Management strategy and HR in international mergers: choice, constraint and pragmatism
Article Type: Abstracts From: Strategic Direction, Volume 25, Issue 8
Rees C., Edwards T. Human Resource Management Journal (UK), January 2009, Vol. 19 No. 1, Start page: 24, No. of pages: 16
Purpose – Studies the contextual factors that affect the management strategy and the consequent human resource strategy in international mergers and acquisitions, looking at the interplay between market, institutional and internal micro-political pressures. Design/methodology/approach –Discusses how these market, institutional and internal micro-political pressures affect management and human resource strategies, testing this out by examining case studies of 12 firms (two from each of six sectors – finance, oil,IT/telecoms, pharmaceuticals, utilities and food), which had recently merged or acquired other organizations. Based on 63 interviews with human resource professionals from these firms, studies the integration of the firms’ human resource strategies after the mergers/acquisitions and the rationalization of the businesses. Analyses the influence that market, institutional and micro-political pressures had on these processes. Findings – Reports that market and institutional pressures and organizational politics interacted to shape the firms’ human resource strategies and the rationalization of their businesses, pointing out that this interaction varied according to pre-existing organizational features and strategies. Suggests that this indicates that mergers and acquisitions place constraints on the ability of human resource managers’ ability to achieve radical change as well as offering opportunities. Research limitations/ implications – Describes the research methods and the analysis. Originality/value – Offers a more complex picture of human resource management after mergers and acquisitions.Article Type: Research paper ISSN: 0954-5395 Reference: 38AF447
Keywords: Human resource management, Managerial strategy,Mergers and acquisitions, Organizational politics
