Case Study Of The Cultural Integration For MTS Acquiring SANS

As the supreme form of business expansion,enterprise acquisition covers diversified management integration in every aspect,including debt restructuring,organization structure adjustment,strategic integration and enterprise business process flow rectification etc.Currently 70% of the enterprises after acquisition fail to attain the expected commercial value,and 70% of the failures are rooted from the integration process after acquisition.For long time the management personnel cared solo about financial data and profit level,and overlooked the reorganization process after acquisition.Particularly to the most essential and intangible asset-corporate culture integration.Although corporate culture integration is not the sufficient condition to the successful acquisition,a futile one will definitely lead to acquisition failure.Thus herein advise relevant enterprises must in advance to predict the strategic compatibility of the original and the existing ones after culture acquisition,and take corresponding count measures to the enhance reorganization efficiency and attain the acquisition integration objective of the two undertakings.Effectively reorganize enterprise culture,can help relieve the “Unacclimatization” conflict of human resource,cure syndromes in acquisition,motivate and attract employees,and lay solid foundation to the acquisition,and elevate the enterprise comprehensive competitiveness and development sustainability.This dissertation is based on the practice of the United States capitals listed firm MTS(MTS Industrial System(China)Co.,Ltd)acquiring the domestic private firm SANS(Shenzhen New SANS Material Testing Co.,Ltd),and systematically observed and analyzed the enterprise culture integration after acquisition in strategic perspective,and showcased the importance of integration from pros and cons.By specific case description,analysis and conclusion of the successful experience of the enterprise integration after acquisition,to attain the objective of making all faculty imperceptibly recognize the culture of the new firm.Firstly,the case gave a description over the backgrounds and concepts of the two firms,introduced the reason and process for MTS acquiring SANS,and analyzed the development bottleneck and culture conflict came across in the initial of the acquisition.Secondly,through the three phases,research analysis,measures integration and consolidation improvement,based on the study of enterprise culture of the two acquisition parties,this case described by utilizing the due diligence investigation of all faculty,to sort out the key strategy to be improved and focused with the SWOT analysis,that is to maintain the integration of the group,maintain and increase the participation extent of all employees,to formulate feasible action plans for company futures in the four aspects: implement and carry out the management method of the new firm,amend the merit of the corporate,publicize the construction of the ideological and material culture of the new enterprise from the job description formulation to promotion channel and payroll culture development,and finally formulate the employee handbook and launch the policy tracking system to reach the objective of consolidating the action plans,and make the faculty to participate and touch the culture penetration and fusion integration in the whole process.Lastly by the reflection of the corresponding effect and successful experience the acquisition has reached,to reveal the general rules for cross-border culture integration.The complete process of acquisition has kept the personnel's stability,brought more benefits to the employees.The corporate culture is getting immersed gradually,the performance is continuing to grow in a good start of a balanced pattern.This acquisition turned out to be one successful paradigm of trans-border integration in testing machine industry,and provide reference value for culture integration for the multi-national acquisition in the rival industry.