MANAGEMENT OF

TRANSFORMATION

PRESENTATION ON CASE STUDIES

Group Members
LALIT
PRATEEK
MUKESH
PARTAP
RITURAJ
ROBIN
Business Process
Reengineering
Examples
CASE 1:
Relationship between IT and BPR

 BPR requires taking a broader view of both IT and business activity, and of the
relationships between them.
 IT capabilities should support business processes, and business processes should
be in terms of the capabilities IT can provide.
 It has been argued that innovative uses of IT would inevitably lead many firms to
develop new, coordination- intensive structures, enabling them to coordinate their
activities in ways that were not possible before.
 Such coordination-intensive structures may lead to strategic advantages.
Categorization of IT roles-

 Phase 1: before the process is designed (as an enabler)

o The activities in this phase may include:
 Developing a strategic vision.
 Identifying the customer’s objectives.
 Establishing goals/targets related to market share, costs, revenue enhancement, or
profit margins.
 Assessing the potential for reengineering.
 Defining boundaries and scope of the appropriate process.
 Keeping management committed.
 IT capabilities can provide good insight into the existing conditions. IT is one of several enablers,
including human resources and organizational change, that all must be considered together to
bring about change in business processes.
 Many companies ignore IT capabilities until after a process is designed. An awareness of IT
capabilities can and should influence 8 Role of IT in BPR process design.
IT can play important roles in this phase of
BPR efforts as follows:
o The opportunity IT provides is to utilize newer and better technology to develop a strategic
vision and to help improve the business process before it is designed. For example, an important
Wal-Mart vision was to eliminate unnecessary distribution steps and cost and to provide value to
customers. To accomplish this, Wal-Mart developed a strategy that included linking its suppliers
to its retail stores. IT, eventually enabled WalMart to implement this strategy.
o The capabilities of IT to track information and break down geographic and organizational
barriers are useful in understanding the company’s strengths and weaknesses, and market
structure and opportunities. Example-At General Electric email systems are used to speed
analysis and design sharing and to hold frequent virtual meetings between group from different
regions and overseas.
o The focus is on finding different approaches to manage a process. These approaches can be found
and be adapted from practices of companies outside of the industry.
o BPR requires a flexible organization design. The existing rigid infrastructure of the organization
must be altered to facilitate cooperation between various departments by using cross-functional
teams instead of individuals working in isolated departments.
o To achieve effective teamwork, each worker should develop several competencies. The IT
organization is no exception. The demand for close collaboration with other functions dictates the
need for IT staff to broaden their portfolio of skills especially in nontechnical issues such as
marketing, customer relationships, etc.
o Alliances and other methods of cross company coordination are becoming commonplace. In an
attempt to gain market shares, many firms are teaming and collaborating with suppliers and
distributors.
 Phase 2: while the process is being designed (as a facilitator)
o This stage involves two activities: technical and social design. During the technical phase,
information is consolidated, alternatives are redefined, process linkages are re-examined, and
controls are relocated prior to applying technology.
o During the process design, accountability for development, testing and implementation must be
clearly defined. Real benefits to the business result when IT becomes involved with more
fundamental changes to the business process itself.
o IT can facilitate the reengineering design process through the use of project management tools.
These help identify, structure, and estimate BPR activities and help to control contingencies that arise
during the process.
o Computing technologies have facilitated a process- oriented approach to system development where
a database is shared in different functional units participating in the same business process. Ford
Motor Corporation, for example used databases in its accounts payable process to cut down many
intermediate steps and to overhaul a sequential flow of paper documents among involved functions.
As the project progressed, the reengineering efforts achieved a 75% reduction in the workforce.
o Telecommunication technologies such as LANs, groupware, etc. have improved collaboration
among personnel of different functional units in their efforts to accomplish a common business
process. At Texas Instruments, for example, the process for new product development was
dramatically improved when a design team in different countries used global network to work on
design directly without sequential flow of documents.
 Phase 3: after the design is complete (as an implementer)
o The bulk of the reengineering efforts lie in this phase. The reengineering efforts include planning
and managing people, processes, and technology and driving the implementation toward the
business vision. The objectives of this stage are to pilot test the new approach, to monitor the
results, and to provide extensive retraining of employees.
o Implementation of the new process through the use of project management and process analysis
tools. These help identify structure and estimate all associated activities.
o Electronic communications enable ongoing and real time communication of the process between
users and facilitators. IT helps to overcome geographic barriers.
o Evaluating the potential investments and returns of the reengineering efforts is absolutely essential.
The reengineering team or management should have enough information to determine the value the
new process contributes to the overall performance.
o A fundamental source of difficulties is the fact that process are reengineered but infrastructure is not.
The rigid infrastructure of the organization must be altered to facilitate cooperation and to cross-
functional barriers between departments. Crossfunctional teams must replace individuals working in
isolated departments.
Suggestions for given examples-

