Implementation Plan For Merger Of Eagles Nest And Lapland Riekonlinna Hotels

Impact on Human resource department

This report has developed an implementation plan for merger of two hotels. Eagles Nest wants to tap into the global growth opportunities in northern Europe. A joint venture or a merger is one of the most effective strategies for entering into the foreign market.  The company has aimed to merge with Lapland Riekonlinna hotel in Finland and as per the cost benefit analysis it is one of the most valuable options for the company for entering into foreign market.  The occupancy of Lapland Riekonlinna hotel is one of the highest in the region as per the given statistics. The break even analysis suggest that the payback period for the investment plan is 5 years and 3 months which means that the project is quite viable. However, merger of two industry giants will affect the internal departments of each of the companies as they need to incorporate changes in order to develop organization structure by amalgamating the characteristics of both the hotels. In this scenario, the marketing department has been considered and the implementation plan has been developed in respect to the human resource department.

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The merger of both the hotels will have great impact on the workforce and the organizational culture. Human resource has one of the key roles to play during the execution of the project. The human resource plays a crucial role in creating synergy in the merged workforce and develops effective benefit and compensation policies for the new employees. In terms of the project, the main role of the human resource department is to provide skilled workforce for completing different aspect of the project. The major challenges that the human resource department will face are as follows:

  • Dealing with the concerns of the employees during the merger
  • Providing adequate resource for successful project completion
  • Changing the organizational structure and culture
  • Develop new employee benefit and compensation schemes

Task Name

Duration

Start

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Finish

Implementation plan

206 days

Tue 04-12-18

Tue 17-09-19

1.0 Project initiation

58 days

Tue 04-12-18

Thu 21-02-19

1.1 Develop the new HR team

10 days

Tue 04-12-18

Mon 17-12-18

1.2 Examine both the organizations to develop suitable HR strategies

30 days

Tue 18-12-18

Mon 28-01-19

1.3 Stakeholders meeting

5 days

Tue 29-01-19

Mon 04-02-19

1.4 Make changes if needed

5 days

Tue 05-02-19

Mon 11-02-19

1.5 Documentation of the plan

7 days

Tue 12-02-19

Wed 20-02-19

1.6 Deploy plan

1 day

Thu 21-02-19

Thu 21-02-19

1.7 Milestone 1: Project initiated

0 days

Thu 21-02-19

Thu 21-02-19

2.0 New Organizational structure development

69 days

Fri 22-02-19

Wed 29-05-19

2.1 Incorporating core structure from both the companies

25 days

Fri 22-02-19

Thu 28-03-19

2.2 Developing the new structure

30 days

Fri 29-03-19

Thu 09-05-19

2.3 Stakeholder review

7 days

Fri 10-05-19

Mon 20-05-19

2.4 Make changes if necessary

7 days

Tue 21-05-19

Wed 29-05-19

2.5 Milestone 2: New organizational structure developed

0 days

Wed 29-05-19

Wed 29-05-19

3.0 Human resource strategies

44 days

Thu 30-05-19

Tue 30-07-19

3.1 Developing new employee benefit policies

44 days

Thu 30-05-19

Tue 30-07-19

3.1.1 Examine the employee benefit policies for both the companies

7 days

Thu 30-05-19

Fri 07-06-19

3.1.2 Amalgamate and develop new policies

15 days

Mon 10-06-19

Fri 28-06-19

3.1.3 Stakeholder review

12 days

Mon 01-07-19

Tue 16-07-19

3.1.4 Finalise and document the strategy

10 days

Wed 17-07-19

Tue 30-07-19

3.2 Develop effective resource allocation strategies

20 days

Thu 30-05-19

Wed 26-06-19

3.2.1 Examine the deadline of the project and the resource needs of each department

5 days

Thu 30-05-19

Wed 05-06-19

3.2.2 Stakeholder approval

10 days

Thu 06-06-19

Wed 19-06-19

3.2.3 resource allocation

5 days

Thu 20-06-19

Wed 26-06-19

3.3Develop online HR information System

10 days

Thu 27-06-19

Wed 10-07-19

3.4 Stakeholder response

7 days

Thu 11-07-19

Fri 19-07-19

3.5 Make changes if necessary

3 days

Mon 22-07-19

Wed 24-07-19

3.6 Milestone 3: Human resource strategies developed

0 days

Wed 24-07-19

Wed 24-07-19

4.0 Human resource plan evaluation

39 days

Thu 25-07-19

Tue 17-09-19

4.1 Implement the activities

7 days

Thu 25-07-19

Fri 02-08-19

4.2 Check for responses from employees

10 days

Mon 05-08-19

Fri 16-08-19

4.3 Evaluate the drawbacks of the plan

7 days

Mon 19-08-19

Tue 27-08-19

4.4 Make changes

5 days

Wed 28-08-19

Tue 03-09-19

4.5 Implement the changes

10 days

Wed 04-09-19

Tue 17-09-19

4.6 Milestone 4: Marketing plan evaluated

0 days

Tue 17-09-19

Tue 17-09-19

Table 1: Time plan

(Source: As created by author)

The links and dependencies are based on the resource and the workforce required for successful completion of the project.  The below mentioned resources play a crucial role in each of the stages of the project.

