Topic > Honhruck Case Study - 718

Organizational culture is critical in project management and any merger process, as it will determine the parameters by which an organization behaves. In the case of Honicker and its merger process, organizational culture has enormous importance, as it governs how these organizations regularly operate and how they interact with their customers and stakeholders. Schein (2010) stated: “culture is an abstraction”. It can therefore be argued that, even when companies work in the same market, the way they actually operate could (very likely) be different. In any merger process organizational culture plays a vital role as it could mean the success or complete failure of the process. Honicker appears to be a mature organization in project management; however, the other four companies, coupled with their PM immaturity, possessed cultures that showed little commitment to Honicker's goals (which after the merger were also their goals), a different approach to teamwork, and a selfish commitment to the “common” effort. One of the main reasons why this situation occurred was the different culture that characterized each organization. If these cultural issues continue, it is very likely that the merger will end up being a failure, as the acquired organizations will not be able to operate in accordance with Honicker's standards and standards.