Strategic Role Of HR In Mergers & Acquisitions - Myassignmenthelp

Executive Summary In a merger acquisition, role of an HR has emerged as a very critical function. At each stage of merger and acquisition process, HR plays a strategic role. The importance of role of HR part in integration of the merged companies should not be taken lightly and should be handled very carefully and with due planning. At pre acquisition stage, due diligence should be taken before the start of the process and HR must carve out its role in this due diligence stage. Cultural compatibility should also be considered before taking any decision regarding integration of the two companies. HR should analyze the cultural similarities and differences between the two companies. Communication also plays an important role in the integration process. If HR does not give due diligence while deciding the strategy for integration of the merged companies then it might sabotage the entire merger and might result in failure of the merger. Getting Tired of Never-Ending Assignments? Hire an Expert from MyAssignmenthelp and Get the Necessary Assignment Help at a Reasonable Rate. Title Page The report focuses on the strategic role played by HR in a merger and acquisition. In past it has been seen that role of HR has not been given due importance while taking decisions regarding integration of merged companies. This report highlights the strategic role that HR should play in framing strategy for integration of the merged companies. Introduction In the new global economy, as the rules of business are changing, the rate of growth of Merger and Acquisition has acquired a new pace. According to Mergerstat.com for year-to-date of 2002, there have been 4,363 mergers and acquisitions worth over $291.7 billion. The industry breakdown of the top five is as follows (Mergerstat, 2002) Internet 659 deals worth $ 26.06 billion; Healthcare 319 deals worth $75.25 billion; Telecommunications 187 deals worth $11.53 billion; Banking 146 deals worth $11.04 billion; and Semiconductors 47 deals worth $2.4 billion. However the growth in mergers and acquisitions and activity around the world, the volume of capital at stake, and the frequency of merger and acquisitions stand in stand in sharp contrast to the failure rate which is being observed. Literature Review According to study done by KPMG international on mergers and acquisition found that around 75 percent to 83 percent of the mergers fail (PR Newswire, 1999). Here we mean failure as lowered productivity, labour unrest, higher absenteeism, and the l oss of shareholder value. And in some of the cases, it could also be inferred as the well publicized dissolution of combination of the above mentioned factors. As evident from above, human resources could be easily identified as one of the potential factor in MA failure (A Shin, 2004) (Sthal Mendenhall, 2004) (Weber, Shenkar, Raveh, 1996).With the focus towards integration of human capital during merger and acquisitions, human resource (HR) managers are coming more into the picture, and organisations expect them to play a more strategic role, especially so in the case of extensive organisational changes (Bjorkman Soderberg, 2003). Today this requirement becomes more important in the terms that the past decade has been characterized by t he enormous growth in MA. The role of HR becomes more and more complex, as HR needs to integrate its own practices and also provide for two more roles i.e. a strategic role for companywide integration and a support role for business unit transaction (Galpin Herndon, 2000) Every merger and acquisition can be classified into different categories and the issues which become relevant to it are quite dependent on the organisations which are going through the process, and their synergic dependence. According to one of the studies conducted by Mercer Consulting group, some of the key issues which came out to relevance have been explained in the Figure 1 (Harrison). This study analyzed the process of integration on the basis of degree of difficulty and level of importance. Based on this study, the key point which emerges is that addressing the key employee issues become very important, especially so when the mergers are quite large and are strategically very important for maintaining the competitive advantage. A look at the above figure would definitely show the importance and the onus which lies on the HR Department to take the merger and acquisition to a next level of completion. Discussion Every merger and acquisition leads to the integration of the acquired firm to the culture of the new firm, which basically could be divided in the following four stages: Pre Acquisition Foundation Building Rapid Integration Assimilation Every stage of the integration process is the new way forward for HR department to make the acquisition successful. We would take each stage individually and relate it with the strategy to be followed by the HR department. Pre Acquisition In this stage, HR needs to take due diligence before starting of the activity. Beginning at the start of the process, HR must carve out its role in the due diligence process. The concept to be understood is that due diligence is much more than a financial tool. Its a tool for assessing the value of human assets, which are not shown on balance sheet, so as to determine the true value of the deal and its likelihood of the success. First step which needs to be taken is to identify the key peoples and to take immediate steps to keep them engaged with the organisation, even after the deal has been finalized. This means that each business unit needs to be understood, be it the field organisation of stores or be it the process for sales people. Its very important to keep in mind the importance of the field, which is often overlooked during the integration process. Each key individual should be assessed against a set of clearly defined competencies, which would be based on the needs of the new group. The key areas which emerge for due diligence by HR could be as follows: Culture Employee demographics and Competency Analysis (Based on requirements of new group) Key Talent Analysis Compensation and Benefit structure to be adopted, its measure with the existing company and how does it aligns with the parent company Any legal issues such union contracts, pending employee litigation or workers compensation etc. Methodology Apart from the above mentioned areas, its also important to identify and determine the roles needed and identifying the best people who are most suited for them. Most of the times, pivotal people in the organisation, get lost because staffing decisions are made without any plan, without giving thought to equitable process