Resource Name

Max. Units

Std. Rate

Project Board

100%

$250.00/hr

Project Manager

100%

$150.00/hr

Human resource Manager

100%

$120.00/hr

Research analyst

100%

$100.00/hr

Web Designer

100%

$75.00/hr

Human resource team

500%

$100.00/hr

The project milestone consists of tasks that have zero time allocated to them but signifies completion of an important phase in the project (Harrison and Lock 2017). Project management also facilitates in identifying the effective progress of the report when the task familiarity is low. The milestone in the current project are as follows:

Task Name

Duration

Start

Finish

Implementation plan

206 days

Tue 04-12-18

Tue 17-09-19

1.7 Milestone 1: Project initiated

0 days

Thu 21-02-19

Thu 21-02-19

2.5 Milestone 2: New organizational structure developed

0 days

Wed 29-05-19

Wed 29-05-19

3.6 Milestone 3: Human resource strategies developed

0 days

Wed 24-07-19

Wed 24-07-19

4.6 Milestone 4: Marketing plan evaluated

0 days

Tue 17-09-19

Tue 17-09-19

Table 2: Milestone

(Source: As created by author)

Type of risk

Risk Description

Probability

Impact

Risk reduction Strategy

Contingency Plan

High

Medium

Low

Performance

Cost

Time

Internal

Delay in project communication

Yes

Yes

Communicating with other departments and stakeholders at regular intervals

Communication plan

Internal

Scope creep

Yes

Yes

Yes

Yes

Evaluate the project activities at regular intervals

Keep buffer time at all stages to accommodate any change.

Table 3: Risk plan

(Source: Hopkinson 2017)

The table below represents the cost of resources in the project and shows the cost incurred by the company on the below mentioned resources (Sousa and Carvalho 2018).   The table describes the total working time for the project members throughout the project along with the total cost.

Task Name

Resource Names

Cost

Implementation plan

$446,960.00

1.0 Project initiation

$102,800.00

1.1 Develop the new HR team

Human resource Manager, Project Manager

$21,600.00

1.2 Examine both the organizations to develop suitable HR strategies

Human resource Manager, Human resource team

$52,800.00

1.3 Stakeholders meeting

Project Board ,Project Manager

$16,000.00

1.4 Make changes if needed

Project Manager

$6,000.00

1.5 Documentation of the plan

Human resource team

$5,600.00

1.6 Deploy plan

Human resource team

$800.00

1.7 Milestone 1: Project initiated

$0.00

2.0 New Organizational structure development

$124,800.00

2.1 Incorporating core structure from both the companies

Human resource Manager, Human resource team

$44,000.00

2.2 Developing the new structure

Human resource Manager, Research analyst

$52,800.00

2.3 Stakeholder review

Project Board ,Project Manager

$22,400.00

2.4 Make changes if necessary

Human resource team

$5,600.00

2.5 Milestone 2: New organizational structure developed

$0.00

3.0 Human resource strategies

$155,120.00

3.1 Developing new employee benefit policies

$97,120.00

3.1.1 Examine the employee benefit policies for both the companies

Human resource team

$5,600.00

3.1.2 Amalgamate and develop new policies

Human resource team

$12,000.00

3.1.3 Stakeholder review

Human resource Manager, Project Board ,Project Manager

$49,920.00

3.1.4 Finalise and document the strategy

Human resource team ,Human resource Manager, Project Manager

$29,600.00

3.2 Develop effective resource allocation strategies

$35,600.00

3.2.1 Examine the deadline of the project and the resource needs of each department

Human resource Manager, Project Manager

$10,800.00

3.2.2 Stakeholder approval

Project Board

$20,000.00

3.2.3 resource allocation

Human resource Manager

$4,800.00

3.3Develop online HR information System

Web Designer

$6,000.00

3.4 Stakeholder response

Project Board

$14,000.00

3.5 Make changes if necessary

Human resource team

$2,400.00

3.6 Milestone 3: Human resource strategies developed

$0.00

4.0 Human resource plan evaluation

$64,240.00

4.1 Implement the activities

Human resource Manager, Project Manager

$15,120.00

4.2 Check for responses from employees

Human resource team

$8,000.00

4.3 Evaluate the drawbacks of the plan

Human resource Manager, Project Manager, Research analyst

$20,720.00

4.4 Make changes

Human resource Manager, Project Manager

$10,800.00

4.5 Implement the changes

Human resource Manager

$9,600.00

4.6 Milestone 4: Marketing plan evaluated

$0.00

Table 4: Resource Cost

(Source: As created by author)

References 

Conforto, E.C. and Amaral, D.C., 2016. Agile project management and stage-gate model—A hybrid framework for technology-based companies. Journal of Engineering and Technology Management, 40, pp.1-14.

Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach. Routledge.

Hopkinson, M., 2017. The project risk maturity model: Measuring and improving risk management capability. Routledge.

Kerzner, H. and Kerzner, H.R., 2017. Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons.

Sousa, P. and Carvalho, M., 2018, July. Dynamic Organization’s Representation. Linking Project Management with Enterprise Architecture. In 2018 IEEE 20th Conference on Business Informatics (CBI) (Vol. 2, pp. 170-174). IEEE.

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