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How to Effectively Merge Employees

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How to Effectively Merge Employees

Shane Santiff

Shane.santiff@comcast.net

GM 591 Leadership & Organization Behavior

Hajar Sanders

May 19, 2011

Overview of Organization:

The organization that I will be doing my project on is Targa Resources LLC. Targa is a publically held organization that is in the Upstream and Downstream segment of the Oil & Gas Industry. Targa main processes are fractionation, wholesale and logistics. Targa was formed in 2004 when it purchased two plants from Conoco Phillips. In late 2005 Targa purchased the whole midstream division from Dynegy Inc. With Targa’s purchase of Dynegy Midstream Services, Targa went from a company with 150 employees to over 1500 employees overnight. With this they needed to create a cohesive environment for both of the employees, without having much turnover.

During the whole process as Targa met with the Dynegy employees that were part of the sale, they had promised many things ranging from benefits, awards, employee relations and incentives. When the purchase was complete and the Dynegy employees came over to Targa it was realized that all of what Targa’s management had said about the company and what they promised to do was inaccurate. Targa’s management was not impressed with Dynegy employees and treated them as if they had no clue what was going on.

My career began at Dynegy in 1999 and I was a part of the sale to Targa. At Dynegy I was in charge of the accounting for a few processing plants. When we moved to Targa, our department became the Financial Accounting department which was in charge of the final product being produced to the shareholders. When we merged our 2 companies together, Targa’s financial accounting department only consisted of 3 employees, and we had 5 that came from Dynegy. Targa bought the accounting program that Dynegy was using since

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