Final answer:
The HR director should first review the Organizational culture when aligning the total rewards systems of both organizations after an acquisition, as it influences employees' perception and acceptance of rewards systems.
Step-by-step explanation:
When an HR director at an acquiring company is tasked with aligning the total rewards systems of both organizations post-acquisition, the first aspect they should review is the Organizational culture. This initial focus is crucial because the organizational culture encompasses the values, visions, hierarchies, norms, and the general working environment within a company. It is the foundation that influences how different total rewards systems such as benefits, compensations, and career development opportunities are perceived, distributed, and appreciated by employees.
Understanding the organizational culture will guide the HR director in integrating the rewards systems in a way that aligns with the combined company's values and goals. It will also help anticipate potential resistance or issues that may arise due to cultural mismatches. Acknowledging the established culture will assist in creating an integrated rewards system that is fair, effective, and supportive of the new organizational structure and its strategic objectives. After establishing a thorough understanding of the cultural landscape, the HR director can then proceed to examine the current benefit providers, company payroll costs, and the mission and strategy of both organizations to craft an aligned total rewards system.