Key insights and proven techniques to ensure a successful M&A integration that drives sustained deal value
This is a sample learning overview that we can design and deliver specifically for your organisation.
Mergers and acquisitions offer firms of all sizes a valuable way of increasing business efficiency, expanding overseas and market diversification. However, M&A deals are inherently complex and realising their full value potential is notoriously difficult. Also, in today’s climate all those involved in achieving a successful deal are under increased scrutiny from shareholders, senior managers and the outside world.
Moreover, a successful transaction is not just about reaching a positive outcome on deal-day but being able to ensure that all elements of the various business, and in particular their workforces, are effectively integrated in the subsequent weeks and months. Indeed according to a survey conducted by Marsh, Mercer, Kroll and the Economist Intelligence Unit “Organisational cultural differences and people integration issues are the two most significant challenges within M&A”
The challenge is often that each party will have a unique organisational culture “an aggregation of individual behaviours shaped by personal attributes, social structures, systems, processes and programmes, and the behaviours of others, especially leaders” and that transactions that fail to recognise and manage cultural differences experience slower and more painful integration.
Given these complexities it is vital for HR professionals to be at the heart of the M&A process and ensure that they understand and are able to tackle the various challenges associated with internal communication, talent retention, employee transfers and organisational cultural compatibility.
A sound understanding of the M&A dynamics and its rationale determines its success. This session will focus on the salient features of a successful M&A integration strategy and describe recent trends and developments in the M&A landscape.
Highlights the impact of a deal on the employees and the role an effective HR practise can play in managing employee expectations. Identify value drivers applicable to the organization, which fits in with the transaction rationale, identify and avoid the most common mistakes that might put the success of a deal at stake.
Very often, the role of assessing and navigating the around potential legal issues in an M&A transaction falls to HR. Understanding the potential legal obstacles and being fully aware of the legal protection arising from M&A transactions can help to achieve the objectives of the deal in the most feasible, compliant and efficient way. This situation assesses the legal and practical aspects of TUPE.
For a deal to achieve the desired outcomes, it is necessary understand and examine the impact of culture, mitigate the risk of cultural incoherence, develop a structured process to effectively diagnose, manage and integrate organisational cultures – in light of the fact that almost 75 percent regard culture as a key component in creating deal value.
We can design and deliver a tailored session that will facilitate an understanding of the importance of culture, organisational dynamics and values and the role played by HR in ensuring and establishing synergies and avoiding conflict. It will discuss how to apply high-engagement, change management techniques to provide clarity, transform corporate culture, increase employee engagement and pave the way for sustainable change.
The M&A process demands extremely high level of sensitivity and the HR has to be at the top to advise on strategic approach to decision making in the interest of sustainability and viability of the business.
The session will evaluate the role of HR as a change agent and how they can, in times of change, provide the much needed support to senior and mid-level managers by understanding the specific needs of the new business, identifying the sills gap, providing the necessary training, recruiting and retaining talent and building capabilities, which is vital to capturing long-term value from the deal.
HR managers can provide and facilitate help, advise and training needed to adapting efficiently to changes in the economic climate, enabling and ensuring business transformation and growth.
An effective communications strategy during various stages of M&A transaction can help companies achieve significantly better results by minimizing disruptions and achieving synergies in all areas dealing with and impacting employees and customers.
This session discusses the need of effective communication and various channels to facilitate the same. It establishes the role of HR in ensuring that the business line managers are ‘on message’ and are cascading the information appropriately as the success of a deal hinges on the ability of a company to carry on an effective two-way dialogue throughout the integration process.
The session will engage delegates in various group exercises which will help them create an integration checklist, familiarize them with tools to measure and assess the success of an integration strategy and chart out key objectives for the first 365 days and beyond.
A wide range of learning methods ensures we deliver learning that is appropriate, specific and drives sustainable change.