When two become one: the cultural aspects of mergers : A case study of Fläkt Woods AB Sweden

by Hansson, Malin; Hansson, Matilda

Abstract (Summary)
This bachelor thesis aims to explain the area of how a merger can affect a corporate culture. In order to do this, the corporate culture needs to be explored to found a basis for the analysis of the merger effects. We have chosen to work with Fläkt Woodsas they took part of a merger in 2002 where the Swedish-British company was founded.The work was carried out with a qualitative approach, in the form of a case study. We performed six in depth interviews, with managers and managers’ assistants at Fläkt Woodssites in Enköping, Jönköping and Växjö.In order to uncover the paradigm, and thus understand the underlying assumptions of the culture, we used the Cultural Web. To further explain the effects of the merger, an application of the Results of Cultural Integration (RCI)-model was performed. To support the analysis we used theories on the cultural integration process as well as on how to support the integration process through three instruments.The results of our investigations of the cultural paradigm, which we hold as representative for the corporate culture, pointed toward an atmosphere which comprised positivism, democracy, focus on the future and safety.The merger affected the corporate culture by starting off an ongoing transformation process. This is visible as Växjö, Jönköping and Enköping are currently in different phases in the process. Växjö cooperate the most with the British unit situated in Colchester and thus experiences the culture as more unified than Enköping does where no interaction with England takes place. The site in Jönköping has reached an intermediate stage as they are partly clinging on to their own culture but at the same time, through the increasing interaction with Woods, are exposed to new aspects of the corporate culture.We believe that the corporate culture of Fläkt Woodswill continually change until the sites are more in tune with each other. The transformation towards a new Fläkt Woodsculture will not stop until Enköping and Jönköping have reached the stage that Växjö is currently in, and thus start to embrace the new culture to a larger extent. However, as the owner of Fläkt Woods, Compass Holdings, has not put any pressure on the top management to consciously work with the issues of corporate culture, the integration process will take longer than if the matter was of higher priority.
Bibliographical Information:


School:Högskolan i Jönköping

School Location:Sweden

Source Type:Master's Thesis

Keywords:corporate culture mergers integration process fläkt woods


Date of Publication:03/02/2007

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