Cultural Dimensions

Amazon Acquire Whole Foods

               June 2017, one of the trending news for business is that Amazon acquiring Whole Foods. It has got lot of attention and viewers in the news channels. Whole Foods CEO John Mackey, loved the collaboration with Amazon and quoted as “Love at First Sight”. The people around taught that this acquisition will bring lot of profits to both the organizations because Amazon has top most customer base and whole foods can start selling the goods with some lesser price by this way they taught both the organization can share their profits.

               Later one year, Whole Foods employees find it very difficult the changes bought by Amazon. They find it very difficult in the new system which introduced by Amazon such as inventory system, suppliers system etc., and the employees where terminated if they didn’t meet the expectations. Both the companies got some culture differences. The Whole Foods employees got unionizing and decided to quit the jobs.

               After all the scenarios, they conducted a review and found that the main cultural difference if that Amazon is a tightly culture where as Whole Foods has a looser culture. This culture difference made the relationship problem with the employee and the merge got crushed.

The following are some of the steps need to be taken to maintain the culture hormone between the employees of different organizations.

1. Pre-Talk about the culture: Regards to Financial Terms Company’s should also discuss about the cultural norms. Leaders of each organization should be conducting surveys and other related assessments to understand the employee’s expectations regarding the merger. Each organization should think about the other organization and plan accordingly to create awareness to the employees and make them understand about the merger and positives about the merger.

2. Understand Strengths and Weakness: Leaders of the organization should understand the strength and weakness of the merger organization and plan according to the weakness to better success in the business. Understanding mutually is very important to improve the business of each organization.

3. Explain the changes: Employees of each organization should know the changes. Sometime knowing the changes will not help the employees. Managers should explain the changes and outcome of the changes so that each employees will understand the changes and makes himself comfortable for the changes.

4. Trial and error: Both the organization should be able to find their own strengths and weakness and try to implement the strength of one organization in the other organization. This method of trial and error can fetch more money for the respective organization which is mutually understood and shared the profits of the organization between both of them.

I felt that Amazon should have followed some of the stands like above mentioned points. I surely feel that this steps if they would have followed their merger would be a successful one instead. Practicing some of the norms between the organizations may strengthen the employees work culture and some more interest in progress to the organization.