Skip to main content
SpringerLink
Log in
Book cover

Socio-Cultural Integration in Mergers and Acquisitions pp 95–117Cite as

A Long-Term Perspective on Integration: The Case of a Serial Acquirer and Fundamental Human Values

  • Chapter
  • First Online:

  • 702 Accesses

Abstract

Speed in integration may not always deliver what it promises. If organisational unity is sought for, the integration should not be regarded as a one-time ad hoc event, but rather as a long-term socio-cultural process. By evaluating employees’ perceptions of fairness in their organisation the chapter suggests how fairness may constitute the building of organisational unity in a multinational organisation after a merger and acquisition. From the data collected in seven different countries, cultural differences in interpreting fairness in an organisational context are also noted.

This is a preview of subscription content, log in via an institution.

Chapter
USD   29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD   44.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD   59.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Learn about institutional subscriptions

References

  • Abbott, G. N., White, F. A., & Charles, M. A. (2005). Linking Values and Organizational Commitment: A Correlational and Experimental Investigation in Two Organizations. Journal of Occupational and Organizational Psychology, 78(4), 531–551.

    Article  Google Scholar 

  • Adams, J. S. (1965). Inequity in Social Exchange. In L. Berkowitz (Ed.), The Advances in Experimental Social Psychology (Vol. 2, pp. 267–299).

    Google Scholar 

  • Alvesson, M., & Sandkull, B. (1988). The Organizational Melting-Pot: An Arena for Different Cultures. Scandinavian Journal of Management, 4(3–4), 135–145.

    Article  Google Scholar 

  • Angwin, D. (2004). Speed in M&A Integration: The First 100 Days. European Management Journal, 22(4), 418–430.

    Article  Google Scholar 

  • Aquino, K. (1995). Relationships Among Pay Inequity, Perceptions of Procedural Justice, and Organizational Citizenship. Employee Responsibility and Rights Journal, 8(1), 21–33.

    Article  Google Scholar 

  • Asgary, N., & Mitschow, M. C. (2002). Toward a Model for International Business Ethics. Journal of Business Ethics, 36(3), 239–246.

    Article  Google Scholar 

  • Avery, D. R., & Quiñones, M. A. (2002). Disentangling the Effects of Voice: The Incremental Roles of Opportunity, Behavior, and Instrumentality in Predicting Procedural Fairness. Journal of Applied Psychology, 87(1), 81–86.

    Article  Google Scholar 

  • Barchiesi, M. A., & La Bella, A. (2015). An Analysis of the Organizational Core Values of the World’s Most Admired Companies. Knowledge and Process Management, 21(3), 159–166.

    Article  Google Scholar 

  • Barkema, H. G., & Schjiven, M. (2008). Toward Unlocking the Full Potential of Acqusitions: The Role of Organizational Restructuring. Academy of Management Journal, 51(4), 696–722.

    Google Scholar 

  • Barsky, A., Kaplan, S. A., & Beal, D. J. (2011). Just Feelings? The Role of Affect in the Formation of Organizational Fairness Judgments. Journal of Management, 37(1), 248–279.

    Article  Google Scholar 

  • Bazerman, M. H. (2006). Judgement in Managerial Decision Making. Hoboken, NJ: Wiley.

    Google Scholar 

  • Berkowitz, L., & Walker, N. (1967). Laws and Moral Judgments. Sociometry, 30(4), 410–422.

    Article  Google Scholar 

  • Berry, L. L., & Seiders, K. (2008). Serving Unfair Customers. Business Horizons, 51(1), 29–37.

    Article  Google Scholar 

  • Bies, R. J., & Moag, J. F. (1986). Interactional Justice: Communication Criteria for Justice. In B. Sheppard (Ed.), Research on Negotiating in Organizations (Vol. 1, pp. 43–55). Greenwich, CT: JAI Press.

    Google Scholar 

  • Blader, S. L., & Tyler, T. R. (2003). What Constitutes Fairness in Work Settings? A Four-component Model of Procedural Justice. Human Resource Management Review, 13(1), 107–126.

    Article  Google Scholar 

  • Brebels, L., De Cremer, D., Van Dijke, M., & Van Hiel, A. (2011). Fairness as Social Responsibility: A Moral Self-Regulation Account of Procedural Justice Enactment. British Journal of Management, 22(S1), S47–S58.

    Article  Google Scholar 

  • Brockner, J. (2006). Why It’s So Hard to Be Fair. Harvard Business Review, 84(3), 122–129.

    Google Scholar 

  • Cardinal, L. B., Sitkin, S. B., & Long, C. P. (2004). Balancing and Rebalancing in the Creation and Evolution of Organizational Control. Organization Science, 15(4), 411–431.

