The Effect of Acquisition in Reference to Rewards and Recognition for Acquired Company Employees

Abstract

Mergers, acquisition, amalgamation, joint venture are some of the modes newlinefeasible for external growth of companies, but generally an acquisition mode is more newlineprominent among the companies. Due to the competitive environment in economy, newlinecompanies embrace acquisition strategy for growth. The general purpose of this study newlineis to understand the effect of acquisition on acquired company employees. Especially newlinethe concept of Reward and Recognition was analyzed with nine acquisition deals of newlinedifferent sectors. In this study three sectors of economy has been included i.e. Banking newlinesector, Information Technology sector and Pharmaceutical sector. newlineCultural difficulty, communication, position of employee after acquisition, newlinesalary etc are some of the factors which were analyzed to know the effect of newlineacquisition on acquired company employee. Human resource management newlineinvolvement in acquisition process was also analyzed. newlineThis study is descriptive in nature .Both Primary and secondary data has newlinebeen used by researcher. Primary data was collected through websites of companies newlineand literature reviews of previous researchers and for secondary data the researcher newlinehas used a combination of quantitative and qualitative method of collecting data. newlineThrough questionnaires, interview and observation, a triangulation methods in order newlineto get better understanding of the results. newlineTo collect quantitative data researcher has used ANOVA statistical tool to newlinecompare the results of different sectors. This tool has been used for better newlineunderstanding or to ensure the trustworthiness of the study. The data was analyzed newlinewith the help of set hypothesis of the study. This study concluded that after newlineacquisition the rewards of acquired company employees was not so much affected newlinebut recognition of acquired company employees was little much affected. newlineIt was concluded that management should not only focus on bottom line, but newlinealso pay attention to human factor that can lead to failure and success of the newlineacquisition. Management should set rewards and recognition progr