of assessment, and without taking the future needs of business into consideration. Culture Compatibility An important aspect of the pre acquisition strategy is to understand the similarities and differences between the two companies at the outset, so as to compatibility could be determined at the initial stage itself, and relevant decision regarding merger and acquisition could be taken.A 2006 white paper from the Economist Intelligence Unit revealed that 67 percent of survey respondents pointed to cultural integration as both the most important people issue and the most critical success factor in an MA deal (Bundy Hukins, 2009). More recently, a report from the Economist Intelligence Unit titled MA Beyond Borders: Opportunities and Risk, in conjunction with Mercer, found that organisational culture differences and human capital integration issues ranked as the two most significant challenges faced by respondents in recent transactions. HR could play vital role in this aspect, as its the only function which is equipped enough for determining the compatibility. Some of the key areas whi ch need to be focused during this stage could be as follows: History of the company, its reputation in industry, and its product and services Where does the authority lies within the company, is it bureaucratic or freewheeling etc Emotional element involved i.e. what does the employees think about company, management and future? What employee behaviors are the norm and what values and beliefs are behind those norms? Its imperative to identify the cultural areas of dissonance, so that people can dispel misconceptions and begin creating a culture thats right for the new organisation. If this step is not taken at the onset of the process itself, then its quite possible that it could become major point of conflict at the later stage. Integration Planning Any merger and acquisition would not be able to reach to its goal, unless and until a clear plan and timetable is not assigned to it. The plan needs to be broken down by the different functions: What needs to be done? Whos going to do it? When it will be complete? This means that integration efforts need to be undertaken by a full time dedicated team. There should be fixation of responsibility on an integration project manager, who would be free from all the routine responsibilities. The integration project manager would be requiring a special set of competencies such as program management, broad experience in parent company business, and specific functional expertise relevant to the new business. Hence the primary responsibilities which need to be taken care by HR during this phase would be to: Developing the strategies for retaining people Examining compensation and benefit programs Identifying the barriers to a merged culture Creating and implementing a plan for establishing the communication with the newly merged organisation Findings Based on the above responsibilities, following strategy needs to be adopted by the HR Team during the whole process: The HR team that is in charge of the culture integration must start by building a clear view of the context of change and the rationale behind the MA. It must ensure that all parties have a full and comprehensive understanding of the context of the deal and the outcomes that need to be achieved. Next they need to determine the degree of integration in two parts. First, translate the understanding of the deal in terms of the target operational integration. Second, determine the extent of cultural integration required to achieve that operational integration. Then clarify the specific behaviors required to run the combined business and include a behavioral assessment of each organization and an assessment of their combined future state. Follow this by proposing the culture change hypothesis specifically, what changes in behaviors must take place to successfully run the post-deal business. Next identify the drivers needed to influence those behaviors, design the drivers (initiatives) and then implement those drivers through an effective change management process. Finally set up an appropriate measurement system and reinforce the cultural changes. Communication According to a recent Mercer Transatlantic Study, 75 percent of executives surveyed said that communicating with employees and harmonizing corporate culture were the most important factors for post merger integration. Business leaders recognize that they often fall short in this area (Peterson Voules, 2007). The need to communicate is not only required in the later stages, but must be integrated in the whole process from the outset itself. Most of the times, communication efforts from the companies are fragmented with different information and messages going out to investors, employees, managers and customers. Hence, it becomes must that message to all stakeholders must be well planned and consistent in its approach. One of the communication strategies which could be used during the whole process has been provided by the Mercer Consulting Group, which has been given below: During the whole process of communication, the objective of communication should be not only to inform, but also should be to engage the employees hearts and minds. By envisaging the clear vision of the future and gaining commitment to it, the new company would be able to build the loyalty which is critical for the company. Synergies Usually with the help of mergers and acquisitions, companies try to find two synergies: Growth In this phase, role of HR is to identify the key human resources in the acquired company, setting up retention strategies to retain the critical talent, and to create the development plans for the people to prepare them to achieve the required corporate growth. Other issues which would need consideration would be reward and recognition programs, team development, and integration of compensation and benefit programs, so as to ensure the competitiveness to attract and retain the desirable employee. Economies of Scale Most of the times, it has been linked to firing of people. However, for us, achieving synergy, analyses must be done to understand that what the end-game organisation would look like and which positions are truly needed. Once this stage is completed, assessments must be done to decide who would remain and who would leave the organisation. Conclusion Recommendations With the increase in the mergers and acquisitions with improving of world economy, a whole plethora of opportunity lies before HR function to get properly involved in the activity and earn its long terms dues back from the companies. And to attain it, HR function always need to be proactive, and should take initiative on its own to attain this result.