 Example 1- Use of IT training to the workforce so that they can automate process
on their own. Activities performed at the same time can be linked.
 Example 2- The use of IT in this example helps companies to identify the
changing customer needs, reducing the workforce and using communication to
overcome geographic barriers.
 Example 3- An interlinked network which connects all the distribution centers
with the factories and use of LAN and MAN to communicate.
Applying the BPR
model
BPR MODEL
Cont.

These steps listed below succinctly summarize the process:

 Map the current state of your business processes

 Analyze them and find any process gaps or disconnects
 Look for improvement opportunities and validate them
 Design a cutting-edge future-state process map
 Operationalize opportunities and develop future changes
 Implement future state changes and be mindful of dependencies
1. Define 

 Map the current state of your business processes. Map the current state (work
activities, workflows, roles and reporting relationships, supporting technology,
business rules, etc.). “What are you currently doing?” is a great starting point for
deeper analysis. It provides the lens to talk about business process and business
systems requirements from many different perspectives
2. Analyze
 Identify gaps, root causes, strategic disconnects, etc. in the context of improving organizational
effectiveness, operational efficiency and in achieving organizational strategic objectives. And you
would improve, if you could change business policies, procedures, processes and/or supporting
information technology. This is where we challenge the stakeholders as well as ourselves, as
business analysts, to identify opportunities to improve existing work activities.
 Asking deeper questions - What can we do from a policy or procedural standpoint to improve the
process? What can we do from an information technology perspective to improve the process?
Does this thing rise to the level of a functional requirement that we can support through
application software?
3. Identify and Analyze

 Identify, analyze and validate opportunities to address the gaps and root causes
identified during analysis. This step also includes identifying and validating
improvement opportunities that are forward facing – often strategic
transformational opportunities that are not tethered to current state process.
4. Design 

 Select the improvement opportunities identified above that have the most impact
on organizational effectiveness, operational efficiency, and that will achieve
organizational strategic objectives. Make sure to select opportunities for which the
organization has the budget, time, talent, etc. to implement in the project
timeframe. Create a forward-facing future-state map that comprehends the
selected opportunities.
5. Develop 

 Frequently overlooked (and a key root cause in failed BPR initiatives), this is
where the above opportunities are operationalized before implementation. New
workflows and procedures need to be designed and communicated, new/enhanced
functionality is developed and tested, etc. Changes and opportunities cannot be
implemented until they are operationalized.
6. Implement 

 Classic implementation based on dependencies among changes/opportunities,

change management, project management, performance monitoring, etc.
 The key point I want to make is the distinction between business-as-usual
improvement opportunities (BPI) and strategic improvement opportunities
(BPR). The distinction is essential in selecting the opportunities to move forward
into design, development and implementation.

