PROJECT HUMAN RESOURCES, COMMUNICATION AND INTEGRATION MANAGEMENT
PROJECT HUMAN RESOURCES, COMMUNICATION AND INTEGRATION MANAGEMENT: Assignment 1 – Change Management in the Acquisition of Aetna and Reliastar by ING Life
Change of management is not bad as long as the changes made can really enhance the competitiveness and strength of an organization. It is effective, if and only if, a thorough investigation and evaluation of the company’s performance has made. Because, change of management system is very critical, one wrong move, the company, might faced its biggest downturn instead of strengthen its business portfolio and survive to the stiff competition in the business arena. The inherent change management strategies in ING Life’s acquisition of Aetna and Reliastar to increase the business organization’s market visibility in the international financial industry as well as to maintain its competitive advantage over other internationally operating financing firms and companies proved to effective through the evaluation of environmental factors that affect the entire Group as well as through the cooperation of every team and individual member of the company. It is recommended that any organization, which will undergo some changes on their management system, must see to it that the changes are well planned and implemented carefully, because these will the basis for the success and/or failure of any organization.
2. Project Context……………………………………………………………………..5
2.1 Internal Environment……………………………………………………..6
2.2 External Environment…………………………………………………….7
3.1 Internal and External Stakeholder Relationships……………………9
Table 3. 1. Stakeholder Analysis of ING Life Acquisition of Aetna and Reliastar………………………………………………….10
3.2 Legal Nature, Roles and Influences of Stakeholders……………..11
3.3 Stakeholder Management Plan………………………………………..12
4. Organizational Structure…………………………………………………………13
4.1 Organizational Structure……………………………………………….13
4.2 Organizational Structure Diagram……………………………………15
Figure 4. 2. Organizational Structure of ING Life Group………15
5. Roles, Responsibilities and Relationships of Team Members……………16
5.1 Project Team Roles and Relationships………………………………18
5.2 Project Leadership………………………………………………………20
6. Team Development and Conflict ………………………………………………22
6.1 Selection of Team Members…………………………………………..23
6.2 Organizational Conflict…………………………………………………24
Most of the successful business endeavors depend greatly on good interpersonal communication and relationship between the service or product providers and their clients. Persuading customers on trying the offered services and products is only a start on putting up a successful entrepreneurial activity. Gaining the trust of the clients and maintaining patrons is very important to ideal business transaction flows. But all these will be put to waste if issues and problems in the workplace environment are not taken into account by the management. As such, making business transactions and communication within business organizations to promote good working relationships through enhanced knowledge and skills among employees serves as one of the major tenets of successful business operation.
The information man has successfully rebelled against intercontinental borders and the challenge that confronts him the most, deals with how to fit and blend in the new cultural environment in which their businesses are situated. To date, the advances in technology and the fast modernization of the world, in general, opened new and very promising avenues of business opportunities not just in an individual’s locale but also abroad. A lot of business-minded individuals from different countries with different nationalities and cultural orientation have and continuously defied the geographic boundaries that exist between continents. This is evident in the growing number of internationally-operating business firms all over the world run by entrepreneurs of varying race and culture.
In line with this, mergers and acquisitions have been popular strategic business option among ever-expanding multi-national corporations. This paper highlights inherent change management strategies in ING Life’s acquisition of Aetna and Reliastar to increase the business organization’s market visibility in the international financial industry as well as to maintain its competitive advantage over other internationally operating financing firms and companies. As such, the acquisition and measures utilized by the company to adapt to the inevitable changes brought about by the mergers constitute the project scope defined in this academic activity. The discussions that follow include the (1) context of the project highlighting the environmental factors that confronts the organization, (2) the identification of the stakeholders and their roles as well as influences in the decision-making procedures of the company, (3) the organizational structure of ING Life, (4) the duties and responsibilities of the human resources management of the company and that of the individual employee, and (5) the conflict management and team workforce empowerment initiated by the company to cope with the changes.
