Scenario A
Note: All character and company names are fictional and are not intended to
depict any actual person or business.
Your meeting with the chief executive officers (CEOs) of UWEAR and PALEDENIM
went well. In a discussion following the meeting, Theresa Tramlin, the CEO of
UWEAR, mentioned that she would like you to spend some time in the field with
her top sales representative to get a feel for what the salespeople face every day
selling in the current business environment. Today, you are scheduled to spend
the day with Joe Smith.
As you walk across the lobby of UWEAR, you see Theresa talking to a tall,
distinguished-looking man. "This is Joe Smith," Theresa introduces when you step
up to them. "You'll be spending some time with him today in the field."
"Nice to meet you, Joe," you respond, shaking Joe's hand.
Theresa says goodbye and makes her way to the elevator while you and Joe head
toward the parking garage. "We're going to meet with a couple of clients today,"
Joe explains. "First, we'll have lunch with Bill Bateman, the CEO of the Peninsula
Hotel chain. He's a great guy and I'm sure you'll enjoy meeting him."
"Where are we meeting him for lunch?" I ask, getting into Joe's car.
"Bill's hotel, the Peninsula, has a great restaurant that I frequently use to meet
clients," Joe answers. "The food is outstanding. We're going to meet him there to
discuss the renewal of his uniform contract."
As you continue the drive to the hotel, Joe elaborates on his business history with
Bill. "I was able to win the contract for the Peninsula chain last year," he explains.
"We were just able to underbid our competitor, Threads4U. In fact, Bill said that I
underbid them by about $5 per uniform. Great victory on my part."
"It sounds like you've established a great working relationship with Bill," you say.
"Oh, yeah," Joe agrees. "He's a great guy. The first time we met, I was on my
way to buy a nice bottle of cabernet as a birthday gift for my wife. She loves the
expensive wines. I happened to mention this to Bill, he said he orders it all the
time and offered to give me some for free. I told him it wasn't
necessary, but he insisted. When I got my car back from the valet, I found not
just a bottle, but an entire case of high-end cabernet in my trunk." Joe shakes his
head, smiling. "But that's just the kind of guy Bill is."
"It sounds like it worked out for you and your wife," you comment. "Did she
enjoy her birthday gift?"
"Yes," Joe says. "We both enjoyed it for quite some time. Well, here we are," he
adds, pulling up the Peninsula Hotel.
As you park and exit the car, Joe explains, "Since Bill and I have been doing
business, he's referred three other hotel owners to me to supply their uniforms.
Except for when I'm meeting with one of his competitors, I usually conduct
business meetings with clients here at the restaurant in Bill's hotel."
"It's a beautiful hotel," you comment as Joe leads you through the lobby,
admiring the elegant décor. "No wonder you enjoy coming here. I wouldn't mind
bringing my family here for a weekend sometime."
"Actually," Joe says, "My wife and I have become really good friends with Bill and
his wife. He often invites us out onto his yacht with his family, we go to social
events with them, and we've stayed at the hotel several times. We really enjoy it.
You should bring your family sometime, too. Kids love the pool with the waterfall.
You nod, following Joe into the hotel's restaurant. After all you've heard about
Bill, you are very interested in meeting him.
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Problem B: Regulatory Compliance
Note: All character and company names are fictional and are not intended to
depict any actual person or business.
Knowing that mergers may require a dramatic change in company culture,
you realize that you need to meet with the human resources (HR) and
leadership teams because they will play important roles in the merger. The
leadership team will drive the change, and the HR team will be charged with
managing the change. You have scheduled a meeting with Steve Maine, your
vice president at ALTAP consulting, to consult with him on this project.
"Thanks for meeting me today, Steve," you begin. "I need to talk through
some of the issues before meeting with the HR and leadership teams at
UWEAR and PALEDENIM. The merger is going well, but it is becoming
apparent that there are some significant change issues that need to be
addressed."
"I've heard good things about your work on this project," Steve answers. "I'm
sure you have it under control, but I'll be happy to help where I can."
"We are dealing with the issues of joining together two very disparate
companies," you explain. "On the one hand, UWEAR is public and has 100
employees; on the other hand, PALEDENIM is private with only 15
employees. They basically provide the same type of service, but they are
completely different businesses in how they operate inside and outside of the
company.'
You continue, "Yes, and both the employees and managers of each company
have different philosophies and expectations. PALEDENIM employees and
managers have a kind of 'one-for-all and all-for-one' attitude. They all chip in
to get the job done. The UWEAR employees and managers look at things
differently. They're more apt to do their jobs, get them done, and go home
without consideration for what else the rest of the team needs to complete."
"That is definitely a culture issue," Steve agrees. "In fact, that is the classic
definition of a culture issue. I'm sure they're also dealing with the typical
power struggles. I bet everyone is worried about whether their department
will be headed by a UWEAR manager or a PALEDENIM manager."
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Problem B: Regulatory Compliance
"Exactly," you say. "I know the intention of the merger is to benefit both
companies, but there are unintended consequences as well. We need to do
whatever we can to help the employees of both companies get through this
with the fewest glitches possible."
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