Change in Perceived Organization Culture and Employee M&A Satisfaction in South Korea: A Psychological Perspective

This study draws on the suitable post-merger integration strategies by analyzing survey responses from employees working for acquired companies. We showed the direct effect of the control-driven aspects of organizational culture on employee satisfaction as well as the mediating effect of the psychological capital between the task-driven aspects of the organizational culture and employee satisfaction. We found empirical support for the notion that psychological capital can play a significant role in employee M&A satisfaction after acquisition. Our study also showed, paradoxically, that employees were satisfied with the change in the structural dimension because employees preferred a less hierarchical or less formal structure. This study enhances our understanding of the perceptions and effects of change in the organizational culture during M&A.