The Blind Man Essay Example For Students

The Blind Man Essay It will always be there as a pleasure and a burden. Society puts labels on everything as good or bad, rich or poor, normal or aberrant. Although some of these stamps are accurate, most of them are misconceptions. Shelley simply makes this known to the reader, so that they can see the error of their ways. Society is also very ignorant, as can be seen later on in the book, when they kill Justine because she is the only person that could have possibly have done such an evil act. They again wrongly label Justine as the killer. They do not look into the facts but instead find a quick and easy answer to the problem. This again shows the ignorance of society in this novel. The faults with Mary Shelleys society are again shown up by the one person who is not repulsed by the vile appearance of the monster a blind man. If society is so ignorant that not even a single person could look at the monster without taking violent action or running away in fright, Shelley is surely trying to tell us something that society is ignorant and there is nothing that can be done about it. We will write a custom essay on The Blind Man specifically for you for only $16.38 $13.9/page Order now The old man is in the house the monster tries to find shelter in, and when at last he thinks he has found it, he has barely had time to make a conversation with the man before his children enter the cottage and start driving the monster away with a stick. The daughter is scared and flees the cottage, and it is the son who attacks the monster. At this point in the book, the monster has done nothing to deserve the title monster, yet he was given no name for him to be called otherwise. This is very inhumane, as people resorted to simply calling the monster, it. There is another form of nature, though, which also plays a large part in this novel, and that is the power of the natural world. Nature is presented as possessing an immense curative power; the beauty of the natural world heals Victor when he is too miserable to find solace anywhere else. Nature is very significant in this book, as large parts of it are devoted to describing the surrounding scenery and natural events, even when they are not beautiful the thunder burst at once with frightful loudness from various quarters of the heavens. Frankenstein takes pleasure in being close to nature, as you can see from the quote, as he finds even the most destructive of natures powers amazing, and thinks they are from heaven. The whole book obviously revolves around the monster, and he himself is a product of nature. Not only is any living thing automatically part of nature (and it is true to say that Frankensteins monster has been given a life), but also if it werent for nature he would never have been created in the first place. It is things like these which make us realise that even without mentioning nature, it still plays an essential part in the book. The flash of lightning from Victors childhood sparked off an immense compulsion to explore nature and science. From that point in his life he had a great yearning for knowledge and started reading books such as Paradise Lost, as well as books about the works of great scientists like Cornelius Agrippa, Albertus Magnus and Paracelsus. Here were men who had penetrated deeper and knew more. I took their word for all that they averred, and I became their disciple.

Blassingame WPA Sample Essay

Blassingame WPA Sample EssayOne of the requirements to get into Stanford is to write a Blassingame WPA sample essay. This course, which focuses on wireless local area networks, covers a wide range of topics and understanding of topics is an important element of the course.Most students have to write at least one WPA sample essay. WPA stands for wireless local area network.It is a wireless network that is created using the Internet. Some of the other networks can be used for business purposes or for personal purposes. For instance, in a business situation, your work computer might be connected to a network created by another business.There are many differences between the WPA network and a network created in a personal situation. However, if you have ever connected to the Internet in a personal situation, such as connecting to a friend's computer, then you have a basic understanding of WPA. You probably also have used the Internet on your own computer and looked for online locations t hat you can use for you to connect to.A good example of WPA in action would be when you find yourself using a wireless card to connect to a wireless hotspot. The hotspot would be made by a wireless company that has created the wireless hotspot and put it in an area where you can connect to the Internet. Most people are familiar with the concept of this scenario; it is just not the same as what you are trying to do if you are studying for a WPA exam.A study guide will need to include information about how to properly complete a WPA exam. You should understand how to setup a wired connection and to connect to an access point. Without having a working knowledge of these concepts, you will not be able to properly sit for theWPA exam.Another important component of the Blassingame WPA course is how to create a secure connection. You should understand how to set up a personal or network password and be able to set up a firewall to protect your personal computer. In addition, you will also need to know how to access a database that has the necessary information for the test.By understanding the security aspects of WPA, you will be able to take the WPA course successfully. You must also understand that the information that is provided in the written sample essays has been reviewed by someone who knows a lot about wireless networks. The actual questions and writing samples that you are asked to read have been tested and examined by students who know what they are doing when it comes to WPA.

