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Change and Culture Clashes

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Mergers, Change and Culture Clashes
Which is more important, being able to work together or liking each other? It is actually both! Organizations must perform due diligence before merging in order to ensure that their two cultures are amenable to working together. It has been stated by OB researchers that an organizations culture is founded by the leader (Robbins and Judge, 2008, p. 253); however, there are sub-cultures within the main culture which are totally employee based, and these cultures must mesh with the newly merged organization. Just as two individuals with differing values and beliefs will not co-exist for long, unsuitable organizational marriages won't last either. According to an article by Lobsenz & Summers, ways in which organizations can assess some of the potential stumbling blocks is by conducting a cultural audit. Team C believes that the culture of an organization must be aligned with the culture of the newly merged organization. There will be some differences; however, but we feel that if the merger is openly and honestly discussed with the employees of both companies, and the employees are given some participation in the process, and that there is two way communication, that the culture of both organizations will also merge and make for a smoother transition. As with any change that creates uncertainty, leaders and managers can help employees deal with the change constructively. Without communication, participation, and preparation, a merger can be a total failure (Robbins and Judge, 2008, p. 269-270). Researchers have also found that firms with cultures that emphasize key managerial constituencies (e.g. customers, employees, stockholders) and leadership, outperformed companies that do not possess these attributes (Kotter, J., and Heskett, J., 1992). With regards to surviving a merger, all of Team C has felt the resultant uncertainty and

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