age of its workforce is 57 and it is comprised of 40% Caucasian and 85% male. Company B was founded in 1997 in San Francisco, California. The average age of its workforce is 35 and it is comprised of 45% Caucasian and 50% male.
These two companies have been staunch competitors in the marketplace for several years and the employees of Company A are resentful of integrating with their former rival. There are many strategic and ethical challenges involved in this acquisition. A few of the goals of the acquisition project are listed below:
- Managing the Communication and Information Sharing:
- The company wants to keep employees informed of how the acquisition will impact them.
- The company wants to be sure that they provide enough information to satisfy the employees, but not provide so much that the employees feel overwhelmed.
- The company wants to be sure that the timing of the communication matches their execution of the changes within the two organizations.
- Managing the Consolidation and Changes:
- There is no doubt that there will be layoffs as a result of the acquisition. The company wants to do what is best for the acquisition in a way that inflicts the least amount of harm to the existing employees.
- The company wants to make the decisions about who to layoff in the fairest way possible.
- The company wants to try and limit exposure to potential discrimination (age and gender) stemming from the layoffs.
- Managing the Relocations of Some the Employees:
- Another impact of acquisitions is that employees may be asked to relocate in order to maintain employment in the newly formed organization.
- The company wants to manage the expenses and potential disruption with the relocations.
- The company wants to assess relocations verses hiring new employees locally.
Let us look at the role and responsibilities of HR managers regarding managing the companyâ€™s goals related to the recent acquisition.
You have a wide variety of employees encompassing different ages, genders, and ethnic backgrounds represented in these two companies. As a Strategic HR Director, your goal is to create a workforce that will effectively move the newly formed company forward.
Now, address the following issues:
- Identify all of the information you would need to effectively manage the three goals above.
- Identify the challenges and potential issues related to implementing the three goals above.
- Develop recommendations for strategies to address these challenges and help the newly formed company meet its goals.
Write a five-to-seven-page report in Word format. Apply APA standards to citation of sources.