Case Study on Merger of Two Hospitals

Introduction

Following the merger of the two hospitals, hospital A and hospital B in the case provided, there are a lot of changes that are to be expected. In this case, there are a lot of differences like operations of the two hospitals, which have to be merged and a common culture and structure which balance and are expected by the stakeholders of both hospitals be formed in the long run. There will result in a hospital outfit which has all its components suiting all its operations as well as the workability and interoperability of the involved stakeholders (Sarala, Junni, Cooper, & Tarba, 2016). As a newly appointed HR in the management of the new hospital outfit, there are some stakeholders who will, in the end, affect or be affected by the merger of the two hospitals. They will then have to adapt to the organizational culture and structure (Nahavandi, & Malekzadeh, 2013). There shall then be a harmonious working relationship of the stakeholders from both hospitals following their merger and adoption of similar structural and cultural orientations of the newly formed hospital outfit. The stakeholders to affect and be affected by the newly formed hospital merger are as brought out in the subsequent paragraphs.

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The staff; there is the staff from both hospitals. In this case, they have been observed to have been working in different organizations, notably hospital A and hospital B. Since they are now going to work in one organization with entirely new organizational structure, they have to adjust to such environments (Fubini, Price, Zollo, & Palgrave Connect (Online service). 2017). From the case study provided, the staff in the two original hospitals were well adapted to their respective organizational structures and cultures. They will be affected in such a way that their working patterns in the new hospital will be different from the original one (Mirvis, & Marks, 2012). It can be noted that the HR department of the new hospital will have to be trimmed to make the savings of $ 240,000.

The managers: there have been the managers of both the hospital A and hospital B. , In this case, they had adapted to the nature of the hospitals that they were working for. They had well adapted to their organizational structures and cultures. They had also significantly devised applicable ways of managing their organizations (Buono, & Bowditch, 2013). They influence the operations and workings of the new hospital merger since they give suggestions to the HR department on the way the new hospital should be run (Brito & Catalao-Lopes, 2016). Also, they are affected by the organizational structure and culture of the new organization in the management; it is defined by the new management.

HR departments: there have been the HR departments of the two hospitals. In this case, they have been having different ways of dealing with the issues of their respective employees operating in the hospitals (Pasmore, Shani, & Woodman, 2010). They will affect the running of the hospital resulting from the merger because they will be giving their views on how the employees and other stakeholders in the new hospital should be handled (Howson, 2017). They will thus have the opportunity to present their views will can then be considered by the new HR department of the merger. Also, they will be affected by the outcomes of the new HR. In this case, the new HR will have to adapt to the news and accepted ways of dealing with the issues of the hospital merger.

References

Brito, D., & Catalao-Lopes, M. (2016). Mergers and acquisitions: The industrial organization perspective. Place of publication unknown: Kluwer Law International.

Buono, A. F., & Bowditch, J. L. (2013). The human side of mergers and acquisitions: Managing collisions between people, cultures, and organizations. Washington, DC: Beard Books.

Fubini, D., Price, C., Zollo, M., & Palgrave Connect (Online service). (2017). Mergers: Leadership, performance and corporate health. Houndmills, Basingstoke, Hampshire: Palgrave Macmillan.

Howson, P. (2017). Due diligence: The critical stage in mergers and acquisitions. Routledge.

Mirvis, P. H., & Marks, M. L. (2012). Managing the merger: Making it work. Frederick: Beard Books.

Nahavandi, A., & Malekzadeh, A. R. (2013). Organizational culture in the management of mergers. Westport, Conn: Quorum Books.

Pasmore, W. A., Shani, A. B., & Woodman, R. W. (2010). Research in organizational change and development: Volume 18. Bingley: Emerald.

Sarala, R. M., Junni, P., Cooper, C. L., & Tarba, S. Y. (2016). A sociocultural perspective on knowledge transfer in mergers and acquisitions. Journal of Management, 42(5), 1230-1249.