Pfizer-Pharmacia Merger

trouble statement Pfizer, Inc. announced the acquisition of the confederation Pharmacia, Corp. In the months leading up to the coming together of the deuce companies, on that point were resultant roles with the employees of Pharmacia. The announcement of 2. 5 zillion in salute nest egg as a result of the unify of the devil companies, had staff confused because it would be in form of labor costs, which would potentially cause disclosure of local operations. round was concerned about their financial futures, loosing their income would non just act their personal lives, and families plainly the community in general.A trickle passel effect, would effect businesses that provide products, and work to the consumers, as puff up as the taxation bases of local communities (Stamper, 2). The issue of having to potentially desire a financial bailout, and also executable bankruptcy of the city if Pfizer were to close mountain the operations of Pharmacia was a larger issue as well. The hollow out mission of typical pharmaceutical keep partnership is drug discovery, clinical posement, manufacturing, and sales and marketing. Before the merge of the company, the core mission of the company was met.Now the issue is, out-of-pocket to the unite of the companies, there was a detriment of discovery, clinical development, and sales marketing. Why did the chores chance? The problem of staff being worried about their financial future, and the future of the company mainly aroused because of the 2. 5 billion dollar in total cost savings that would be implemented as a result of merging the 2 companies. Emotions were a major plan that was passing play the staff at Pharmacia, everyone was in a certain state of readiness at ages, due to the uncertainty of jobs, and the uneasiness with staff members caused mainly from the distributed memorandum.Misunderstanding of the memo, giving the impression that Pfizier was freeing to pull out of downtown Kalamazoo, was a misunderstanding. This caused uncertainty avoidance inside the company, people felt threatened by ambiguity and uncertainty. It also caused var. the well being of staff members was at s possess. The problem of staff being overwhelmed by the memo was due to the fact that Pfizer did not take the time to properly explain the importee of the cost savings, from the very beginning.Loosing core natural missions for the company due to the merger occurred because the police squad at Kalamazoo was passing effective the lour of efficiency within the vernally incorporate company could engender been caused by the new collectivism of the company. With the merging, people got swapped around the concept of job rotation, and moving employees could be seen as a bad occasion in this situation, because the Pharmacia had a very successful company to begin with, now with the merging it caused the company to endure to work with little resources than prior to the merge. AlternativesIn as sessing the case, the main problems with the merging of the company were communication. The lack of communication with the two companies, and the staff created a lot of problems, not only with staff but with government. If there was more communication within the companies from the beginning, it would guard saved a lot of emotion, and stress due to the potential job issue and financial problems trickling to the whole community. To fix this initial problem, CEO of Pfizer Hank Mckinnell could have re-assessed the memo going out, and maybe spent more time thinking about the staff of the company, and how it would affect them when writing it.Within the newly devolved company, they could adapt high-performance-work-practices that could religious service the company get to where it was before the merge. group the knowledge and skills and abilities that all the employees have, and trying to make them so the company can be successful. Conclusion The Internal Subsystems could have been aimed at more in depth, looking at how the company worked as a whole, preferably of automatically making changes to the system. In lodge to have a successful company, you pauperism to be able to have not only efficient, but adaptive and innovative.There could have been organisational efficiency, so when merging the two companies, it was helping the company grow and develop instead of putting it behind on its mission statements. Before the merging of the company, they should have taken a better look at the Internal Systems, and how well the company was operating internally. If this was done, they could have maybe open alternative ways for savings, and realized that the organizational efficiency of the company to begin with, was extremely strong.