Oil and Wasser

1
Oil and Wasser

• FACTS

2
Analysis

• What is the problem?
• no collaboration/consensus on leadership
  development program
• Which persons are involved?
• What is the background of the situation?
• Pressure from media and governments, potential
  investors

3
Persons and Personalities

• Sir John Callaghan,
• self-made billionaire,
• CEO Royal Biscuit Company
• display of temper
• Michael Brighton
• UK Head of HR (more than 5 years
• Dieter Wallach
• G HR from merged EDELING GmbH

4
Merger ROYAL EDELING

• EDELING and ROYAL BISCUITS
• Jan. 30
• RB- entrepreneurial powerhouse (10 years)
• EDELING 120 years old, family-ownded
• beloved employer
• expectations of the merger to become the worlds
  second largest consumer foods business
• example of European togetherness

5
Organization

• Callaghan CEO of the new firm
• Headquarters London
• Burkhardt non-executive Chairman of the
  supervisory board
• Listed on the stock exchange London and
  Frankfurt
• German governance system two tiers (management
  board /supervisory board)

6
Roles

• HR assigned to find solutions
• shaping excellent managers
• symbolic importance
• Time pressure
• Media coverage anti-German sentiments, fear of
  job losses, // Brits no respect for a companys
  proud history
• Uneven distribution of seats on the board (7 of
  10 UK)

7
Finding the right managers

• keeping the best (some would leave)
• what is a good manager? (UK vs.G perception)
• different office style (fancy vs. bland)

8
Leadership development

• different process to become a leader
• G - from apprentice to master/leader
• based on recommendations /proven abilities
• leadership a science (knowledge)
• UK- diversity of background
• business school graduates right attitude and
  entrepreneurship
• run teams early on / cultural fit/ emotional
  intelligence

9
At stake

• Whose best practice should be abandoned ?
• What are your recommendations?

10
Some recommendations

• suggestions

11
Style

• Callaghan
• not clear on the vision for the company, or the
  goals
• needs HR, but must help them
• Both should find out more about each other first
• Stop thinking we and them, change to us
• Focus on common goal

12
Recommendations

• Start with a group of managers from both
  companies / go to a retreat
• Start with a new strategy, based on shared
  guiding principles
• There are no mergers of equals
• Find a new place for the headquarters
• Announce top positions
• Information/communication w/ employees
• Use the chance to do something new reg.
  leadership development