 Business-as-usual improvement opportunities are those opportunities that

improve, but do not fundamentally change current processes. These are the things
that you do (typically incremental changes) to improve operational efficiency and
"lean" the process – i.e. reduce waste, errors, cycle time, etc.
Core questions

Before a company decides to adopt BPR for their functional reshuffling, they usually answer the
following questions:

 Who are our customers? What values are we offering them?

 Are the current processes delivering expected values?
 Do the processes need to be redefined or redesigned?
 Are the processes in sync with our long-term mission and goals?
 How would we handle the existing processes if we were a new company?

If a company concludes that it is, in fact, operating on complacent grounds, it has to identify the right
kind of solution to address the problem or consider BPR for a total overhaul. Done well, BPR’s radical
approach yields dramatic results for a company in terms of improved cycle times, product quality,
productivity, and so on.
Changing the existing
working in the above three
examples through BPR
Fast Food Company

 Business Process Reengineering (BPR) advocates that enterprises go back to

basics and re-examine their very roots. It doesn’t believe in small improvements,
rather it aims at total reinvention. 
 The two cornerstones of any organisation are the people and the processes. If
individuals are motivated and working hard, yet the business processes are
unwieldy and non-essential activities remain, organisational performance will be
poor. Many industry experts argue that BPR is the key to transforming how
people work. What appear to be minor changes in processes can have dramatic
effects on cash flow, service delivery and customer satisfaction.
 The fast food company should concentrate on what the customers actually want rather than
assuming the traditional needs of the customers.
 BPR should involve re-examining the very roots of the enterprise and should focus listening to
the customers more and more.
 Most of the customers really want is good food served fast and hot in a clean environment at a
price they could afford.
 BPR can also involve the use of analytics to predict the demand and thus saving cost in raw
material.
 The other steps can include management redesign and changing the outlook of restaurant to have
more dinning area instead of kitchen.
Company selling commemorative cards

 The company should focus on the following while doing BPR-

o Understanding the needs and demands of the customers so that products are made
accordingly.
o Reducing the cost of the products by redesigning the processes.
o Reducing the overall time for production of the products.
o The use of sales data can be done so that more insights are gained about
customers and their needs.
Company selling cereal products

 The following can be done in this example-

o The most important aspect is production and this is why raw material loss should
be taken care by placing factories near the raw material.
o The handling of logistics i.e raw material and finished goods should be done in
efficient manner.
o The distribution centres should be redesigned to make the distribution of finished
products more efficient.
o Redesigning the process of sending the finished products to customers.
CASE STUDY 2
SOLUTIONS
1. Various steps involved in BPR

The
 Reimagined BPR process has 4 phases:

Scan Phase
BPR begins with the Scan Phase, whose
purpose is to understand the drivers behind the
BPR effort. This phase includes current state
assessments, gap analysis and identification of
improvement opportunities. Also, opportunities
for automation are considered in this step
1. Various steps involved in BPR

Focus Phase
Next is the Focus Phase, which defines future
processes and includes the development of the
implementation plan. Several short-term and
long-term future states are considered. After the
Focus Phase is complete, the processes are
evaluated and scored for suitability for
automation
1. Various steps involved in BPR

AcceleratedBPR via Process Robotics

This phase, Accelerated BPR via Process
Robotics, provides insight into how much
potential exists for the organization to
utilize process robotics and cognitive
automation to modernize their core
business operations
1. Various steps involved in BPR

Validateand Build Phase

Lastly, the Validate and Build Phase
examines how well BPR efforts achieve
the desired benefit and encourages the
search for further improvement
 Scan Phase
• Current State Assessment
• Gap Analysis
• Identify BPR Opportunities
• Assess Process Of Automation
Focus Phase
• Robotics and Cognitive
• Define Future State
• Create Implementation Plan
• Consider long term and short
term future states
Validate and Build
Phase
• Measure effects of BPR
against desired future state
• Implement automated
solutions
Accelerated BPR via
process Robotics
Solutions are considered in
further details for rapidly
automating backlog-prone
process
2. At Deloitte
 As the executive director, would initiate a project
team with the responsibility of analyzing and
implementing the changes required in an
organization

