OIL AND WASSER ASSIGNMENT
Oil and Wasser Merger
Case Study Assignment
The story began from two enterprises. The company Royal –biscuit, would like to merge Edeling, a company from Germany. Brighton, CEO of Royal-biscuit, had coordinated with Wallach for many times. When they decide to merge together, they should have known that both of their cultures are quite incompatible which might result in severe conflict.
In this case, we can see that most of the difficulties are about cross-culture difference. The culture of Royal-Biscuit emphasizes “Active”, “Ambitious”, and “Fast-training”, and that’s the reason why it changed food industry in UK within 10 years. However, Edeling is a family owned business with 120-year history, and quite popular in Germany. Employee in Royal-Biscuit were afraid that they might make things slowly down if everything are well-prepared and step by step, while employee in Edeling were afraid that they didn’t respect their history at all, just eager to succeed in short term.
Such situation not only happened in internal management, but also happened in human resource, like recruitment for talented. Brighton wanted to integrate two companies ASAP, so that they train they staff to own leadership by “Learning and doing”. They put them in the managerial position directly. On the other hand, Edeling has a successful business model due to their system and operation. They cultivate their leader by sending them to college of commerce and doing work from basic level.
Not only culture difference in both company, but also about “Nation difference”.
COMMENT:
The biggest barrier after merging is that:
1. Not knowing business culture difference
2. Lack of communication (Both of them have strong culture, it’s hard for them to merge)
If they don’t have good coordination and work together within such short term (ex:3 months ), the merger will fail.
Three Key factors for Merger:
1. Well supported by organization.
2. Clear constructive integration (Ex: Financial,
Case Study Assignment
The story began from two enterprises. The company Royal –biscuit, would like to merge Edeling, a company from Germany. Brighton, CEO of Royal-biscuit, had coordinated with Wallach for many times. When they decide to merge together, they should have known that both of their cultures are quite incompatible which might result in severe conflict.
In this case, we can see that most of the difficulties are about cross-culture difference. The culture of Royal-Biscuit emphasizes “Active”, “Ambitious”, and “Fast-training”, and that’s the reason why it changed food industry in UK within 10 years. However, Edeling is a family owned business with 120-year history, and quite popular in Germany. Employee in Royal-Biscuit were afraid that they might make things slowly down if everything are well-prepared and step by step, while employee in Edeling were afraid that they didn’t respect their history at all, just eager to succeed in short term.
Such situation not only happened in internal management, but also happened in human resource, like recruitment for talented. Brighton wanted to integrate two companies ASAP, so that they train they staff to own leadership by “Learning and doing”. They put them in the managerial position directly. On the other hand, Edeling has a successful business model due to their system and operation. They cultivate their leader by sending them to college of commerce and doing work from basic level.
Not only culture difference in both company, but also about “Nation difference”.
COMMENT:
The biggest barrier after merging is that:
1. Not knowing business culture difference
2. Lack of communication (Both of them have strong culture, it’s hard for them to merge)
If they don’t have good coordination and work together within such short term (ex:3 months ), the merger will fail.
Three Key factors for Merger:
1. Well supported by organization.
2. Clear constructive integration (Ex: Financial,