Microsoft Acquisition of Nokia: A marriage made in heaven or hell.

Submitted by: Pragya Priyadarshini (IIM, Ranchi) Sameer Mirani (BIMTECH)

NOKIA AND MICROSOFT  VISION: Nokia’s vision is a world where everyone can be connected VISION: Global diversity and inclusion is an integral and inherent part of our culture. fuelling our business growth while allowing us to attract.  . and in the way we serve the needs of an increasingly global and diverse customer and partner base. develop. and retain this best talent. in the way we solve problems. to be more innovative in the products and services we develop.

 Engaging You – all our stakeholders. .  Very Human – builds on our previous value of Respect.NOKIA VALUES  Achieving together – expands our old value of Achievement. not just customers. reflecting that we increasingly work in networks.

and  Mutual respect.  Openness.  Personal excellence.  Honesty.MICROSOFT VALUES  Integrity. .  Constructive self-criticism.  Continual self-improvement.

 PRIVACY PROTECTION: Both companies believe in the privacy protection of their users’ identities and data. .SIMILARITIES IN CULTURE  CUSTOMER SATISFACTION: Both companies dwell on the customer satisfaction as is evident from their Vision Statements.

No collaborative teams encouraged.CULTURAL GAP USING HOFSTEDE ANALYSIS NOKIA MICROSOFT Almost 40 % females Less Power distance due to shorter hierarchy Could not envision changing market scenario Lesser Female population (24%) Greater Power distance due to wider hierarchy Has envisioned changing market and the ability to combine hardware and software Bureaucratic culture exists and innovation takes a backseat. Participative Culture not practiced. American Company.Americans are stereotypically confident and outgoing Innovative Culture is fostered Participative Culture is inculcated in the employees Finnish Company – Finnish are more reserved type of people .

.MICROSOFT’S STRATEGY TO EXECUTE CHANGE MANAGEMENT PROCESS  Socialization: Create company wide activities to promote new hires bonding with existing hires  Informal Rewards and open culture: Microsoft should promote open culture for the new employees and make them feel comfortable with the change.  Well Planned Communication Channel: Essential to bridge employee gap.

 Increasing morale of employees: By localizing and personalizing messages.CHANGE MANAGEMENT PROCESS CONTD…  Expand due diligence: Using the time between the deal finalization and materialization for audit and assess hard and soft assets. . increasing the morale and productivity by eliminating uncertainty.  Identify a culture change owners: Appointing a task force for the same.  Clear Leadership: A clear leadership with clear goals and communicating all lines of authority and accountability.

    Conducting Workshops Incentives to employees Frequent top management visits Celebratory events. Managing Resistance: Providing information before. . during and after a merger help in managing resistance from the employees.

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