Sample Answer for HCA 615 Compare the two philosophies of governance Re: Module 2 DQ 2

Good morning professor and class

This article is a good read and should be allowed to circulate to all companies if they are in need of expanding their business or combining two or more businesses as well. There were two groups who had differing philosophies of how the company should operate. The stronger faction comprised staff and members who have been there a while and who have witnesses first hand the right way a company should be run if it wants to be successful. On the other hand the other faction comprised workers who had no working knowledge of how to govern or what it takes for a company to run. It makes me think that these workers were either part-time or didn’t have any interest in the company just there to collect a paycheck. I believe the C.E.O started with the mission statement to eliminate the divide between both boards of directors is because as with any acquisition there will be differing sets of ideas and you don’t want to ignore any person’s idealogy so the best way to respect everyone’s wishes is to get them in a room and have activities where we all can narrow it down and come up with one universal mission statement that represents us all as staff and management and the community as a whole. The job of the process consultant was very important because it took the responsibility of making any rash decisions out of the C.E.O’s hand and placed it with the board that went on the retreat. The retreat was put together so everyone can have their idea heard and get to know one another as two companies will become one. This is similar when two people are getting married, before the marriage both people go on dates and get to know one another and bounce ideas off each other and uplift each other in the good and bad times. One method of communication that the CEO used which helped facilitate accomplishment of the goals was verbal communication in that each member of th eboard voiced their concern or approval of the governance methods and it was narrowed down to one where all the board members agreed upon should be the universal policy of the hospital. This was a very effective way in that all interested parties during the merging of the hospitals had a voice in how the hospital should be run. This also brought them closer together as they bounced ideas off each other and came to an understanding that each member signed off on and implemented that information to the C.E.O who then shared with the rest of the hospital and community.

“From a business standpoint, merging companies in the same sector with competing strengths is a no brainer. And it’s technically not difficult to do. But be prepared to bump up against a lot of cultural challenges during the integration process.

Here’s what you need to know:

• A merger will take longer than you expect. You can’t put former competitors together and expect them to get along from day one. They’re used to thinking of each other as the enemy, sometimes over the course of many years. You need to carefully manage reporting lines and watch for signs of tension so you can nip them in the bud before they blow up.
• Leaderswill come and go. Don’t assume managers who say they’re committed to the new company truly are. Loyalty is hard to come by, and you may find people will jump ship as soon as a better offer comes along. Your remaining competitors will try to use your merger to their advantage. Be prepared to deal with upheaval.
• Make sure your staff is consistently thinking about the future, both near- and long-term. You also need to lay out a road map to success. A nimble, innovative company doesn’t just happen, it needs to be nurtured. The person at the top sets the tone.
• Competitorswon’t be the only ones who’ll try to kick you when you’re down. When you’re ironing out the merger kinks, customers might try to squeeze you for better deals and threaten to bolt to the competition. That’s why you need to engage with them early. Convince them you’ll always be the best option, no matter what.” (Hennessey, et al 2014)

Hennessey, Billy (2014, 30 Apr) Merging Two Companies is Hard, Here’s how to do it. Retrieved from https://www.forbes.com/sites/billyhennessey/2014/04/30/merging-companies-is-hard-heres-how/#725e23b71fcc