Company Analysis: The Regency Grand Hotel - Essay Example

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Company Analysis: The Regency Grand Hotel

The new American hotel chain did not conduct extensive industry audits and study of the corporate culture of the acquired firm, probably due to lack of experience. Evidently, it failed to identify and tackle the key areas that are necessary for a transition. In fact, in such mergers, there are a large number of issues involved. The first issues is that as Malekzadeh and Nahavandi identified, when there is a merger or acquisition, the acquirer is more likely to believe itself to be more knowledgeable about the industry and the products. Similarly, Stanwick points out that for the acquired, there is total uncertainty as they find it a chaotic situation where it is uncertain as to whether the acquirer will support their long cherished values and beliefs. Admittedly, the previous manager of Regency grand hotel was a Thai national who exhibited a bureaucratic management style where employees were totally reliant on the management for decisions. However, the new manager John Becker wanted to introduce an American management style which promotes employee empowerment. ...
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This work looks into the management style of the new manager John Becker and the issues that arose as a result of the transition and the new management style. Soon after the introduction of the new employee empowerment strategy, Becker found that there was a rise in stress levels, employee absenteeism, and employee turnover.
Author : holliebernier

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