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A case study on Organizational Change
Facts of the case
A materials handling equipment manufacturing company has purchased a small electronic company. The electronic company designs both the software and hardware of computer system for running materials- handling vehicles. The cultures though being complimentary were found to be very different.
The parent company was a old traditional, third generation, family managed and single technology organization situated in a small town where as the subsidiary company was modern electronics company situated in California.
The employees of the parent company were conservatives; old friends and second generation peoples whereas those of new company were technical people, entrepreneurs and modern
Some Economic Conditions demanded the need for integration of the two organizations.
The executive management was having following choices:
1. Bring the new enterprise into the old physical setting
2. Operate them as two separate enterprise with a liaison group
3. Work in a project organization
4. Make the acquired organization an arm of the technical function of the company
Problem:
? To choose one of the above choices
? To give managerial strategies for organizational change
Analysis:
? As the parent company is stable and mechanistic it is not ...