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Human Influence

In: Organizational Justice in Mergers and Acquisitions

Author

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  • Nicholas Jackson

    (Leeds University Business School)

Abstract

Forces within the organization social system will automatically use resistance in an attempt to neutralize efforts to implement change strategies. Leaders should recognize that a changing of minds as well as behavior needs to be managed within the corporate plan. While both human and systems integration may receive equal focus during the strategic planning stage of merger and acquisition (M&A), operational demands often mean a change of focus during the implementation stages. This occurs at a time when there is a tendency for increased self-interest, as employees become preoccupied with what the integration means for themselves, their incomes, and their careers. Subsequently, negative attitudes and behaviors (e.g. job dissatisfaction, reduced commitment, and disloyalty) often develop. While culture and identity are recognized as having a major influence on employee perceptions of the merger process, evidence is clear that individuals will develop withdrawal strategies if they experience inequitable outcomes, accepting the change more readily if they perceive their own treatment as being just and fair. Uncertainty surrounding reporting lines and changes to organization structure, particularly how these will affect routes and patterns of communication, should be prominent concerns for managers during these times. The role of the middle manager is a primary function that is complex and exacerbated by a potential conflict of interest. Managers hold multiple contracts with various members of the organization and how they prioritize these multifoci relationships in the new postmerger era is important. A social systems’ view of organization is considered, proposing that a more holistic perspective is required to understand the impact from an organization level.

Suggested Citation

  • Nicholas Jackson, 2019. "Human Influence," Springer Books, in: Organizational Justice in Mergers and Acquisitions, chapter 2, pages 23-54, Springer.
  • Handle: RePEc:spr:sprchp:978-3-319-92636-0_2
    DOI: 10.1007/978-3-319-92636-0_2
    as

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