Turner & Townsend is a global program management and construction consultancy. Turner & Townsend has acquired Thinc, Australia to form specialist project management division Turner & Townsend Thinc within Australian operation. Turner & Townsend vision to excel has seen an increase in staff strength from 2,500 to 4,100 which happened because of a clear vision of what to achieve. Approximately 1 year after the announcement the operations of the two firms was considered to be fully integrated. The head office of Turner & Townsend became the new office for Thinc which resulted in the closure of six offices within Australia.
At a macro level as a result of the acquisition the combined size of Turner & Townsend Thinc was considered to be of strategic benefit to both firms. While there have been no official mass redundancies, role duplication has resulted in early retirement and resignations. However, the common problem faced after the acquisition is power struggles, excessive overhead, bureaucracy, uncontrolled layering, and decision strangulation.
The study highlights Turner & Townsend Thinc needs to follow proactive and integrated strategy. The study also recommends Turner & Townsend Thinc needs rules, roles, policies, formal practices, procedures, coordinating
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Before the merger, the existing culture of Turner & Townsend and Thinc were somewhat similar. Both were predominantly role cultures, formalized rules and regulation and a hierarchical power structure. The only perceptible difference between the two firms was that of reputation. Turner & Townsend had a reputation of cost management service provider and more aggressive within the marketplace while Thinc was more considered to be project management service provider. 80% of senior managers of Turner & Townsend have been promoted within the business who are having cost management
In the year of 2005, the companies eventually found a way to make it easier for the companies to combine without having any major issues or problems. Unfortunately, around the year of 20010 the merging com...
Cost cutting, discontinuation of product or services ,technological changes, and consolidation due to mergers and acquisitions are commonly legal ac...
...he operating margin, cash on hand, and days in accounts receivable as these have been major factors. The new system being put in place for the materials management system should be closely monitored, as it will determine the adaptability of the department. The reformation of the Governing Board can be justified through the successes or failures it creates while going through the restructuring process. It will be important to get feedback from employees and the CEO to see if conflicts arise. The new physical therapy center will continue to be monitored to see if revenues are as high as thought with the expansion of this facility. Overall, it will continue to be a process of monitoring, reevaluating, and gathering appropriate data to determine if the strategic plan being implemented is continuously seeking the values, mission, and vision of the Coastal Medical Center.
Gaughan, P. A., 2002. Mergers, Acquisitions, and Corporate restructuring. 3rd ed.New York: John Wiley & Sons, Inc.
Task 2B This diagram shows the vertical integration that Thomson used to expand as an organisation. Sector 2004 (Year) 2005 (Year) Airline Britannia Airways Thomson Fly Tour Operator Thomson Thomson Travel Agent Lunn Poly Thomson An example of Horizontal & Vertical Integration “The Big 4” World Of TUI Thomas Cook My Travel Group First Choice Airline Thomson Fly Thomas Cook Airways My Travel Lite First Choice Airways Tour Operator Thomson Thomas Cook Holidays Airtours First Choice Travel Agent Thomson Travel Thomas Cook Travel Going Places First Choice Travel Shops [IMAGE] Airline [IMAGE]
The type of merger between Electronic Data System (EDS) and AT Kearney is called Forward vertical merger. Forward vertical merger is when two or more companies combines together in the same industry but different field or when two companies producing goods and services for a product. Electronic data system, the US information technology group, brought AT Kearney, the global strategy consultancy firm in a deal worth $96m. Electronic data system was firm involving producing information technology equipment’s bought AT Kearney an IT consultancy firm.
Fast Company,(139), 69-70,73,16. Retrieved from Research Library. Document ID: 1870795761. Wheelen, Thomas L. & Hunger, J. David, (2010). Strategic management and business policy.
A strategic analysis provides an examination of both the internal and external factors impacting on the organisation (Papulova & Gazova, 2016). City
The soft factors can make or break a successful change process, since new structures and strategies are difficult to build upon inappropriate cultures and values. These problems often come up in the dissatisfying results of spectacular mega-mergers. The lack of success and synergies in such mergers is often based in a clash of completely different cultures, values, and styles, which make it difficult to establish effective common systems and structuresBased on the case study, extensive research and annual reports of AT&T the writer has mapped AT&T in the different domains. AT&T should strive to attain a perfect circle as close to the centre as possible, which indicates total synergy, order and equilibrium. Where the circle is skewed drastic change is needed as it moves closer to the outer ring of chaos:
In speaking with her staff, Anne needs to set very clear and obtainable goals to help motivate her employees. Kreitner and Kinicki (2010, p. 228), in speaking about how goals regulate effort, state that “Not only do goals make us selectively perceptive, they also motivate us to act…Generally, the level of effort expended is proportionate to the difficulty of the goal”. With this in mind, she should set challenging goals, and lead her organization to accept the merger with motivation.
The strategic recommendations provided will improve and enable the business to cope with the competitors, while the implementation of the strategy section will outline the way to go about achieving these alternatives in the business setting. Lastly, we put up a discussion on the evaluation procedures and necessary controls for the business. In the case study, it was discovered that there were sources of opportunities in which the company would invest.
The team needs to establish a policy and procedure which would be a step toward an organizational structure. This process will be a framework that defines formal reporting relationships between the different levels of management. For example, the guidelines can be used as a protocol of the process managers needs to follow to assist their employees through the change process. The team also needs to provide in house trainings for all departments so employees can be aware and implement the new changes. The training will increase skill level and improve staff productivity.
Mergers and acquisitions immediately impact organizations with changes in ownership, in ideology, and eventually, in practice. There are multiple reasons, motives, economic forces and institutional factors that can, taken together or in isolation, influence corporate decisions to engage in mergers or acquisitions. The financial risks of merging with or acquiring an organization in another country and how those risks can be mitigated are important issues for corporations to conduct research on. This paper will examine the sensible and dubious reasons for mergers and acquisitions and the benefits and costs of the cash and stock transactions.
... organizational structure that needs to be maintained for its operations in Australia. As the suggestion has been of total ownership thus span of control is needed and these factors have been discussed in this report to illustrate how effective the organization can be in Australia.
Ensign PC 2004, ‘A resource based view of interrelationships among organizational groups in the diversified firms’, Strategic Change, Vol. 13. pp. 125-137.