Topic > Acquisition of IBM PC Division by Lenovo - 815

Compare the two casesIn this section I will compare the human resource management performance in the two cases. But first we should define what good human resource management is and what kind of human resource management can be called a good example. There could be many standards, but I think the most significant one is that the human resources strategy should fit the company's strategy, which means the two companies' human resources management strategy should fit the acquisition strategy. And according to Bower (2001), there are five types of acquisition strategies, which are overcapacity acquisitions, product or market extension acquisitions, geographic roll-up acquisition, industry convergence acquisition, and acquisitions such as research and development (research and development). Obviously, the Lenovo acquisition and the TCL acquisition belong to the second group. (Although there may be several objectives of an acquisition, I think the strategy stems from the main one. For example, the objective of acquiring TCL may be market extension as well as research and development, but the main one is l 'market extension, so I consider it to belong to the second group. Then I will find out the role of HRM in the acquisition strategy of product and market extension.•The role of HRM in the acquisition strategy of product and market extension. market I examine the role of human resource management in the integration phase of the product and market extension acquisition strategy through the lens of the resources, processes and values ​​framework. There is a table that explains the process more specifically. 1 Human Resources Management Strategy Product or Market Extension Resources Expect few layoffs and focus on retention Processes Processes can be transformed slowly if the acquiring company is experienced and much larger than the acquired company Experience varies by country and ......middle of paper......different values ​​will lead to communication problems, but TCL also made things worse because of the language problem. TCL is a Chinese speaking company while Alcatel is a French speaking company. We know that French is not as universal as English and few French people speak English. Therefore TCL cannot communicate directly with Alcatel employees without using translators, and even with translators, communication problems can still arise if a misunderstanding occurs between the translators who do not understand what the company says and convert the meaning wrong . In contrast, Lenovo considers English to be the consistent language. Since IBM is an American company, there will be no problem for them in communicating in English. Works Cited Ruth V. Aguilera and John C. Dencker, The Role of Human Resource Management in Cross-Border Mergers and Acquisitions, 2004