    Article  Google Scholar 

  • Chang, E., & Taylor, M. S. (1999). Control in Multinational Corporations (MNCs): The Case of Korean Manufacturing Subsidiaries. Journal of Management, 25(4), 541–565.

    Article  Google Scholar 

  • Chatman, J. A., & Cha, S. E. (2003). Leading by Leveraging Culture. California Management Review, 45(4), 19–34.

    Article  Google Scholar 

  • Cohen-Charash, Y., & Spector, P. E. (2001). The Role of Justice in Organizations: A Meta-Analysis. Organizational Behavior and Human Decision Processes, 86(2), 278–321.

    Article  Google Scholar 

  • Colquitt, J. A. (2001). On the Dimensionality of Organizational Justice: A Construct Validation of a Measure. Journal of Applied Psychology, 86(3), 386–400.

    Article  Google Scholar 

  • Colquitt, J. A., Conlon, D. E., Wesson, M. J., Porter, C. O. L. H., & Yee Ng, K. (2001). Justice at the Millennium: A Meta-analytic Review of 25 Years of Organizational Justice Research. Journal of Applied Psychology, 86(3), 425–445.

    Article  Google Scholar 

  • Cropanzano, R., Bowen, D. E., & Gilliland, S. W. (2007). The Management of Organizational Justice. Academy of Management Perspectives, 21(November), 34–48.

    Article  Google Scholar 

  • Cropanzano, R., Goldman, B., & Folger, R. (2003). Deontic Justice: The Role of Moral Principles in Workplace Fairness. Journal of Organizational Behavior, 24(8), 1019–1024.

    Article  Google Scholar 

  • De Cremer, D., & Sedikides, C. (2008). Reputational Implications of Procedural Fairness for Personal and Relational Self-Esteem. Basic and Applied Social Psychology, 30(1), 66–75.

    Article  Google Scholar 

  • De Cremer, D., & Tyler, T. R. (2005). Managing Group Behavior: The Interplay Between Procedural Justice, Sense of Self, and Cooperation. Advances in Experimental Social Psychology, 37, 151–218.

    Article  Google Scholar 

  • Desai, S. D., Sondak, H., & Diekmann, K. A. (2011). When Fairness Neither Satisfies Nor Motivates: The Role of Risk Aversion and Uncertainty Reduction in Attenuating and Reversing the Fair Process Effect. Organizational Behavior and Human Decision Processes, 116(1), 32–45.

    Article  Google Scholar 

  • Donaldson, T. (1996, September–October). Values in Tension: Ethics Away from Home. Harvard Business Review,48–62.

    Google Scholar 

  • Driori, I., Wrzesniewski, A., & Ellis, S. (2011). Cultural Clashes in a “Merger of Equals”: The Case of High-Tech Start-Ups. Human Resource Management, 50(5), 625–649.

    Article  Google Scholar 

  • Elizur, D., Borg, I., Hunt, R., & Beck, I. M. (1991). The Structure of Work Values: A Cross Cultural Comparison. Journal of Organizational Behavior, 12(1), 21–38.

    Article  Google Scholar 

  • Fischer, R., Ferreira, M. C., Jiang, D.-Y., Cheng, B.-S., Achoui, M. M., Wong, C. C., et al. (2011). Are Perceptions of Organizational Justice Universal? An Exploration of Measurement Invariance Across Thirteen Cultures. Social Justice Research, 24(4), 297–313.

    Article  Google Scholar 

  • Folger, R. (1977). Distributive and Procedural Justice: Combined Impact of “Voice” and Improvement on Experienced Inequity. Journal of Personality and Social Psychology, 35(2), 108–119.

    Article  Google Scholar 

  • Folger, R., & Bies, R. J. (1989). Managerial Responsibilities and Procedural Justice. Employee Responsibilities and Rights Journal, 2(2), 79–90.

    Article  Google Scholar 

  • Forsgren, M. (2008). Theories of the Multinational Firm. Cheltenham, UK: Edward Elgar.

    Google Scholar 

  • Forsgren, M., Holm, U., & Johanson, J. (2005). Managing the Embedded Multinational. Northampton, MA: Edward Elgar.

    Book  Google Scholar 

  • Graebner, M. E., Heimeriks, K. H., Huy, Q. N., & Vaara, E. (2017). The Process of Postmerger Integration: A Review and Agenda for Future Research. Academy of Management Annals, 11(1), 1–32.

    Article  Google Scholar 

  • Greenberg, J. (1990). Organizational Justice: Yesterday, Today, and Tomorrow. Journal of Management, 16(2), 399–432.

    Article  Google Scholar 

  • Greenberg, J. (2001). Studying Organizational Justice Cross-culturally: Fundamental Challenges. The International Journal of Conflict Management, 12(4), 365–375.

