(Warning to MBA’s and spreadsheet pros: this article is about the “soft stuff” of merger success.
NSFW if your organization focuses exclusively on near-term financial goals.)
Is your company merger friendly? Do your people embrace the acquired company’s employees, respect their accomplishments, their skills and capabilities? Do they actively seek to build business together by quickly merging product lines or leveraging customer relationships? Are they willing to give up some things they usually count on for the greater good of the new organization?
Or do your people exhibit the pride of the victor? Does the transaction give them proof of their inherent superiority? Are they jealous that it was “those guys’ who got rich in the deal? Do they look for problems with the acquired company’s business model, sales team, R&D results, or even the leaders themselves?
We have seen these behaviors all too often. One CEO proclaimed in our first joint meeting with the acquired company execs, “We are going to fix (your company.)” And frequently, we have heard it said, “We bought them; our way must be better.”
See the original article on Acquisition.Solutions by John Pancoast, J. Keith Dunbar and Evan Smith here…
If you’re thinking about that next acquisition – and wondering how to protect the value promised in the spreadsheets – – talk with us to explore how to create real and lasting synergy, and prepare your leaders to pull off the combination.