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Deloitte & Touche

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Deloitte & Touche
Definition of Problem: The problem faced by Deloitte & Touche is how to best manage the merger with Andersen in order to move beyond being two merged organizations into a unified, market-leading organization. Deloitte must minimize the negative effects the change will have on the productivity of the organization and they must have a focus on minimizing the effects on current clients. It is important for Deloitte to create one corporate culture and focus on creating a cohesive team out of a currently divided workforce if they want the new company to be successful. Deloitte must make the Andersen employees feel welcomed and valued by the company while ensuring that their current employees don 't feel swept aside.

Causes:

Some causes of Deloitte 's problems include:

• Employee fear of change – People naturally have a fear of change. Deloitte 's people will naturally feel threatened by the influx of new, unfamiliar people to the organization, particularly as they are coming from an organization that was heralded as being the best in the industry. It is important for Deloitte to properly manage these fears.

• Difficulty of maintaining corporate culture – Any company that increases their workforce through a merger with a rival firm feels a threat to their corporate culture. It is important for firms to determine before a merger whether the corporate cultures fit together. Two firms cannot merge and adopt one culture, the resulting culture must be a blend of the two cultures.

• Inadequacies in communication – The merger was completed very quickly (in less than 2 months) and as a result the merger was communicated very quickly to employees. HR is responsible for communicating current policies to new and old employees. There has been very little upward communication until the Pulse Surveys and Deloitte employees are feeling like they are being lost in the shuffle.

• Lack of team building – The four phases of team building are

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