    Article  Google Scholar 

  • Griseri, P. (1998). Managing Values. London: Macmillan Business.

    Book  Google Scholar 

  • Guth, W. D., & Tagiuri, R. (1965). Personal Values and Corporate Strategy. Harvard Business Review, 43(5), 123–132.

    Google Scholar 

  • Hooker, B. (2005). Fairness. Ethical Theory and Moral Practice, 8(4), 329–352.

    Article  Google Scholar 

  • Humes, S. (1993). Managing the Multinational. New York: Prentice Hall.

    Google Scholar 

  • Jaeger, A. M. (1983). The Transfer of Organizational Culture Overseas: An Approach to Control in the Multinational Corporation. Journal of International Business Studies, 14(2), 91–114.

    Article  Google Scholar 

  • Kazemi, A., & Törnblom, K. (2008). Social Psychology of Justice: Origins, Central Issues, Recent Developments, and Future Directions. Nordic Psychology, 60(3), 209–234.

    Article  Google Scholar 

  • Kouchaki, M., Smith, I. H., & Netchaeva, E. (2015). Not All Fairness is Created Equal: Fairness Perceptions of Group vs. Individual Decision Makers. Organization Science, 26(5), 1301–1315.

    Article  Google Scholar 

  • Li, A., & Cropanzano, R. (2009). Fairness at the Group Level: Justice Climate and Intraunit Justice Climate. Journal of Management, 35(3), 564–599.

    Article  Google Scholar 

  • Liao, H., & Rupp, D. E. (2005). The Impact of Justice Climate and Justice Orientation on Work Outcomes: A Cross-level Multifoci Framework. Journal of Applied Psychology, 90(2), 242–256.

    Article  Google Scholar 

  • Lind, E. A., Kanfer, R., & Christopher Earley, P. (1990). Voice, Control, and Procedural Justice: Instrumental and Noninstrumental Concerns in Fairness Judgments. Journal of Personality and Social Psychology, 59(5), 952–959.

    Article  Google Scholar 

  • Lind, E. A., & Van Den Bos, K. (2002). When Fairness Works: Toward a General Theory of Uncertainty Management. Organizational Behavior, 24, 181–223.

    Article  Google Scholar 

  • Lipponen, J., Olkkonen, M.-E., & Moilanen, M. (2004). Perceived Procedural Justice and Employee Responses to an Organizational Merger. European Journal of Work and Organizational Psychology, 13(3), 391–413.

    Article  Google Scholar 

  • Mead, R. (1994). International Management—Cross-cultural Dimensions. Oxford: Blackwell Business.

    Google Scholar 

  • Meglino, B. M., & Ravlin, E. C. (1998). Individual Values in Organizations: Concepts, Controversies, and Research. Journal of Management, 24(3), 351–389.

    Article  Google Scholar 

  • Meyer, C. B., & Altenborg, E. (2006). The Disintegrating Effects of Equality: A Study of a Failed International Merger. British Journal of Management, 18(3), 257–271.

    Article  Google Scholar 

  • Mikula, G., Petri, B., & Tanzer, N. (1990). What People Regard As Injust: Types and Structures of Everyday Experiences of Injustice. European Journal of Social Psychology, 20(2), 133–149.

    Article  Google Scholar 

  • Monin, P., Noorderhaven, N., Vaara, E., & Kroon, D. (2013). Giving Sense to and Making Sense of Justice in Postmerger Integration. Academy of Management Journal, 56(1), 256–284.

    Article  Google Scholar 

  • Moorman, R. H. (1991). Relationship Between Organizational Justice and Organizational Citizenship Behaviors: Do Fairness Perceptions Influence Employee Citizenship? Journal of Applied Psychology, 76(6), 845–855.

    Article  Google Scholar 

  • Nohria, N., & Ghoshal, S. (1994). Differentiated Fit and Shared Values: Alternatives for Managing Headquarters-subsidiary Relations. Strategic Management Journal, 15(6), 491–502.

    Article  Google Scholar 

  • Paine, L. S. (1994). Managing for Organizational Integrity. Harvard Business Review, 72(2), 106–117.

    Google Scholar 

  • Quah, P., & Young, S. (2005). Post-acquisition Management: A Phases Approach for Cross-border M&As. European Management Journal, 23(1), 65–75.

    Article  Google Scholar 

  • Raitis, J. (2015). Identity and Multinational Corporations: Building Unity within Diversity. Publications of Turku School of Economics, Series A. Turku: Juvenes Print.

    Google Scholar 

  • Robbins, J. M., Ford, M. T., & Tetick, L. E. (2012). Perceived Unfairness and Employee Health: A Meta-analytic Integration. Journal of Applied Psychology, 97(2), 235–272.