2. Project Context
Strategic management is the process of identifying and enumerating the aims of the organizations in order to come up with sound business policies and plans from which the profit of the business organization will be fully maximized ( 1998). Business administration and management characterizes the process of leading and directing the systems within an organization by exhausting available resources extensively so as to achieve the objectives of the business operation. It most of the time includes the conceptualization of business plans and monitoring its execution for assessment and evaluation of the efficiency and effectiveness of the business transactions. In this light, inherent changes are inevitable in every strategic decision that a business organization implements.
Organizational change is part of and a result of struggles between contradictory forces, also change management practice is related with endeavoring to manage their competing demands. According to (1996) these systems of ideas are crucial to change management in two respects. They provide models of how organization should be structured and managed. Then they provide guidelines for judging and prescribing the behaviour and effectiveness of individuals and groups in an organization. (1996) believe that modern organizations passed by the guild structures and as organizations grew larger, skills become increasingly fragmented and specialized and positions become more functionally differentiated. It can be said that organizational change is one of the critical determinants in organizational success and failure ( 1998). The lack of such initiatives can throw an organization into confusion, being stuck in traditional practices that cannot solve or handle the current problems faced.
2.1 Internal Environment
ING acquired Aetna Life Insurance in late 2000. After the acquisition, the company mission statement stipulated that we have to be “The Best Insurance Company in Hong Kong” in terms of revenue and service provided to the customers. Therefore, during these 5 years, the company has increased its businesses by employing more quality agents, introducing new business channels with bank. In addition, the company has introduced many state-of-art technologies in order to improve the operation efficiency which includes workflow system, imaging system implementation, and the others. Due to these new systems introduction, staffs have to be retrained to adopt the new operation flow. But some of them are unwilling to change.
In order to formulate ideas and strategies to increased financial targets that fit the ambitions and reflect the confidence in the prosperous development of the Group, the company initiated change in its acquisition of Reliastar and Aetna Financial Services. According to (2000), Chairman of the Executive Board of ING Group, the acquisition of Reliastar and Aetna Financial Services gave ING Group its long-desired top 10 position in the US life insurance and wealth management market. This business strategy of combined operations of ING and Aetna made the company the leading foreign life insurance in Latin America and the second largest in Asia. The combined assets under management placed the company as one of the world’s ten largest active asset managers in accordance with the company’s strategic concepts of improved services to clients, consolidation, integration, operational excellence and mandatory synergy ().
To accomplish this, the organization maximized its new distribution channels, particularly direct and the Internet, to deliver life, annuities, retirement, reinsurance and mutual fund offerings. This will include working closely with ING Direct, ING's direct-to-consumer business, which was launched in the U.S. market and currently offers banking products via the Internet and telephone. Enhancements were made to maximize the productivity of traditional distribution channels, including the largest independent broker/dealer network in the US, as well as career and independent insurance agents ().
2.2 External Environment
Adding a new member in the organization or reconstructing an old company program are called smaller versions of change and are significantly different from that of change management. The scope of organizational change is much wider as compared to minor company changes. This may include changing the company’s mission, reforming business operations, application of new technologies, major group efforts, or adoption of new programs. Usually, the organization is encouraged on settling on change management due to external influences, usually termed as the environment (2004). Thus, change management can alternately be defined as the response of different business to changes brought about by environmental influences in which organizations have minimal or absolutely no control over.
With nearly 100,000 employees in more than 65 countries, ING Group is a global financial institution active in the field of insurance, banking and asset management. Cooperation between and among its Business Units is essential for integrating financial services which is the major concern of the company’s management in addressing the demands of its diverse target market around the world. The change in ING's management structure is organized in a way to promote co-operation between countries, regions and market segments. Due to their international nature, financial and banking activities are organized on a global basis. Other activities are organized through geographical regions under an equal number of Executive Centers. The change that the company acquired through the acquisition of Reliastar and Aetna Financial Services is in lieu of the objectives and vision of the business organization in the further internationalization and development of the company in the competitive global business setting, particularly in the United States.
