Swiss: 30 Years of Growth & Expansion Through Acquisitions - Essay Sample

Introduction

Swiss is a company that is operating with key chemical as its basic product. The company has been working over a long period through the acquisition of businesses that have led to its success. The company shifted to the food based industry and started supplying chemicals all over the world. This was done after the thirty years of its steady growth. There was a need for the older strategy of acquiring the existing businesses to be implemented again. As a result, the CEO of the company tried to persuade the board of directors of the company because he had a feeling that the business needs to start another second stage of its growth. By embarking on the new phase of the business growth, the role of the board of directors was to start again the older strategy of acquiring businesses which were existing to the company for its success (Bailey et al. 2018).

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Before the acquisition process took place, the board of directors did more research on the market analysis so that a proper decision can be made on which business to acquire. Not all businesses can lead to a company's growth and success (Ten Have et al. 2015). Thus a proper selection should be made based on the strength of the business in the market. The board of directors then made a research on the acquisition process to identify the business that will bring change by helping in the faster penetration of the market. This was done after examining the company's weaknesses, strengths and the ability to come up with the new values of shareholders.

The acquisition took place in Denmark with different factors in place. The key chemical could only achieve its strategic goals if it acquires the Eco-Pure company which the analysis indicated that dominated the market of water treatment chemical in Denmark. The eco-pure company also stated the measures which were cost-effective to the key chemical company to become a new competitor to penetrate the market.

The acquisition strategy which was implemented by the key chemical company affected different stakeholders of the company positively and negatively. The key stakeholders included the marketing directors, the board of directors and the finance directors. They were subjected to extensive research so that they can come up with the best acquisition targets for the company that helps in achieving the long term strategic goals (Sarala et al. 2016). Therefore the effect on them was to find for the best solutions of adapting to the immediate changes that the organization was making (Carnall 2018).

The company thought of embarking on the acquisition strategy because of the need to acquire a new market and also to maintain the steady growth of the business (Brewster 2017). The acquisition was the only best strategy that the key-chemical company could employ to manage its continued success. There was also a need to exploit new opportunities that were coming up in the field of chemicals. Thus the Eco-Pure family-owned company was acquired to help in attaining all the issues he Key-chemical Company had at hand.

As a manager, there are different strategies I could employ to ensure the effective change operation or implementation. The main stakeholders should be well informed about the change that needs to be implemented, and they should know how the environmental factors will be managed in the situation (Heckmann, Steger & Dowling 2016). It is because in most cases, the stakeholder's interests are always threatened by the change and as a result, they can decide to resist change.

Another strategy I could employ is effective communication which will help in reducing the ambiguity (Lewis 2019). Communication is an essential aspect when implementing a change because it enhances shared direction and bounds people to work jointly so that the new goal can be achieved (Hayes 2018).

References

Bailey, C., Mankin, D., Kelliher, C., & Garavan, T. (2018). Strategic human resource management. Oxford University Press.Brewster, C. (2017). The integration of human resource management and corporate strategy. Policy and practice in European human resource management (pp. 22-35). Routledge.Carnall, C. (2018). Managing change. Routledge.

Hayes, J. (2018). The theory and practice of change management. Palgrave.

Heckmann, N., Steger, T., & Dowling, M. (2016). Organizational capacity for change, change experience and change project performance. Journal of Business Research, 69(2), 777-784.

Lewis, L. (2019). Organizational change: Creating change through strategic communication. Wiley-Blackwell.

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.

Ten Have, S., ten Have, W., Huijsmans, A. B., & Van der Eng, N. (2015). Change competence: Implementing effective change. Routledge.