Study Of Human Resource Integration On China Netcom Group Corporation

Since the beginning of 20 centuries, mergers & acquisitions (M&A) has already become a very important way to affect social and economic growth gradually. M&A is a high-risk and high-return business. The success rate is very low. One of the most important reasons for the failure of M&A is human resources integration. Human resources are the most fundamental resources which are the fountainhead and support to core competition of all enterprises. Human resources integration in M&A designs the processes to enough develop and rationally organize human resources about both sides, especially the merged side, according to the enterprise's developing objective, psychology of staffs and human resources character. Not only staffs integration, but also human resources management system integration or human resources management practices integration is the problem that human resources integration explores. Therefore, M&A succeed or not, depend on the human resources integration about both sides.In our country, telecommunication industry has experienced 12 years for reformation and development. By M&A in state-owned telecommunication enterprise, our telecommunication industry has become the NO.1 in the world. So far, the reformation is going on. Face to the next M&A in state-owned telecommunication enterprise that will come, research on its integration, especially human resources integration is extraordinarily significant. So, this article studies and analyzes the problems on human resources integration, in order to give advices to state-owned telecommunication enterprise, which are helpful to carry on human resources integration in next M&A for them.Accordingly, taking China Netcom Corporation (CNC) for example, this article adopts theoretical analysis and demonstration analysis to research on human resources integration in CNC. Moreover, through field survey and site visit in CNC, the author collects many real and direct materials to support his comments on the theory. Firstly, the article analyzes the problems which CNC face to in human resources integration in M&A and find out the reasons for those difficulties. Secondly, analyze and estimate the measures CNC has taken in human resources integration. Finally, aimed at the next possible M&A and on the basis of sustainable development principle, this article gives some suggestions for CNC and even other state-owned telecommunication enterprise to conduct human resources integration. And the key suggestion is that, as human resources integration stratagem, only solve psychology problems of staffs and stay them firmly are not enough, more important enterprises need to consider human resources management system as a whole one to carry on human resources integration.