The primary goal of private entities in deregulated markets is to provide maximum returns to shareholders. Such goals have led to supply shortages, price competition that forces weaker entrants out of the industry, high prices and anticompetitive behavior. Stakeholders are defined as the individuals or organizations which can either gain or lose from the success or failure of a system (2004).
3.1 Internal and External Stakeholder Relationships
The stakeholder analysis is an effective tool in strategic planning because the different perspectives of the stakeholders are taken into account. The strategic plan will then be more likely to achieve the business goals as conceived by the stakeholders, especially those with higher interests as well as higher influence in the changes that transpired within the mergers initiated by ING Life. The stakeholder analysis was first introduced by Freeman (2004) to remind management that it is important to evaluate the interests of the individuals or organizations who can influence or can be affected by the activities of the company.
The steps to stakeholder analysis are the following: identification of the stakeholders; prioritization of the stakeholders; understand the stakeholders’ perspectives and incorporate the stakeholders’ perspectives to the future plans of the company.
Table 3. 1. Stakeholder Analysis of ING Life Acquisition of Aetna and Reliastar
Interest in ING Life
As the Chairman of the Group, he wants the operations of ING Life to be successful in order to increase revenue and serve the economic and social interests and responsibilities of the corporation.
As the Managing Director, he wants ING Life to succeed because of the profits which will determine the position of the company in the international financing industry.
As the Deputy Chairman, he wants ING Life to succeed because of the profits which can be determined the position of the company in the international financing industry.
As members of the Board, the Directors of ING Life are highly interested in the operations of the company particularly in the promising achievements of the company as the leading private financing company worldwide.
Governments and Clients
The success of ING Life will contribute to the overall public concern of the government where the SUBs of the company are located since the business units directly cater to the needs of the local the clientele.
Their jobs and incentives depend on the success of the ING Life given that they are able to adapt to the changes within the company.
3.2 Legal Nature, Roles and Influences of Stakeholders
In one of the press releases of the company in Amsterdam, it was indicated that Aetna Inc. shareholders voted in favor of the acquisition at a special shareholder meeting in November 2000 wherein all required regulatory approvals have been received. The contribution of Aetna to the net profit of ING Group will be a net profit per share of approximately EUR 0.18. Furthermore, ING reported that its intensive planning for the integration of Aetna Financial Services and Aetna International and the ongoing integration of Reliastar has positioned ING Americas to deliver substantially increased profit and revenues in 2001. The combination of ING, ReliaStar and Aetna Financial Services in the United States allows ING to create new business lines and distribution channels, solidify a new management structure, and fund key priorities to build market share and enhance customer loyalty in 2001 and beyond
"The Aetna platform rounds out ING's asset accumulation and employee benefits businesses in the U.S. and provides the elements that are necessary to achieve our financial services strategy," said Ewald Kist, chairman Executive Board ING Group. "With Aetna and ReliaStar, we now have the products, scale and distribution we need to be a leader in the U.S. market. As well, the international businesses add new platforms in promising emerging markets and add scale to ING's existing markets. Based on life insurance premiums, ING will now be the top international insurer in Latin America and the number two international insurer in Asia."
The management has been very particular and focused regarding the changes that were proposed for the overall success of the business organization. The vision of the shareholders, the company leaders and other beneficiaries of the profit of the company were implemented. Since efficiency counts in every business organization and the changes that will exhaust the opportunities of the company should be immediately implemented for the eventual use of the profits incurred. The management, in order to provide satisfaction and greater benefits for the customers, implemented the strategic business plan in the shortest span of time possible. Since improved customer satisfaction most of the time result to increased profit in the business, changes for the betterment of the whole company was duly implemented.
3.3 Stakeholder Management Plan
The operationalization of the said business strategy by the ING Group was realized through the ownership of the Aetna and Reliastar. The company capitalized in the fusion of its brand and distribution success with that of its efficient and effective organization goal: 14.3 million clients, 200,000 points of distribution, 10,000 ING Advisors, 62% brand awareness, 9,200 employees, innovative and broad product range as headcount downs to 21% of 2,200 full time employees, 22% decrease in investment costs excluding ING investment management (350 million euros), elimination of 50+ legal entities, outsourcing of payroll systems and IT infrastructure and the integrated Reliastar, Aetna Insurance Financial Services and ING (2004).
