Efforts to improve Employee Performance at Post-Acquisition Company in Indonesia

Abstract

As competition to control market among companies increase, acquisition has been considered a prospective strategy to be well planned. However, post-acquisition transformation has become a central issue as integrating two or more organizations needs a lot of efforts. The objective of this study was to analyze the effect of transformational leadership and readiness to change on employee performance in post-acquisition companies in Indonesia through competence improvement to adaptability as previous research has not specifically explored these variables. The samples were two manufacturing companies and two service companies. Purposive sampling technique was used to analyze 234 processed questionnaires from 400 distributed samples using Likert scale technique. The results revealed that (1) transformational leadership affects employee performance, (2) readiness to change does not affect employee performance, (3) transformational leadership and readiness to change all affect employee performance through improved adaptability.