Merger Considerations for Core HR Functions

The staffing requirements that result from mergers typically involve multiple organizational changes that present a number of challenges which are fundamentally different from standard staffing decisions (Scott, 2012). Although these challenges apply to virtually all types of organizations, they are especially daunting in health care organizations that are characterized by a multidisciplinary group of employees with different priorities for the post-merger organization. The purpose of this presentation is to provide a review of the relevant literature to identify areas of critical important for collaboration between the human resources (HR) service and departmental managers when making staffing decisions for a post-merger outcome. In addition, the presentation also recommends a process and elements for creating effective job descriptions and an explanation concerning two prominent considerations for developing fair and competitive compensation and benefit plans. Finally, the rationale in support of a recommendation for an appropriate employee performance appraisal methodology is followed by a summary of the research and important finding concerning the foregoing issues in the conclusion.

Analysis of two areas of critical importance for collaboration between HR and managers when making staffing decisions

Establish the set of guiding principles for the staffing process

It is absolutely essential to establish the appropriate guiding principles that will be used when making staffing decisions for the post-merger organization to provide transparency in the process in order to avoid even the appearance of favoritism or, conversely, covert revenge that is targeted at employees by some managers. In other words, these principles will serve as a roadmap that can be used to guide the post-merger staffing process. This initial set of guiding principles should also include the identity of the principals that are tasked with making the staffing decisions for the post-merger organization to reinforce the transparency of the process. For example, according to Scott (2012), The staffing process should be made fully transparent. Employees need to know how they are being evaluated and by whom (p. 3). To facilitate the development and application of appropriate guiding...

Because of the diversity of the occupations in a post-merger health care organization, a 360-degree performance appraisal methodology that uses reviews by managers, peers, and direct reports of employees represents the optimal approach, especially since many of the employees involved are not in management positions (McClellan, Bateman & Bailey, 2009). The 360-degree methodology has the added benefit of promoting professional development of reviewed employees regardless of their specific discipline (McClellan et al., 2009).

Conclusion

Health care organizations share many of the same considerations as all other enterprises for mergers, but they tend to differ with respect to the greater diversity of the occupations that comprise their workforce as well as the multidisciplinary nature of their work. Developing effective staffing decision and accurate job descriptions represents some of the more important factors, but the research was consistent in emphasizing the need for transparency in the process as well as the importance of fair and competitive compensation and benefit plans. Although mergers are challenging for these and other reasons, they also represent an opportunity to…