Appropriate attention and investigation of promising growth engines to capture the benefits of the Group was given priority. These include state of the art technology which allows for competitive pricing, tangible value propositions for customers and operational expense to assets. Capital efficiency to create value for the benefit of the customers was conceptualized in the implementation of the company’s campaign entitled “Volume-to-Value-Changes”. The campaign was formulated in order to control costs and consequently maintain competitiveness and service quality, proper alignment of products and clients by prioritizing products and re-segmentation of the client base and finally, reassessment of the organization’s geographical presence (2004).
4. Organizational Structure
To understand why and how to change organizations, it is first necessary to understand their structures, management and behaviour.
4.1 Organizational Structure
ING Life offers its customers a comprehensive range of quality insurance products and services. The company's extensive portfolio of insurance products includes individual life, medical insurance and employee-benefits schemes is tailored to meet customers' needs throughout the different stages of their lives, covering them in every situation. Started in 1991, the ING Group is one of the first integrated financial service providers in the world, when Holland's largest insurer, Nationale-Nederlanden, merged with the country's third-largest bank, NMB PostBank Group ().
ING Group is active in the fields of banking, insurance and asset management in more than 50 countries. With its substantial worldwide experience and with more than 113,000 employees, ING Group provides a full range of integrated financial services to over 60 million customers globally, including individuals, families, small businesses, large corporations, institutions and governments. ING comprises a broad spectrum of prominent business that increasingly serves their clients under the ING Brand. ING's mission is to be a leading, global, client-focused, innovative and efficient provider of financial services through the distribution channels of the client's preference in markets where ING can create value ().
To maintain the confidence of its customers, shareholders, employees, and other stakeholders by acting with professionalism and integrity, ING Group attaches paramount importance to upholding its reputation by striving to upkeep five core values: integrity, entrepreneurship, professionalism, responsiveness, and teamwork. ING Life believes that customers are its number one priority, and its Customer Service Department is established to meet customers' needs at the front line. The department is constantly striving to provide efficient and personalized service for all its customers ().
4.2 Organizational Structure Diagram
The organizational structure of ING Group was restructured into a two-level management system with the Group at its head which has the direct management of Insurance Americas, Europe and Asia-Pacific, Wholesale Banking, Retail Banking and ING Direct. Management and executive committees were abolished to give way to simple, clear and transparent business operation management, client focused and business logic led business decisions, personal accountability and empowerment of every staff and employee as well as for short and direct reporting lines (2004).
Figure 4. 2. Organizational Structure of ING Life Group
5. Roles, Responsibilities and Relationships of Team Members
Today, it can be said that role of Human Resources Management in the organization has been expanded and improved as new ways to handle employees are discovered. Furthermore, with more and more new issues about employment and management of people arises, the tasks and responsibilities of an HR practitioner also increases. In addition, specific issues emerging from the peek of globalization and new information technologies determine the fate of human resource management. The HRM is a part of the organization assigned with the task of managing its workforce. A weak workforce simply means less productivity and progress, while a strong workforce means more. Obviously, the task of the HR practitioners is to make the workforce of the company strong by making sure that they are talented, skilled, and bounded by effective regulations and organization policies.
It cannot be put aside the fact that adaptation and gradual acceptance of the company’s transformation posted difficulty among the employees and staff whose responsibilities, duties and positions in the organization were braved. For those who were threatened by the changes, the transformation was, for them, immediate and unreasonable. The threats to their occupation in the company could be traced to their competence as quality work force of the said business organization. The new learning process that inevitably should take place within the company made the worries of lax employees to surface. But for the employees and staff who have the attitude of improving themselves with the changes that were being implemented in the organization, the transformations were faced as a challenge and opportunity for individual and personal evaluation improvement.