 Get an overview of the culture, especially the

thinking aspect and the consequent behaviors in the
organization as this would be the canvas to work on
and the determines the success of BPR
At Deloitte

 Work at all three levels i.e.

 individual,
 team
 and the organization to facilitate change and innovations
(modernizations)

 Focus the change management on staff, management and

anyone affected by BPR with new roles, new ways of doing
things etc.
At Deloitte

 Motivatethe middle management to ensure readiness for change and,

enable and empower the behaviors to move forward with the changes

 Manage change cohesively and proactively integrating the transition

of people, processes and technology from the current state to a
continually unfolding future state

 Through the systems view, work flexibly throughout the hierarchy at

Deloitte to deliver sustainable transformation
 Design and Design and
Develop the
build a build a
Business
prototype of prototype of
Vision and
the new the new
Business
processes and processes and
Objective
Pilot Run. Pilot Run.

1) Understand
and
Measure Robotics and
the existing Cognitive
processes Solutions
2) Identify the Implementati
Processes on
to be
redesigned
3. BPR and Change is a simultaneous
process
 Usually, BPR is treated as a development project of any
organization. The project team is to do the analysis and
implement the changes required in an organization. However,
if management thinking and behaviour remains alike, the
result is only a re-arrangement of the soul and pure work

 BPR is a tool for significant change in organizational

performance. Adjusting the thinking which has led to the
present scenario is a greater priority
BPR and Change is a simultaneous process

 The opportunity exploited by BPR has been created by the

way we currently think about and run our organizations. It
is thinking that informs culture - the way people behave -
and success or failure with BPR has already been shown to
be dependent on organizational culture

 Modern organizational change is largely motivated by

exterior innovations (technological change) or internal
moves (BPR)
BPR and Change is a simultaneous process

 Regardless of innovative process improvement ideas, brilliantly

engineered software, detailed project plans and deep executive
sponsorship, Business Process Reengineering (BPR) and IT
modernization initiatives often fail to deliver the intended
transformational results

 An X Factor is a variable in a given situation that could have the most

significant impact on the outcome. Change management at the
individual, team and organization level is the X Factor in the success
(or failure) in BPR and IT modernization initiatives
CASE STUDY 3
Cultural Issues in Merger And Acquisition
Case Study in Brief

 The case study explains how important the culture is to an organization

 It states the importance of culture in the success of business level decisions like Mergers
& Acquisitions

 It highlights, how such an important aspect is many times undermined by the organization
which results in the failure of the business units as objectives are not achieved

 The case study also highlights a very important aspect, i.e. how to use the culture of the
organization as a strength to introduce and foster change for the benefit of the
organization and what specific steps need to be taken to do the same
Highlights of the Case Study

 The decision to go forward for a Merger or an Acquisition or not can not be based upon
the compatibility of culture as it is a softer aspect. Companies focus more on the
financial aspect. But culture is an aspect that can aid or restrict the goal achievement for
the integrated organization and hence should be focused upon with due diligence.

 Identifying the cultural aspects and differences are different for a person because he or
she has the culture imbibed in himself and hence the cultural factors are very given for
him of his own culture. So, it is important that a third party point of view is considered
so that it is easier to identify the cultural differences and thereupon dealt with.
QUESTION 1:SUCCESSFUL IMPLEMENTATION OF CULTURE

For a manager to successfully implement culture in an organization, he should focus on the following

 Devise Integration Plan involving executives from both organizations to ensure engagement from
both sides

 Clear vision about organizational objectives, goals etc.

 Ensure that the culture is aligned with the objectives and goals of the organization.