The Auditor Must Have Adequate Technical Training And Proficiency To Perform Accounting Essay Essays

The Auditor Must Have Adequate Technical Training And Proficiency To Perform Accounting Essay Essays The Auditor Must Have Adequate Technical Training And Proficiency To Perform Accounting Essay Essay The Auditor Must Have Adequate Technical Training And Proficiency To Perform Accounting Essay Essay I chose Section 200 General Standards Accounting Principles, better known as Generally Accepted Auditing Standards ( GAAS ) . They were developed by the AICPA in 1947 and have undergone minor alterations since so. ( 4 ) These are sets of regulations and guidelines promulgated by the AICPA s Auditing Standards Board. ( 1 ) Its auditing criterions place necessary making and features of hearers and steer the behavior of the audit scrutiny. [ ( 2 ) p.39 ] Besides, they are used by hearers when carry oning audits on companies fundss, guaranting the truth, consistence and verifiability of hearers actions and studies. ( 3 ) The intent is to run into the aims of an audit scrutiny, which have been identified as: to obtain sensible confidence about whether the fiscal statements as a whole are free of material misstatement, whether due to fraud or mistake, thereby enabling hearers to show an sentiment on whether the fiscal statement are prepared, in all stuff respects, in conformity with an applicable fiscal coverage model ; and to describe on the fiscal statements, and communicate as required by GAAS, in conformity with the hearer s findings. [ ( 2 ) . p.39 ] II. Significance of GAAS for comptrollers Its significance for comptrollers consists of the follows: The hearer must hold equal proficient preparation and proficiency to execute the audit. The hearer must keep independency in mental attitude in all affairs related to the audit. The hearer must exert due professional attention during the public presentation of the audit and the readying of the study. ( 2 ) pag. 40 The hearer must adequately be after the work and must decently oversee any helpers. The hearer must obtain a sufficient apprehension of the entity and its environment, including its internal control, to measure the hazard of material misstatement of the fiscal statements whether due to error or fraud, and to plan the nature, timing, and extent of farther audit processs. The hearer must obtain sufficient appropriate audit grounds by executing audit processs to afford a sensible footing for an sentiment sing the fiscal statements under audit. ( 6 ) The hearers must carry on a GAAS audit to find whether the company s fiscal statement are prepared harmonizing to GAAP. ( 2 ) P 39 III. Situations in an accounting pattern that would do the contents of GAAS peculiarly relevant The CPAs employ GAAS in fixing for and executing audits of a client s fiscal statements. The guidelines include mentions to the hearer s makings ( general criterions ) , audit field work ( statements of field work ) , and describing the audit consequences ( criterions of coverage ) . The wide criterions are backed by elaborate interpretive literature. An hearer unable to show an sentiment on the fiscal statements must give grounds. A CPA who does non carry on an scrutiny in conformity with GAAS can be held in misdemeanor of the AICPA s Code of Professional Ethics and face legal action by affected parties. ( 7 ) The GAAS serves as a fiscal tool whereby the person, company or authorities bureaus gather and make accurate studies for fixing revenue enhancement signifiers, using for concern loans, adhering insurance, describing to the board of managers or the general populace. On the single degree, this procedure is simplified unless the individual has a considerable sum of varied assets. For concern proprietors holding semi-annual digest or reviewed statements enables them to turn out to Bankss and insurance companies that they are financially feasible. Government bureaus are required by jurisprudence to utilize this criterion scrutinizing pattern to demo the public how revenue enhancement dollars are being utilized. ( 7 ) When holding fiscal statements compiled for a reviewed statement for the intents of using for a loan, adhering insurance or other insurance, it is recommended that a company usage an outside CPA because an internal comptroller may miss the objectiveness and independency required to follow with GAAS. GAAS serves as a agency by which we can be protected from fraud by advancing truth in fiscal statements. These guidelines when adhered to give concerns, Bankss, authorities bureaus and persons the ability to do sound determinations. IV. List of five beginnings that I intend to consul in researching 1. AICPA web site 2. Duska, Ronald F. , A ; Duska, Brenda Shay ( 2003 ) . Accounting Ethical motives. Wiley-Blackwell 3. Timothy J. Louwers. 4 erectile dysfunction. Auditing A ; Assurance Services 4. NEC library, 5. Accounting text editions 6. Online beginnings such as ( 1 ) hypertext transfer protocol: //www.answers.com/topic/generally-accepted-auditing-standards ( 2 ) Timothy J. Louwers. 4 erectile dysfunction. Auditing A ; Assurance Services ( 3 ) hypertext transfer protocol: //www.answers.com/topic/generally-accepted-auditing-standards # ixzz1DCl4Ps00 ( 4 ) hypertext transfer protocol: //en.wikipedia.org/wiki/Generally_Accepted_Auditing_Standards gt ; Library gt ; Business A ; Finance gt ; Accounting Dictionary ( 5 ) hypertext transfer protocol: //www.ehow.com/about_4759920_what-generally-accepted-auditing-standards.html # ixzz1DDS4WlLw ( 6 ) hypertext transfer protocol: //en.wikipedia.org/wiki/Generally_Accepted_Auditing_Standards ( 7 ) hypertext transfer protocol: //www.answers.com/topic/generally-accepted-auditing-standards ( 8 ) hypertext transfer protocol: //www.ehow.com/about_4759920_what-generally-accepted-auditing-standards.html

