8 Tips for a Successful Merger

Execution – Strategy

1. Pre-Plan Effectively

  • Set realistic goals and timeframes
  • Think about all aspects of the organization – people, systems, and structures
  • Focus on alignment of work structures and processes – including when and how
  • Prepare detailed integration and implementations plans

2. Involve HR Early

  • Involve HR before and after the merger as a key partner (research shows less than 60% of companies do this)

3. Provide Merger Specific Training

  • Educate managers on what will happen at each stage of the process and what it means for them, their team and the company as a whole
  • Train managers on the implications of the merger and impacts on employees and all levels
  • Be clear about the impact on working practices and organizational structure
  • Show managers how to communicate the implications and issues to the rest of the organization

4. Communicate Extensively

  • Be clear
  • Communicate regularly
  • Be honest – if you can’t discuss the merger while negotiations are taking place do so immediately in the post merger phase
  • Keep communicating the new merged company’s goals and objectives to all employees through a variety of media

5. Manage Cultural Differences

  • Be aware of cultural differences and find practical ways to reconcile
  • Conduct a cultural audit to understand the differing cultures – to help evaluate differences and similarities in work standards and practices
  • Bring together people in both organizations and encourage them to take part in social and professional activities together

6. Retain Your Key People

Research indicates that 25% of your top performers will leave a company within 3 months of an announcement involving a major change to the organization. In companies that have merged, between 50% and 75% of managers plan to leave within 3 years.

  • Have a proactive retention plan in place prior to the merger.
  • Be truthful and thorough in your communications
  • Take a careful look at pay, reward and recognition strategies

7. Remember Your Customers

  • Communicate regularly
  • Reassure customers as to service levels
  • Maintain key relationships and be aware of who your key staff are who bring in business

8. Set a Clear Strategy

  • Unite the workforce behind the strategic goals and vision of the newly merged company
  • Consistently focus on and rally the team behind the new vision
  • Set a long-term vision as well as rallying theme to focus the team for the first few months

Contact Susan

Get in touch today to learn how I can help your organization create a culture of success.

Email: susan@goodinsights.net
Phone: 250.580.2606