 Devise steps to make the cultures of both organizations compatible by understanding cultural
differences

 Proper established communications systems in the organization for effective decision making
 Employee involvement to build trust in decision making

 Make attractive employer-branding including employee career opportunities, rewards and

identity to facilitate retention

 Promote assumptions, processes, and structures that support a more effective decision-making
style, which is an integral part of culture

 Put experienced change agents at critical junctures of business to facilitate teamwork for the new
(merged) entity

 Culture must be the focus in integration, else it might undermine value-creation. Culture is
powerful, implicit and resilient, and rigorously linked to behaviors that affect business processes

 HR restructuring in case of downsizing, severance package, redeployment.

 Define the Changes in Terms of Human Behavior - The speed of an integration is determined by
how you manage the human elements of the change. Remember to define the changes in terms of
what people need to be doing differently. What we are doing? Why are we doing it, and what are
the consequences if we don’t succeed?

 Generate Sponsorship – Sponsorship is the single most important factor in ensuring a fast and
successful implementation. Every Sponsor, from senior management down to the line managers,
must express, model and reinforce their commitment to the change. You will not get a cultural
change with minor changes in Sponsor behavior!

 Manage Resistance: Resistance is inevitable even when people see the Merger as positive.
Resistance is a function of disruption and M&A can be very disruptive. Make sure you have a
plan on how to manage it including responding quickly to concerns, rumors and questions.
 Tighten Up Communications: Every communication sent must include a feedback loop. This
way, when a communication goes out, feedback will come back in. Use a variety of
communication channels, with an emphasis on the face-to-face.

 Manage Reinforcements: The only way to implement actual culture change is to integrate the
behavioral elements of the new culture into the daily business activities, and then, by
dramatically changing the reinforcements—that is, the positive and negative consequences
that managers apply on a daily basis with their direct reports.
 CONCLUSION

 Successful integration requires much more than the integration of policies, systems, and
structures. Mergers and Acquisitions must be managed on both the technical and human sides,
with necessary governance, with rigor and discipline. A solid strategy for integration that
includes specific plans for building Sponsorship, Reinforcement, Cultural Fit and
Communication is crucial. Remember, HOW you integrate teaches both organizations powerful
lessons that remain long after the deal is signed
QUESTION 2: CULTURE AND RESISTANCE TO CHANGE

 Organizational culture is its shared norms, values (building blocks of the organization) and
beliefs

 It is also common perception held by the organization’s members; a system of shared meaning
with characteristics such as team orientation, attention to detail, stability etc.

 Culture provides a sense of identity, chance to belong to something bigger than oneself and its
members the certainty and consistency they desire. Any attempt at change within the organization
may be seen as a threat to the culture and the employee’s identity

 Culture can both help and hinder the change process, be both a blessing and a curse

 Organizational culture defines boundaries between organizations, sense of identity to the

members, serves as a control mechanism for fitting employees in the organization
 Change should be tied to the organizational values; specifically, how this change will make the
values the organization holds deeper and stronger

 Organizational change is the elimination of status quo (movement from one state of affairs to
another) affecting individuals and groups

 So, the change agent needs to use organizational culture to her advantage

 By linking the change to strengthened values, members are more likely to accept the change.
Change should also be linked to the positive future of the organization

 Those members who are deeply committed to the culture of the organization are also deeply
committed to the organization itself. By emphasizing the growth and sustainability of the
organization, employees’ normative commitment is strengthened
 Organizational Change is complex and failure can occur at many levels. Lack of communication
and the mismanagement of employee trust or by trying to undertake too much change at once

 Most change efforts are unsuccessful because of resistance, either active or passive, of those
within the organization

 People resist change because they feel they have no stake in the change process, do not want to
take on the increased work, are concerned about their lack of needed skills to thrive in the
organization after the change, or are worried they might lose their jobs

 These employees work against change to ensure they keep their power

 Change creates uncertainty whereas people organize their lives in such a way so as to maximize
their day-to-day consistency
 EXAMPLE : How aetNa (US healthcare company) overcame resistance
to change through culture
 In the early 2000s Aetna was struggling mightily on all fronts. While on the surface revenues
remained strong, its rapport with customers and physicians was rapidly eroding, and its reputation was
being bludgeoned by lawsuits and a national backlash against health maintenance organizations and
managed care (which Aetna had championed). To boot, the company was losing roughly $1 million a
day, thanks to cumbersome processes and enormous overhead, as well as unwise acquisitions.

