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Managements Attitude Toward the Envirotech Merger

Essay by review  •  July 18, 2010  •  Research Paper  •  821 Words (4 Pages)  •  1,100 Views

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Memorandum

Memorandum

To: First level sales managers at Interclean, Inc.

From: Midlevel Sales Manager at Interclean, Inc.

Date: July 12, 2009

Re: Managements Attitude toward the EnviroTech Merger

Good Morning Team!!

As you are aware our organization has been facing competition for a major market share and requires finding ways to reach out globally. The recent merger with Envirotech will provide us with the opportunity leveraging our business into a service oriented company. The merger announcement has been causing employees resulting in low morale. It is important to understand to achieve success and show positive results; the company has to take many steps and face challenges to organize among employees. The changes implemented have brought about opportunities for new career paths for the existing company sales members. This has created apparent resistance to the company's new change, evident by declining employee morale (University of Phoenix).

When strategies change in organizations, it is normal to resist the change. We need to support organization in helping the process run smoothly, the management team must implement ways to keep our employees focused on the mission and goals of the recent changes. One of the key ways to overcome resistance to the recent changes InterClean is holding up with EnviroTech merger, we should attempt to change the behavior of the employees by conducting workshops, enhance communication, organize training sessions, and motivate employees Management must emphasize and reinforce new behaviors to convince employees to embrace the changes.

I want to commend you all for handling the changes thus far. We must continue to assure our team that the merger will progress painlessly and provide utmost cooperation. Reassure them that this event will help reach our sales goals and increase profitability as much as 40%. This is in everybody's interest.

According to Forbes Survey of 500 CFO's, top reasons for why mergers failed were not financial, but people related issues (Walker, & Price). It's not only HR but also every mangers responsibility to consider people-related issues and individuals that will have impact by the two companies' merger. It is time to initiate a comprehensive plan to leverage and enhance communication that helps in maintaining trust with employees and job loyalty. This way we can keep employees informed effectively. Supervisors and managers need to begin meeting with individual employees to discuss options available if the employee isn't interested in continue working with Interclean once the merger is taken place. Each of the managers should try techniques such engaging and resolving the problem of decreased morale. Addressing these issues, staff and management can improve communication, clear off fears, increase job satisfaction, and make the organization a better place to work.

"Humans crave meaning and purpose - When people believe they're part of an organization with a worthy mission, and believe they contribute to the mission, they're far more likely to be passionate and committed" (2002-2008, Humannature@work). Managers need to discuss with employees in the positive way about the merger, talk about mission, vision of two companies, and successive potential of a merged company. Employees receive increased loyalty to the company when employees have job satisfaction, their morale is improved and commitment to work

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