Corporate Culture: Problems and Limitations of Change after a Takeover

Seminar paper from the year 2013 in the subject Business economics - Business Management, Corporate Governance, grade: 1,0, University of applied sciences, Nürnberg (IOM), course: HR Management, language: English, abstract: Corporate culture is an important phenomenon of organizations. Values, visions, norms, language, beliefs and habits of the organization are fixed in the cultures contents. A good working culture is important for the companys success and profit situation. The globalization leads to a dramatic process in the economic markets. Takeovers, cooperation and mergers are typical consequences of the new economic era. This market process is also responsible for the collision of corporate cultures. Different needs justify that willful intervention in the culture system after a takeover. Dissatisfaction, isolation and inefficiency are only a few reasons why a cultural change is recommendable. For a successful change it is decisive to know everything about the old culture and to know what to do for changing it. Several theoretical models and strategies have been developed for this issue. The most reason why a change fails is that problems and limitations have not been taken into consideration or have not been handled the right way. Culture guides should lead the employees thru the changing process and should help orientating. The change of a culture is a long way and many do are not patient enough to wait. The success of a change is based on many task but the important task is to recognize that problems occurring during the changing process are usual and the solving of these problems lead to the new culture. Problems are indicators for mistakes or wrong planning which have to be solved. Changing operators have to recognize problems as chance for succeeding.