The Importance Of Team Building Events After Mergers And Acquisitions

by Michelle Riklan

This article first appeared in Forbes Community Voice on October 17, 2016.  

Out of 2,100 corporate respondents in Deloitte’s 2014 mergers and acquisitions (M&A) report, about 54% of companies close one to five M&A deals a year. Companies merge for many reasons, but the main goals are to acquire new products or markets and increase profitability or savings through strategic acquisition of technology and talent.

But despite the high number of deals, the road toward successful M&As is risky for many corporations and doesn’t always include a profit. Like any transaction, there are winners and losers at all levels. Common problems include:

• One employee’s tenure and skills outweigh another.

• One corporate culture trumps another.

• Managers battle it out for power and resources.

Challenges like this happen while executives are busy making decisions that affect two organizations that previously might have had nothing to do with each other.

Done haphazardly, an attractive M&A can ruin one or both companies. However, with a clear structure, plan in place for integration, and a leadership team communicating that plan clearly, fear of the unknown is eradicated. Read more...