How to Get Learning Accommodations at School

How to Get Learning Accommodations at School Some students struggle in school and need more support than is typically found in the traditional classroom, but that extra support isnt always easy to come by. For college students, typically the institution will require that the student provide documentation and request accommodations in a timely manner, and most will have the resources available to meet the students needs. However, the same isnt always true at secondary schools or middle/elementary schools. For schools who dont have robust academic support programs, students may be  forced into special education classrooms or they may be required to stumble along without accommodations in the traditional classroom.   However, there are options for students struggling in school, and one of those options is a private school. Unlike public schools, parochial and private schools do not have to grant students with learning disabilities accommodations. This ruling falls under section 504 of the Rehabilitation Act  and is a direct result of the fact that private schools dont receive public funding. These private schools also have a pass when it comes to the need to follow the regulations of the Individuals with Disabilities Act (IDEA), which states that public schools must grant students with disabilities a free appropriate public education. In addition, unlike public schools, private schools do not offer students with disabilities IEPs, or Individual Educational Plans. Private Schools: Varying Resources and Accommodations Because they do not have to adhere to these federal laws governing the education of students with disabilities, private schools vary in the support they grant to students with learning and other disabilities. While years ago, private schools often said that they did not accept students with learning issues, today, most schools accept students who have diagnosed learning issues, such as dyslexia and ADHD, and other issues such as autistic spectrum disorder,  recognizing that these issues are actually common, even among very bright students. There are even a number of private schools who cater to the needs of students with learning differences. Some private schools for learning differences were founded specifically for students whose learning challenges  dont allow them to enter the mainstream classroom. The goal is often to support students and teach them to understand their issues and develop coping mechanisms that allow them to enter the mainstream classroom, but some students remain in these specialized schools for their entire high school careers.   Dedicated Learning Specialists In addition, many private schools have psychologists and learning specialists on staff who can help students with learning issues organize their work and refine their study skills.  As such, a number of mainstream private schools even offer academic support program, ranging from basic tutoring to more comprehensive academic support curriculums that provide students with a personal educational expert to help them better learn how they learn and understand the challenges they have. While tutoring is common, some schools go beyond that and offer organizational structure, time management skill development, study tips, and even provide advice on working with teachers, classmates and handling workloads.   Private schools also may be able to grant accommodations to help students in school, including the following: extra time on testsuse of a computer or tablet for writing in-class essays and assignmentshelp from a learning specialist to learn how to prepare for tests, study, organize study materialsuse of a private room for testing or work If youre thinking of private school and either know or suspect that your child may need extra assistances, consider these steps you might pursue to determine if the school can meet your childs needs: Get Started with Professional Evaluations If you havent already, make sure to have your child evaluated by a licensed professional. You may be able to have the evaluation conducted by the local school board, or you may ask your private school for the names of private evaluators. The evaluation should document the nature of your childs disabilities and the required or suggested accommodations. Remember, that while private schools arent required to grant accommodations, many offer basic, reasonable accommodations, such as extended time on tests, for students with documented learning issues. Meet with Professionals at the School before you apply Yes, even if youre just applying to the school, you can request meetings with the academic specialists at the school. Assuming you have the testing results available, you may set up appointments. You would likely coordinate these meetings through the admission office, and they can often be combined with a school visit or sometimes even an Open House, if you provide advance notice. This allows both you and the school to assess whether or not your childs needs can be properly met by the school. Meet with Professionals at the School after youre accepted Once youre accepted, you should schedule a time to meet with your childs teachers and learning specialist or psychologist to begin developing a plan for success. You can discuss the results of the evaluation, the proper accommodations for your child and what this means in terms of your childs schedule. Here are more strategies about how to advocate for your child with learning issues. Article edited by Stacy Jagodowski.

