Researched On Coal Company Horizontal Post Merge Integration Synergy And Performance Evaluation

There are a large numer of small coal companies in China, which are excessive mining and under no regulations, resuling massive waste of resources, the average capacity of mine is less than 300 thousand tons, far less reached the scale production level. In recent years, the Chinese government continues to regulate coal industry, using rectification, closure, sales of small coal mines. With government and market guidance, some large-scale coal companies finished merge and re-organization of some small coal companies. In Shanxi, Henan, Inner Mongolia, Shaanxi, Ningxia, Guizhou, Hunan and Heilongjiang provinces, large coal companies already began merger and re-organization and have made some good progress.However, not all acquisitions have reached expected result, most research results shows that merge and re-organizations have a failure rate of over 70%, mainly due to integration failure. Post-merger integration means the two acquisition parties using strategic intention, organization, corporate culture, production and management adjustment to achieve integration, and implement effective coordination of assets, resources, enterprise ability and other factors, let different enterprise elements joined together, cultivate and improve enterprise core competitive, achieve strategic goal and necessary management integration process. Post-merger integration is the key to the success of merge and re-organizations, and is the foundation to increase value and synergistic effect.Post-merger integration represents the integration behaviors after merge and acquization. This paper studies the last step of Merge&Acquization, the Intergration period. Therefore, this paper based on synergetic perspective, research on coal companies Post-merger acquisition, use Merger&Acquization, Synergetic, Enterprise core abilities, Value Chain, Core competation and Performance evaluation theory to evaluate coal company Post-merger integration synergy system and performance evaluation index. This paper established the Post-merge integration selection model based on core competitive perspective, analyzed the Coal industry Post-merger integration synergy,designed integration synergy framework, designed Post-merger integration evaluation index through the analysis of literature, expert interviews, questionnaire survey, Statistics evaluation and SPSS software, established the Post-merge integration performance evaluation model by using information entropy and single index uncertain measure method, this paper ends with taking Lu’an Mining Group as an example, this paper’s specific research contents and conclusions are shown below:(1) Post-merger integration me is the two acquisition parties using strategic intention, organization, corporate culture, production and management adjustment to integrate, and implement effective coordination of assets, resources, enterprise ability and other factors, let different corporate elements joined together, cultivate and improve Post merger company core competitives to achieve strategic goal and management integration process.(2) Post-merger integration is the foundation to synergistic effects, synergy sources include tangible assets and intangible assets synergy. Tangible asset synergies include infrastructure synergy, human resources synergy, finance synergy, purchasing synergy and other synergy; intangible assets synergies include culture synergy, brand synergy and technology synergy.(3) Coal company Post-merger integration synergy mechanism is the synergy sources through the realization of resource completeness and subsitition, resource transferring and sharing, resources conflicts elimination and innovation.(4) Coal company Post-merger integration synergy includes principal synergy, organization synergy, intangible assets synergy and business synergy, principal synergy includes internal and external synergy, organization synergy includes financial synergy,equipment synergy, regulation synergy and information system synergy, intangible asset synergy includes culture synergy, brand synergy and technology synergy, business synergy includes purchase synergy,production synergy, safe synergy, sales synergy and finance synergy.(5) This paper based on core competitive perspective, established the follow-up steps to construct coal company Post-merger integration, designed Coal company Post-merger integration selection model.(6) This paper established coal company Post-merger integration evaluation index through literature, expert interviews, questionnaire survey, statistics analysis, and SPSS software to analysis surveys of organizational, ntangible assets, financial, purchase, sales, production, safety aspects.(7) This paper established the Post-merger integration performance evaluation model by using information entropy and single index uncertain measure method.(8) This paper takes Lu’an Mining Group as an example to study Post-merger integration, mechanism and performance evaluation.Comparing with existing studies, this paper’s innovations of are below:(1) This paper based on coal company core competence, combines coal compaine core competence transferring theory, use coal company core competence form to establish coal company Post-merger integration selection model.(2) This paper evaluated coal company Post-merger integration synergy opportunity using Potter’s value chain theory, established coal company synergy framework, studied synergy mechanism aspects.(3) This paper established coal company Post-merger integration evaluation index system by using literature, expert interviews, questionnaire survey and statistics analysis, designed coal company Post-merger integration evaluation model by using information entropy method and unascertained single index measure.