The most prevalent HR problem for firms facing external growth strategies is:

Question

Quizplus · Accepted Answer

When a company plans to grow externally by acquiring other firms, it often struggles to integrate the new entities' HR practices with its existing system. Standardizing HR practices is necessary to promote consistency and equity within the organization. Failure to standardize practices can cause confusion, loss of knowledge, resistance to change, and dissatisfied employees. Although hiring the right people and determining the fair-market price of acquisitions are also necessary, they are not as prevalent HR problems as standardizing practices. Finding the right companies to purchase is part of the acquisition strategy and not an HR problem.

The Most Prevalent HR Problem for Firms Facing External Growth