The eventual changes in the acquisition of Aetna and Reliastar by ING did not only post challenge to some of its employees because even the Information Technology Department of the business organization was also faced with some difficulty. According to Irene Heege, Senior Vice President, IT, ING US Financial Services (Atlanta) and Gary Scholten, CIO, Principal Finance Group (Des Moines) who addressed "Achieving the Single Customer View: A Reality Check," at Insurance & Technology's Customer Service Leadership Forum, although the potential benefits of achieving the proverbial "single customer view" are numerous—including reducing costs, improved cross-selling opportunities, and closer relationship with the customer—the business factors driving insurers to pursue this strategy are quite varied.
ING's 2000 acquisition of ReliaStar and Aetna Financial Services gave the Amsterdam-based company a significant US presence, with 14 million customers and the third-largest broker/dealer network in the US which meant many opportunities to cross-sell. However, taking advantage of that opportunity required finding a way to identify customers and their wants. "On the IT side we had tremendous redundancy," Heege explained. The technology environment contained more than 2,500 applications on 35 major platforms. Heege further said,
"We had multiple help desks, multiple data centers—a very disparate technology environment," she added. "We had data everywhere, but information nowhere. We were a knowledge-starved company trying to bring all this together. we really needed a road map and a framework that was going to tell us how to bring this diverse technology environment together. And we had to develop a strategy about how we were going to bring all these diverse Web sites and customer contact center systems and solutions together."
The strategy of consolidation, integration and optimization to progress and improve 14 contact centers were consolidated down to six and four data centers were reduced to one in the ING business operations ( 2003).
5.1 Project Team Roles and Relationships
Project management is a critical mechanism for capitalizing on entrepreneurial spirit and generating new products and services. A key element of project management is the creation of a temporary organization within the existing hierarchy of the firm. This organization relies upon formal and/or informal coordinating mechanisms to integrate the efforts of people drawn from different disciplines who work either full or part time on the project. Within the product development process, project management is commonly used to complete the technological development and test marketing phases (1984). Perhaps, due to the reason to specify what are the specific important factors that should be considered within those three variables, researchers have identified several success factors in project management. For instance, (1996) identified several critical success factors such as: project mission; project planning; project control; top management support; and customer involvement.
Project management is such a multifaceted responsibility that it requires people in this area to possess innumerable competencies ranging from personal skills, management proficiencies, technical expertise, and others. With this, the project management competency model concocted and grouped thirteen discrete competencies that a project management requires: leadership, customer relations, project planning, performance measurement, communicating, organizational effectiveness, team building, staff development, perspective, negotiating, risk management, problem solving, and decision making. This model was developed from the observable behaviors of successful, professional project managers in a variety of application areas. It provides a consistent, coherent structure for assessing the capabilities of current and prospective project managers ( 2001).
Comparative research on the relative effectiveness of different project approaches has resulted to relevant concepts that deal with the suitability of a number of structures of facilitating a project. The found out that the traditional functional organization is insufficient when the project is complex and calls for a considerable coordination and added development effort (1989). For this reason the approach only advised when the projects are limited and involves minor changes in existing products or services. On the contrary, project teams approach was realized to be effective in the completion of development projects (1981; 1987). However, the cost of the said approach is considered as a drawback in its extensive application. As such, project teams are most of the time recommended only for complex breakthrough projects with urgent deadlines and promising results that will benefit the business organization (1991).
As would be expected, the team plays a key role in the project's success or failure. The effectiveness of a team is, in turn, governed by the abilities of its project manager, the team's overall commitment and enthusiasm, and the synergy of the team as a whole. Of these, the role of the project manager is the most critical. He or she must be able to coordinate changing activities, resolve conflicts, and keep management informed and committed to the project -- while also keeping the project on track. The project team should also be relatively stable. Changing important team members at critical junctures in the schedule can have a devastating effect. On the other hand, a new team member, if briefed properly, can provide a fresh approach to many problems.