 Many of the problems Aetna faced were attributed to its culture—especially its reverence for the
company’s 150-year history. Once openly known among workers as “Mother Aetna,” the culture
encouraged employees to be steadfast to the point that they’d become risk-averse, tolerant of
mediocrity, and suspicious of outsiders. The prevailing executive mind-set was “We take care of our
people for life, as long as they show up every day and don’t cause trouble.” Employees were naturally
wary of any potential threat to that bargain. When Aetna merged with U.S. Healthcare, a lower-cost
health care provider, in 1996, a major culture clash ensued. But instead of adapting to U.S.
Healthcare’s more-aggressive ways, the conservative Aetna culture only became more intransigent.
Aetna’s leaders could make little headway against it, and one CEO was forced out after failing to
change it.
 What Aetna’s management didn’t recognize was that you can’t trade your company’s culture in as
if it were a used car. For all its benefits and blemishes, it’s a legacy that remains uniquely yours.
Unfortunately, it can feel like a milestone when a company is trying to push through a significant
change—a merger, for instance, or a turnaround. Cultural inclinations are well entrenched, for
good or bad. But it’s possible to draw on the positive aspects of culture, turning them to your
advantage, and offset some of the negative aspects as you go. This approach makes change far
easier to implement.

 In late 2000, John W. Rowe, MD, became Aetna’s fourth CEO in five years. Employees
skeptically prepared for yet another exhausting effort to transform the company into an efficient
growth engine. This time, however, they were in for a surprise. Rowe didn’t walk in with a new
strategy and try to force a cultural shift to achieve it. Instead, right from the start, he, along with
Ron Williams (who joined Aetna in 2001 and became its president in 2002), took time to visit the
troops, understand their perspective, and involve them in the planning. With other members of
the senior team, they sought out employees at all levels—those who were well connected,
sensitive to the company culture, and widely respected—to get their input on the strategy as well
as their views on both the design and execution of intended process changes
 These conversations helped Rowe and his team identify Aetna’s biggest problem: A strategy that
focused narrowly on managing medical expenses to reduce the cost of claims while alienating the
patients and physicians that were key to Aetna’s long-term success. At the same time, they
surfaced Aetna’s significant cultural strengths: a deep-seated concern about patients, providers,
and employers; underlying pride in the history and purpose of the company; widespread respect
for peers; and a large group of dedicated professionals.

 These insights led Rowe to rethink his approach to the company’s turnaround. He declared that
instead of just cutting costs, the organization would pursue a strategy he called “the New Aetna.”
It would build a winning position in health insurance and a strong brand by attracting and serving
both patients and health care providers well. That was an appealing proposition but would require
significant restructuring; no one’s job was guaranteed. In other words, it was the kind of change
that Mother Aetna traditionally resisted with every passive-aggressive move she could muster.
 But this time, without ever describing their efforts as “cultural change,” top management began
with a few interventions. These interventions led to small but significant behavioral changes that,
in turn, revitalized Aetna’s culture while preserving and championing its strengths. For instance,
the New Aetna was specifically designed to reinforce employees’ commitment to customers—
reflected in the firm’s history of responding quickly to natural disasters. Rowe also made a point
of reinforcing a longtime strength that had eroded—employees’ pride in the company. When, in
an off-the-cuff response to a question at a town hall meeting, he highlighted pride as a reason
employees should get behind change, he received a spontaneous standing ovation.

