The often forgotten post-merger integration process
Why is it that 2/3 of all mergers and acquisitions fail to meet their original objectives due to cultural clashes? Our research shows that it is because the cultural friction is ignored or underestimated and because the management doesn’t have the necessary skills and/or time to do a proper integration. If your company shouldn’t end up between the 2/3 of the companies that fail we suggest you contact us as early as possible so we proactively can plan the post-merger integration process instead of agreeing on a damage control assignment.
The post-merger integration process usually goes wrong because:
- Management loose focus as soon as the deal is signed
- Management doesn’t know how to tackle the post-merger integration process properly
- Management has to deal with both the current business and the post-merger integration process
- The cultural friction and resistance is often hidden
When you engage Gugin to facilitate the post-merger integration process we can assure you that:
- You can spend more time and resources on what you are good at – managing the company
- We locate the potential cultural friction points early in the process so we can develop a plan to deal with them
- We plan the post-merger integration process together with you and align it with the strategic and operational objectives and targets
- We keep our eyes and hands on the post-merger integration process ensuring that you reach the desired level of integration on time
- We help you protect your most valuable resource – your people, their skills and their knowledge. It is always the best people who leave first when things are not as they should be.
- We facilitate the development of a corporate culture that is supporting the current strategy and at the same time can include the diversity in the merged organisations.
A successful post-merger integration process is like baking a delicious cookie
You can compare a successful post-merger integration process with baking a delicious cookie. You have a number of ingredients which have to with put together in the right quantities and in the right order and it all has to be baked perfectly. This is the only way you will get the perfect delicious cookie that tastes far better than any of the ingredients alone. If you fail you have wasted the ingredients. That is why you have to be a good baker to succeed.
Integrating organisations is no different. You have to understand the cultural and sociological dynamics and know how to facilitate the post-merger integration process so that the end result is beautiful. If you fail your best employees and managers together with your best clients, who probably don’t see the point in you engaging in a merger or acquisition. Engage Gugin as your baker and let us facilitate the post-merger integration process. It is our core competence.