5.2 Project Leadership
Among the reported advantages of project management for development efforts by any firms include control, innovativeness, adaptation, and less disruption (1989). Rationally, project management plays an important role in the process of the project because it is the only way to organize the activity process within the project effectively. Managing projects put the manager into a difficult position because of the weight of responsibility associated with the task. Based on existing studies, the rate of project failure is high ( 1997). In this light, the success of a project would most likely depend, one way or another, on how the project manager addresses the lifecycle. It mainly includes the management of information, technology and people. Corporate structures are becoming more decentralized and diverse, so it is important not only to the success of the companies but also to their workers
According to (2002), credibility is the foundation of leadership. A leader should be credible for him to lead. In addition to this characteristic, a leader should possess honesty, competence, aspiration, and a forward-looking approach. In the business point of view, good leadership proves to be quite beneficial. Good leadership aids in effectively meeting job-related demands, in creating higher-performing teams, in fostering renewed loyalty and commitment, in increasing motivational level and in reducing absenteeism and turnover of employees. Unfortunately, this so-called effective leadership is not that easy to attain; effective management is not as easy as writing down notes. Good leadership entails a lot of hard work, dedication, and many other factors. This is the reason why there should be proper management flow within the organization. Since an organization’s culture is about how much members trust each other, about attitudes and emotions and their impact on team performance, organizations are defined best in these terms and in ideas like change, trust, cohesion, conformity and adaptability.
According to (1995), correctly applied and operational employee participation increases productivity as supported by empirical literature. Similarly, (2001) highlighted the importance of high work life quality through good supervision, working conditions, pay and benefits as well as challenging and rewarding jobs. As such, it is apparent that the employees need to avail of the opportunities of developing their skills further and enriching their knowledge through the training programs and exercises that their company invests on. As leaders and managers, managing the information that the company uses in its daily operations is crucial in any business organization. Information is the blood stream of every company on which every staff; employee and supervisor work on to be able to meet the demands of the clients and customers of the business.
6. Team Development and Conflict
As such, managers should be creative as well as discerning when it comes to analyzing and assessing the resources of the company. Developing and evaluating the efficiency of a particular operation strategy will be helpful in maintaining the overall competitiveness of the business organization. In effect, being able to contemplate the factors that will greatly influence the success of the business should be highly considered through objective investigation of the current conditions of the business environment particularly the industry to which the company belongs. It is impossible for a leader to get extraordinary achievement alone. Moreover, teamwork is needed in an unstable market and most especially in the business we are in. If you can’t depend on others, you will never become a leader because the better we are able to innovate if we feel we are more trusted. If a leader trusts his staff, his staff will trust him back.
6.1 Selection of Team Members
The connection shared by the members of the organization, through their collective goals and objectives, makes them recognize their role not only within the organization but also to their people they have to serve. The application of organizational culture makes them understand the needs of these people. They understand both near-term and long-term needs and expectations and apply various systematic processes for efficient service and exemplary performance. The united insights of all employees at all levels of the organization enable them to welcome new ideas. They become extremely active in generating new approaches and new ways of processing things. The team members are open to take on challenges and are keen to break new ground. Under organizational culture, both the leader and the followers are extremely involved in a constant joint effort to enhance the quality of both performance and service the organization provide.
Selection is the partner of recruitment in HR planning. It is a critical process for the organization because good selection decisions ensure the company of their financial investments in their employees (1993). The wrong selection process can lead to frustration, repetitive training, documentation, low morale and a waste of time and financial resources. Moreover, an effective selection also decreases the risk of lawsuits of either discriminatory or criminal in nature. Each organization has a selection system, wherein the applicants are subjected to both the basic criteria of an employee in the organization and the specific criteria for the job description. For selection procedures, interview was the most common technique used by organizations. However, so as to screen the applicants more effectively with fewer errors, multiple selection techniques had also been employed.
6.2 Organizational Conflict
To keep going despite set backs, is the hallmark of all successful leaders. A good leader must have a positive attitude, should be optimistic, has ideas, always sees a way out and will not give up easily. They take every mistake as a learning experience Strength of character and will are the moral qualities of a leader, the principles that motivate and control his functions to make the right choices. On the other hand, humility is necessary to define a leader’s ability and limitations especially and most importantly the correct measuring of other people’s worth and value.