 So while the plan for change challenged long-held assumptions (among other things, it would
require the elimination of 5,000 jobs, with more cuts likely to come), it was embraced by
employees. They had been heard and appreciated, and they came to accept the New Aetna.
 QUESTION 3: DISCUSSION ON THE CASE STUDY
WHAT IS CULTURE

 Culture consists of the long-standing, largely implicit shared values, beliefs, and assumptions that
influence behavior, attitudes, and meaning in a company (or society). This definition has several
important implications:

 Culture is implicit. People who share in a culture find their culture challenging to recognize. The
most insightful cultural observers often are outsiders, because cultural givens are not implicit to
them.

 Culture influences how people behave and how people understand their own actions. As a result,
culturally influenced beliefs and actions feel right to people, even while their implicit
underpinnings make it difficult for those people to understand why they act the way they do or
why other ways of acting might also be appropriate.
 Culture is resilient. Its elements are long-standing, not a matter of fads. The resilience of
culture is supported by culture being implicit. It is difficult for people to recognize their
own culture and how it exerts an influence on them. The staying power of culture is that it
feels right to people; new cultural values that are imposed on people seldom replace their
underlying values and beliefs in the long run
 Affects of Culture in M&A

 Cultural affects decision making style resulting in Effective integration requires rapid decision-
making. Different decision-making styles can lead to slow decision-making, failure to make
decisions, or failure to implement decisions.

 Culture affects leadership style resulting in a shift in leadership style can generate turnover
among employees who object to the change. This is especially true for top talent, who are usually
the most mobile employees. Loss of top talent can quickly undermine value in an integration by
draining intellectual capital and market contacts.
 Culture affects how people work together resulting in interfaces between functions that come
from each legacy company, or new functions that integrate people from both legacy
companies. If the cultural assumptions of the legacy companies are inconsistent, then
processes and handoffs may break down with each company's employees becoming frustrated
by their colleagues' failure to understand or even recognize how work should be done.

 Culture affects personal success resulting in getting work done. If people who believe they
have to achieve goals as a team integrate with people whose notion of "success" emphasizes
individual performance, the resulting situation is often characterized by personal dislike and
lack of support for getting the job done.
Cultural Integration

 Make culture a major component of the change management work stream. Often the main
change management task during integration is providing "communications." This focus may
minimize the importance of change management

 Identify who "owns" corporate culture and have them report to senior management. Choose
owners from both companies to the integration to allow for representation of all views, even in a
takeover

 Insist that the cultural work focuses on the tangible and the measurable. The Steering
Committee should reject soft, vague, and poorly defined presentations of culture. Instead,
culture owners should be required to discuss issues that are specific, well defined, and supported
by specific examples
 Consider the strengths of both existing cultures, not just the weaknesses. When two companies merge, the
assumption is often made that they should take the "best" of each company’s culture and integrate them

 Consider the strengths of both existing cultures, not just the weaknesses. When two companies merge, the
assumption is often made that they should take the "best" of each company’s culture and integrate them

 Consider the strengths of both existing cultures, not just the weaknesses. When two companies merge, the
assumption is often made that they should take the "best" of each company’s culture and integrate them.

 Consider the strengths of both existing cultures, not just the weaknesses. When two companies merge, the
assumption is often made that they should take the "best" of each company’s culture and integrate them
 FACTS UNDERSTOOD FROM CASE STUDY

 Culture must be a focus in efforts to integrate companies, because when left to itself culture will
often undermine value-creation.

 Efforts to address culture should be based on the recognition that culture is both powerful and
implicit, that employees are unlikely to change their cultural beliefs in response to exhortations to
adopt new cultural values.

 Culture can be rigorously linked to behaviors that affect business value.

 The focus on business value, rather than on "soft stuff" is essential to positioning culture in a way
that business leaders will agree to support it.

 By tying culture to value-creation and to identifying and changing specific behaviors when
necessary, culture can become an effective tool for achieving post merger integration objectives
THANK YOU