Organizational Development Interventions: Master/ Sundown Post Acquisition Merger Integration Organizational Development Interventions: Master/ Sundown Post Acquisition Merger Integration Introduction The essay covers the intervention steps to be followed in integrating Master and Sundown companies. Master is an international company, seeking to acquire Sundown, a family business. The modes of operation of the two companies are very different, as will be realized in the case. The intervention, therefore, seeks to bridge the gap between the companies, towards the realization of a profitable union. Topic Identification In seeking to enhance the effectiveness of Sundown, the organizational facts of the company in relation to Master need to be highlighted.
Both companies are in the same business, that of gimbal manufacturing. A merger is, however, not likely to bring a dispute, in that they manufacture different ends of the product. There are various challenges, however, that need to be addressed before implementing the merger; the unionization factor, as unlike Master, Sundown is not unionized, prior competition between the companies, management procedures in the two companies differ greatly, and the various lapses in the management of Sundown.
Sundown is a family business, with a string of affairs impacting negatively on the top management. There is an issue with employees, with Sundown taking most of those let off by Masters due to discipline problems. There is no ethics position at Sundown, a position present at Master. There are cultural differences in organizational outlooks. These facts combined present a challenge that should be looked into, in order to ensure that the merger is successful. The merger, however, asserts that Master does not have a problem with autonomy in its acquisitions, as long as such a branch meets all the financial requirements as well as the legal guidelines and procedures.
In this regard, there will be an assumption that the factors will be merged comprehensively, and the various differences will not affect profitability of the merger. The addition of Sundown to Master will also not be a conflict of interest since there is diversification in production. Overriding Issues The main issues of concern are the management tactics of Sundown, the employee culture and unionization of the employees. The presence of an ethics officer at Sundown is likely to cause defiance.
Considering the necessity, it is essential that such a change is carefully implemented. The merger will seek to come to a clear consensus that will see the interests of the merger obeyed and the working of Sundown not affected. Issues that merit the case to the study The Master/ Sundown Post Acquisition Merger Integration is a perfect case in intervention of organizational learning development, owing to a number of reasons, as will be discussed herein. An OD intervention deliberately changes an organization or its subunit towards effectiveness and efficiency (Jex, 2002).
An intervention seeks to change the state of things in such a unit to ensure that it functions at its peak. Such a move accommodates, if necessary, a change in status quo (Woley & Cummings, 2014). Sundown’s acquisition by Master, hence, makes Sundown a sub unit of Master. Master defines its roles differently and is managed differently from Sundown. There is a sense of professionalism lacking at Master that is necessary, and that would increase the effectiveness at Sundown. As much as Sundown is making profits, a more professional way of doing this would ensure more profits.
All the elements necessary for a proper definition of an OD intervention are, therefore, present in the case, making it a perfect case for study (Richard-Gustafsons, 2014; Buchholtz & Caroll, 2014). Analysis The main stakeholders in the intervention are the top management of Sundown and its employees. The management responsible for the merger and acquisition process at Master is also pertinent in the stakeholders’ list. The management and the employees at the master unit that is twenty miles away from Sundown also fall here.
The management at Sundown and the Master branch are likely to be shuffled, and other relieved of their duties. The employees at Sundown, as much as they dislike unionization, are likely to be enforced to the same. Sundown will have to operate with an ethics officer, a matter that is likely to affect the personal relationships and affairs disrupting the top management. The stakeholders pose various consequences. Changes are always likely to cause resistance, matters that might affect profitability. Sundown, being family owned, cannot continue to run this way, due to the aforementioned professionalism challenges.
As some family members get relieved of their duties, they can adversely influence employees and other members. An unhappy lot of employees, after being subjected to some changes, like unionization, are also likely to affect normal company functionality by undue influence. The merger, however, is likely to increase profitability levels once fully adopted, as functional organizational organs will be optimally at work. The management will be necessitated to instill a sense of discipline to the Sundown staff in various issues like production and drugs.
Sending off employees will not be a choice, so reform strategies should be put in place. The affairs at Sundown’s management should be reduced to a private level, and this should not in any way affect the management. Tensions The main tensions are the management affairs and unionization of employees. To a lesser extent, the behaviors of Sundown’s employees fall here. In the affairs, the OD agent shall ensure that they do not affect the positions at the management, and such positions shall be on a meritocratic basis.
It was not ethical for the management at Sundown to base its management on a personal basis. This has ill effects on efficiency in the organization. Issues of professionalism behaviors amongst employees should also be streamlined. Lack of ethics personnel at Sundown was also a likely cause of the relaxed nature of the employees. Model An action research OD model is pertinent in this case. With a consultant already in place and the perceived problem discussed, what follows is gathering of feedback and provision of actions.
Such actions will be based on an assessment of feedback and crafting of a joint mode of operation. Recommendations It is highly recommended that the professionalism angle at Sundown is fully realized. The changes, however, should not affect their functional strategies, as that is the pillar of their current profitability. The sub unit should remain client based, but be led by individuals with relevant experience in the field. Learning outcomes realized. I was able to effectively analyze the OD objectives and integrate this knowledge in real time analysis of the case. I can point the problems, challenges, and suggest positive changes that will reinforce my sustainability as an OD practitioner (Cecil & French, 1999).
References Buchholtz, A. & Caroll, A. (2014). Business and Society: ethics, sustainability and stakeholder management. London: Cengage Learning. Cecil, B. & French, W. (1999). Organization Development: Behavioral Science Interventions for Organization Improvement. Indiana: Prentice Hall. Jex, S. (2002). Organizational Psychology: A Scientist-Practitioner Approach. London: John Wiley & Sons. Richard-Gustafsons, F. (2014). Eight Steps for Organization Development Interventions. Retrieved from http: //smallbusiness. chron. com/eight-steps-organizational-development- interventions-14144.html. Woley, C. & Cummings, T. (2014). Organization Development and Change. London: Cengage Learning.