    Article  Google Scholar 

  • Rosenblatt, V. (2011). The Impact of Institutional Processes, Social Networks, and Culture on Diffusion of Global Work Values in Multinational Organizations. Cross Cultural Management: An International Journal, 18(1), 105–121.

    Article  Google Scholar 

  • Russell, R. F. (2001). The Role of Values in Servant Leadership. Leadership & Organization Development Journal, 22(2), 76–84.

    Article  Google Scholar 

  • Schmitt, M., & Dörfel, M. (1999). Procedural Injustice at Work, Justice Sensitivity, Job Satisfaction and Psychosomatic Well-being. European Journal of Social Psychology, 29(4), 443–453.

    Article  Google Scholar 

  • Skarlicki, D. P., & Folger, R. (1997). Retaliation in the Workplace: The Roles of Distributive, Procedural, and Interactional Justice. Journal of Applied Psychology, 82(3), 434–443.

    Article  Google Scholar 

  • Suliman, A., & Al Kathairi, M. (2013). Organizational Justice, Commitment and Performance in Developing Countries. The Case of the UAE. Employee Relations, 35(1), 98–115.

    Article  Google Scholar 

  • Teerikangas, S., & Joseph, R. J. (2012). Post-Deal Integration: An Overview. In D. Faulkner, S. Teerikangas, & R. Joseph (Eds.), Handbook of Mergers and Acquisitions (pp. 339–371). Oxford: Oxford University Press.

    Chapter  Google Scholar 

  • Thibaut, J., & Walker, L. (1975). Procedural Justice: A Psychological Analysis. Hillsdale, NJ: Lawrence Erlbaum Associates.

    Google Scholar 

  • Törnblom, K. Y., & Kazemi, A. (2011). Social Justice Research: Mission, Some Prospects, and Challenges. Social Justice Research, 24(1), 1–5.

    Article  Google Scholar 

  • Turillo, C. J., Folger, R., Lavelle, J. J., Umphress, E. E., & Gee, J. O. (2002). Is Virtue Its Own Reward? Self-sacrificial Decisions for the Sake of Fairness. Organizational Behavior and Human Decision Processes, 89(1), 839–865.

    Article  Google Scholar 

  • Tyler, T., Dienhart, J., & Thomas, T. (2008). The Ethical Commitment to Compliance: Building Value-based Cultures. California Management Review, 50(2), 31–51.

    Article  Google Scholar 

  • Van Dijke, M., De Cremer, D., Mayer, D. M., & Van Quaquebeke, N. (2012). When Does Procedural Fairness Promote Organizational Citizenship Behavior? Integrating Empowering Leadership Types in Relational Justice Models. Organizational Behavior and Human Decision Processes, 117(2), 235–248.

    Article  Google Scholar 

  • Welch, D. E., & Welch, L. S. (2005). Commitment for Hire? The Viability of Corporate Culture as a MNC Control Mechanisms. International Business Review, 15(1), 14–28.

    Article  Google Scholar 

  • Wiener, Y. (1988). Forms of Value Systems: A Focus on Organizational Effectiveness and Cultural Change and Maintenance. Academy of Management Review, 13(4), 534–545.

    Google Scholar 

  • Williams, S. L. (2011). Engaging Values in International Business Practice. Business Horizons, 54(4), 315–324.

    Article  Google Scholar 

  • Yang, J., Mossholder, K. W., & Peng, T. K. (2007). Procedural Justice Climate and Group Power Distance: An Examination of Cross-level Interaction Effects. Journal of Applied Psychology, 92(3), 681–692.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. School of Economics, University of Turku, Turku, Finland

    Johanna Raitis

Authors
  1. Johanna Raitis
    View author publications

    You can also search for this author in PubMed Google Scholar

Editor information

Editors and Affiliations

  1. University of Turku, Turku, Finland

    Johanna Raitis

  2. University of Turku, Turku, Finland

    Riikka Harikkala-Laihinen

  3. University of Sheffield, Sheffield, United Kingdom

    Mélanie E. Hassett

  4. University of Turku, Turku, Finland

    Niina Nummela

Rights and permissions

Reprints and permissions

Copyright information

© 2018 The Author(s)

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Raitis, J. (2018). A Long-Term Perspective on Integration: The Case of a Serial Acquirer and Fundamental Human Values. In: Raitis, J., Harikkala-Laihinen, R., Hassett, M., Nummela, N. (eds) Socio-Cultural Integration in Mergers and Acquisitions. Palgrave Pivot, Cham. https://doi.org/10.1007/978-3-319-74341-7_5

Download citation

Publish with us

Policies and ethics

Search

Navigation