Public experience of game play cultivate a game culture in the late Essay

Public experience of game play cultivate a game culture in the late 20th century and location help determine game design and in regards to coin-op games - Essay Example t, in the late 1990s technological innovations paved way towards the inception of home gaming units with improved graphics and better simulation environments. Also, coin-op games offered a rich experience to the public as they were an expansive source of amusement during the time and thus, they produced a game culture where arcades became the points where rivalries existed and social meet-ups took place to an increasing rate (Wolf 12). Yet, with the gaming consoles culture replacing the coin-op games, game centers were now replaced and quality of game was central to how well the experience of gaming would be for the public. Therefore, an evolutionary context of gaming design in the late 20th century reveals that as technological innovations matured, quality of circuits, graphics and reality factor of the games replaces the arcades experience where amusement lied in the location perspectives of game designs. For this reason, the paper would discuss the game culture of various eras of the late 20th century to reveal how the industry not only expanded but also transformed over time. When the arcade amusement culture was first introduced, the coin-op games which the game design contained were quite simplistic in character. In addition, the graphics were also quite plain and simulation was also not as advanced. For instance, Atari introduced its first ever game design for ball and paddle games which simply had a vertical line with a small ball which moved horizontally. Yet, the games were fun and challenging for the public as the amusement was offered in locations solely dedicated to that purpose. Since people only managed to spend as much time on playing these coin-op games as the time on the town halls, theatres or game centers allowed, the thrill of the games lied in the experience. Though Atari was the largest contributor to coin-op games, yet various native as well as foreign companies were competing to grab attention of the public (Wolf 15). In this context,

Learning in the Learning Organisation Essay Example | Topics and Well Written Essays - 2500 words

Learning in the Learning Organisation - Essay Example Generally speaking, learning organization is an organization which gives an opportunity to its employees to learn such skills that help them develop professionally. Organizations do help their employees to learn more as it adds value to the organization’s human resource and help the company to sustain its competitive advantage in the market. To be a learning organization is also important because of the change that now takes place very quickly in the market and it is incumbent for the organizations to keep track of these changes (Senge, 1994). Learning organizations Though many researches have been conducted on the area of learning organizations and to define the concept, but no definite definition has yet been provided. Some of the definitions given by some researchers are as under: According to Senge (1990), organizations which provide its employees an opportunity to develop their professional skills in order to achieve job targets more effectively are called learning organi zations. Moreover, such organization also allows its employees to think more creatively and innovative ideas are welcomed. Idea of a learning organization could not be instituted in an organization with out support of top management because it is always upper level management who decides the organizational mission and commands it to the whole organization. ... It’s important for any business to change itself according to the market needs and state its procedures parallel with the changing environment. Employees in learning organizations enhance their skills and abilities to keep pace with the changing needs of the business. Such organizations not only encourage learning at individual level but of organization as a whole. Moreover, results achieved from such learning is implemented to improve the organizational working and get better business results. For an organization it is also important to have such systems and procedures that help make it learning organization and keep it updated with the changes in external environment. An organization must adopt a learning approach towards its procedures and employees must get acquainted with the systems that are implemented to cope with the change. It is also important that such an environment is created in the organization which is flexible and allows employees to participate. Such a flexib le environment would help the workers to share their experiences and learning with each other. Moreover, employees must get self-development opportunities in order to enhance their professional skills at independent level and collaboratively participate in the progress of the organization (Smith, 1999). Pre-requisites of a learning organization For an organization to become a learning organization, there are some requirements that must be met. Senge (1990) has explained five major requirements which an organization must meet in order to be a learning organization. These pre-requisites are as under: 1. Shared Visions: It is important for an organization to have a shared vision because it gives a purpose for existence to an organization.