MANAGING CHANGE : By: HUMAN RESOURCES Agnibesh Samanta MANAGEMENT (Mergers &

"People can't live with change if there's not a changeless core inside them. The key to the ability to change is a changeless sense of who you are, what you are about and what you value." --Stephen Covey

Aim
Challenges which are faced by the Human Resources Management

Human resource management has evolved itself over a period of time to meet the challenges faced by the organizations.

What is a Merger?
Two separate companies form a new company . In merger both companies' stocks are surrendered and new company stock is issued in its place.

What is a Acquisition?
Acquiring control of a corporation Takeover or buyout

Challenges in M&A Focused on the customer throughout the process.

Cultural challenges Keeping the key people Technical challenges

People issues : M&A

Combining work culture Proper communications Keeping the talent Deal with conflict

Three stage model of Mergers & Pre -combination Acquisitions

Three stage model of Mergers & Pre Combination and Integration of the -combinati Acquisitions companies
on

Three stage model of Mergers & Pre Combination and Solidification and -com Acquisitions Advancement of the Integration of the binati
on companies new entity

Role of the HR department in M&A activity

Reviewing the target company's compensation policies to compare organizational philosophy and cultural fit. Train managers on the nature of change. Due diligence. Implement strategies for employee communications & keep an eye on it. Design and guide the integration effort.

Contd.
HR can act as a facilitator, and also as a coach to individual executives. Educating financial and operating executives about possible risks and costs. Stopped recruitment at few months before the M&A plan. Picturing the job descriptions at the target company. Bringing the new organization into the corporate structure. Possible activities: Human audit, human costs,

Conclusion:
Success of M&As entirely depends on the people drive the business.

It is necessary to involve HR Professionals in Mergers and Acquisitions discussions as it has an impact on key people issues and it helps achieve the success of M&A.

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