a. The creation and enforcement of an organizational setting which embraces and cherishes cultural diversity. The success of an organization, even more so of one which has currently been extended through the acquisition of a foreign owned one, is impossible without the integration of the cultural elements (Hoowetzki, 2002).
1.b. The thorough internal audit of the company and the identification of the vital employees to be maintained. In order to reduce the dissatisfactions of the staff, support in the offering of new positions for the downsized staff should be offered.
2. Leadership should be separated from management and it should be enforced as the process by which people continually learn and develop themselves (Fullan, 2002). In other words, the change process should be constructed around the principles of transformational leadership.
3. The recommendation is a dual one — the internal audit to identify the most knowledgeable employees and the implementation of a managerial style to foster employee knowledge endeavors (Alter, 2005).
Alter, A., 2005, Knowledge workers need better management, CIO Insight, http://www.cioinsight.com/c/a/Expert-Voices/Knowledge-Workers-Need-Better-Management / last accessed on July 19, 2010
Holowetzki, A., 2002, The relationship between knowledge management and organizational culture: an examination of cultural factors that support the flow and management of knowledge within an organization, University of Oregon, http://aim.uoregon.edu/research/pdfs/Holowetzki2002.pdf last accessed on July 19, 2010
Fullan, M., 2002, The role of leadership in the promotion of knowledge management in schools, OECD, http://www.oecd.org/dataoecd/46/43/2074954.pdf last accessed on July 19, 2010.