Running head: ENVIROTECH & INTERCLEAN MERGER

EnviroTech & Interclean Merger

ENVIROTECH & INTERCLEAN MERGER EnviroTech & Interclean Merger Recently sanitation leader, Interclean, and service leader, EnviroTech, have reached an agreement to merge in order to become the dominant force in the sanitation arena. As the industry evolves it has become more important to provide well rounded solutions and services (Heneman & Judge , 2009). The coupling of Interclean and EnviroTech will create a complete

solution capable of answering this emerging trend. This new journey will require a reworking of the current staffing model. In order to ensure that new compliance standards are met, the team will need to be modified to focus on training and preparation for this new industry standard.

Viable Options In order to ensure that the staffing remodel is carried out both effectively a strategic plan needs to be created. Downsizing in itself does not result in sustained improvement in financial performance, [therefore] management should seek alternatives to layoffs (Rayburn & Gayle, 1999. P. 49). Choices in times of great change greatly influence how staff and consumers will view the combined organization after the merger is complete. The short term savings of wholesale firings cause employees to question their loyalty to their employers (Rayburn & Gayle, 1999. P. 52). Because the merger was designed to create a unified industry leader, rightsizing would seem a more appropriate fit and should begin well before the organizations merge. Rightsizing allows for a unified struggle as employees share the temporary burden of a financial loss with the understanding that the merger will create a better future for all. Rightsizing works when it is part of a planned reinvention of a company that pays attention to its business strategy, cost implications, and human capital issues (Davison, 2002, p.31).

ENVIROTECH & INTERCLEAN MERGER Blending work teams with performers from each organization will help to save on training time, hasten productivity, and reinforce the new unified workforce. In addition to this, more flexible working solutions can be presented to help conserve costs. Employees can volunteer to accept less pay and less paid benefits with the incentive to agree to flex time

schedules, working from home, or part time employment. This approach helps the company cut labor costs and leads to higher overall productivity because each employee is working more concentrated hours (Rayburn & Gayle, 1999. P. 52). Employees can also be offered the option of less pay for company stock. If the merger is carried out effectively and long term gain is realized, company stock may prove to yield a greater financial benefit in the long run. For additional cost savings, all unnecessary organization paid costs should be eliminated. This should include a careful evaluation of operation and processes for fine tuning. Redesigning and perhaps eliminating processes that are not efficient will assist with right sizing by freeing up personnel for other more needed duties. Repositioning employees to higher revenue yielding areas after performing a job analysis and redesigning duties, [increases] productivity because [the organization], along with workers, receive part of the productivity gain (Rayburn & Gayle, 1999. P. 52). As a last resort, should downsizing be necessary, it should be done with the utmost care. In order to be effective employees who will align with the future vision need to be identified. The employees with the best set of KSAOs will need to be determined carefully through evaluation. The redistribution of tasks and responsibilities may also necessitate a re-alignment of positions after a detailed job re-design. With this modification of staff, employees will

ENVIROTECH & INTERCLEAN MERGER undoubtedly be required to tackle an increased amount of responsibility. Ensuring that employees are both willing and capable of doing this is will be necessary. Plan Implementation The employee reduction selection should be based on performance based criteria. The selection criteria should be fair and should be applied reasonably and objectively (Hill, 2003,

p.39). Employees should be given honest information respectfully. If possible employees should be extended a severance package that includes some pay based on tenure, corporate stock, temporary benefits, paid continued education, and employment recommendations. A complete package will assist the employee through what is for most a stressful period of financial uncertainty and regaining employment. The organizations first concern is the moral obligation of top management to act in the best interest of the firm. The second concern is the legal obligation of the firm not to violate the rights of employees (Willie & Shirley, 1999, p.145). Employees should be allowed to sign the necessary forms to accept the severance package and a release of liability and right to sue the organization in exchange. Ensuring compliance with each employee release is necessary. Having a HR staff member present during the delivery to each employee after a careful analysis of each employee before termination will help to lessen the risk of legal action. Ethics Employees deserve not to be left in the dark. Delivering the news as early as possible to the organization as a whole as transparent as possible is the best method for informing employees of the upcoming changes. Meeting with employees on a one on one basis as requested

ENVIROTECH & INTERCLEAN MERGER by employees for additional questions shows a continued commitment to employees in a stressful period. Conclusion It is necessary for organizations to anticipate the evolution of the market and take proactive steps to maintain a vision that is aligned with these changes. Even though these changes are necessary a certain level of care should always be utilized when staffing modifications are made. The its just business mind frame should never guide the steps of a staffing remodel. An organizations ethics foreshadow its future success of employing high caliber personnel and attracting consumers. Following a strategic, respectful, and efficient plan for the corporate merger will help to ensure that Inter clean and EnviroTech will be able to successfully become the industrys leader hands down together.

ENVIROTECH & INTERCLEAN MERGER References: Davison, B. (2002). The difference between rightsizing and wrongsizing. The Journal of Business Strategy, 23(4), 31-35. Retrieved from ProQuest database

Heneman, G., & Judge, A, T. (2009). Staffing organizations (6th ed.). New York, NY: McGrawHill. Hills, S. (2003). Redundancy pools and selection criteria. Strategic Direction, 19(8), 39-41. Retrieved from ProQuest database J, M. Rayburn., & L, Gayle. R. (1999). Smart alternatives to downsizing. Competitiveness Review, 9(2), 49-57. Retrieved from ProQuest database Willie, E. H., & Shirley, A. H. (1999). The ethics of downsizing: perception of rights and responsibilities. Journal of Business Ethics, 18(2), 145-156. Retrieved from ProQuest database