Leadership comprises the aptitude and ability to inspire and influence the thinking, attitudes, and behavior of other people ( 1991; 1985; 1989;1985; 1988). Leadership is a process of social influence in which one person is able to enlist the aid and support of other individuals in the achievement of a common task (1997). Although this specification seems relatively simple, the reality of leadership is very complex. Intrapersonal factors such as ideas and emotions, interact with interpersonal processes (i.e., attraction, communication, influence) to have effects on a dynamic external environment. Each of these aspects brings complexity to the leadership process.
These constructs most of the time bring forth conflicts within the business organization especially when an influential corporate entity puts first personal interest beyond that of the wellness of the company and the people working in it. Large organizations are empowered with political influence particularly when their reach and economic decisions presents dramatic change not just in their internal environment but also to the industry they belong to. The mismanagement of corporate power and influence usually result to scandals that end a giant organization. As such, it is highly important to always have a heart in the overall direction of the firm.
As part of influential and powerful business organizations, leaders with political motivations and self-centered interests and intentions should exercise their power based on moral standards in order to protect the welfare of the company and the society as a whole. The empowerment brought about by the economic success of the organization should not be the root of its downfall. True test of leadership can be best tried when confronted with big responsibilities and societal issues. Good leaders should be discerning and disciplined in whatever takes they embrace most especially when such decisions are detrimental to the good of the people.
Perhaps the space between the new organization design and implementing it into actuality is the whole coverage of organization change and development. People are adaptive to change. However, certain skills must be present from the initiators of change so as to successfully implement their project. Thus, managers need to have the necessary abilities not only in detecting what needs to be changed but also how to introduce the change effectively.
Undeniably, the whole business management of ING Company was the winners of the change since the company is at present doing well in maintaining the profits they gained from the initiated change within the organization through the acquisition of the Aetna and Reliastar. The statistics of the Group has been improving for the last couple of years since the transformation. The customers also benefited from the change since it brought improvements in the service and relations of the organization with their clients. The efficiency brought by inevitable demands of change especially in the IT Department of the company resulted to increased customer satisfaction and better service of the organization. The other side of the coin is the people who were part of the organization who were not able to adapt and go in harmony with the changes that were initiated by the management.
The success of employing quality agents, structuring new and efficient business channels with banks in different parts of the world, utilization of state of the art technologies for improved workflow system highlights the beneficial and profitable developments incurred by ING in its acquisition of Aetna and Reliastar. The innovative and drive of the management of the company made it experience the achievement of being able to put to reality the vision of a business organization. The company will not be successful in its endeavor if it not for the contribution and willingness of the employees to be part of the transformation of the business organization. The company could have faced greater problems in its implementation of organizational and management changes if the employees became highly contradicting in the proposed transformation.
The employers, in their goal to improve and develop aggressive and competitive business organization, may exhaust the potential of their human resources for the benefit of the company relative to total work output. This will also promote the positive working relationship and good communication channeling among the personnel in the establishment whether between the supervisor and the subordinates or employee to peers and colleagues.
The employees, on the other hand, should avail of the opportunities of developing their skills further and enriching their knowledge through the training programs and exercises that their company invests on. This will ensure their competitiveness in the fast-paced and ever-changing description and scope of their work and may also sustain their personal desire of improving themselves as productive individuals. Minimum stress level could also be expected in the workplace atmosphere.
In the evident advantages of practicing workplace learning on the side of both the employers and employees, it is apparent that the business organization as a whole will in general gain from utilizing the said training and bonding practices. The smooth working business operations and transactions inside the company that resulted from the availed workplace learning activities will guarantee that the higher productivity level of the organization in general.
A considerable number of companies have developed into an essential part of the period of global competition, increasing development, improved business paradigms, and corporate reorganization. The continuing transformation from the traditional industrial framework with its hierarchical companies to a worldwide, knowledge-founded financial system and intelligent corporations, altering ideas regarding the social contract involving employers and employees, an progressively more adaptable pool of talent and a body of workforce, necessitates HR purposes to realign and relocate itself in the vicinity of these drivers.
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