Mergers & Acquisitions

According to Harvard Business Review, between 70% and 90% of mergers and acquisitions fail. While most M&A’s transactions are chiefly driven by high stakes CEOs, CFOs and COOs aided by highly incentivized bankers and lawyers, successful implementation often falters due to failure to fully recognize the often apprehensive human element and its role in the execution.

HR DUE DILIGENCE

“Human Capital Due Diligence helps to form the basis for the entire integration plan, and it helps to develop an assessment of the senior leadership of the company you are looking to acquire. It gets to the very core in understanding the cultural fit of one organization with another.”

Larry De Monaco, VP of Global Human Resources for GE Capital ^*1

FROM DEAL INCEPTION THROUGH POST-DEAL INTEGRATION

Start with your internal talent inventory; preferably already in the pre-deal phase! Know who is in the organization(s) as early as possible. It will help you decide who you want “on your bus” for the upcoming journey.

BRIDGING THE TRANSACTION WITH THE IMPLEMENTATION

Starting with a solid communications plan, establish the “transition team” and the new management teams and structures. Will these teams help you implement and execute the strategy? Will, they capture the expected synergies?

*1- source: Complete Guide to Mergers and Acquisitions – Timothy J. Galpin – Mark Herndon