• Implications of job satisfaction shifts with different merger categories: Study of mergers & acquisitions in Georgian financial market

      Pyke, Chris; Gabunia, Valerian (University of Chester, 2009-12)
      This paper provides an important finding for the managers who believe that employee job satisfaction is a vital factor for the organisational health. Findings of this paper are especially useful for Georgian managers who are involved in M&A process and want to identify a crucial motivation determinant that shapes and influences job satisfaction. This research examines the theory developed by Price Pritchett, Donald Robinson and Russell Clarkson stating that adversarial merger types tend to decrease employee job satisfaction and undermine economical benefit of particular M&A. Theory divides all mergers in four basic categories: Rescues, Collaborations, Contested situations and Raids according to their degree of collaboration. Authors illustrate M&A case studies demonstrating success of collaborative mergers and failure of adversarial ones. Researcher tests precision of above mentioned theory in three Georgian post merger companies. Based on the interviews with the managers who have personally witnessed merger process of companies, researcher allocates merger deal to above mentioned four M&A categories. Then researcher measures shifts between employee pre and post merger job satisfaction using the satisfaction determinants proposed by famous satisfaction measurement instrument JDI (Job descriptive index) developed by Smith, Kendall, and Hulin. Putting together merger categories and job satisfaction shifts in three specific Georgian companies' researcher examines relationship between cooperativeness of mergers and shifts in employee job satisfaction.