M&A - Human Capital
Managing HR Risks in M&A
Most of the barriers to a successful integration are related to people and company culture
- Gap between the business strategy and employees’ objectives and behaviors;
- Liabilities linked to employee benefits and compensation challenges;
- Employee engagement issues leading to less productivity and higher turnover;
- Basic processes essential to team performance functioning are not successfully effective;
- Gap between the cultures of the two companies not assessed and leadership unclear on the attributes of the desired company culture that aligns with the overall business strategy post M&A.
To ensure a successful integration, it is crucial to identify potential HR risks which can impact the cost of the integration, and have the answers needed to launch responses to these risks
- Strategic: Identify business needs in terms of headcount, secure separation plans, retain key people, maintain employee management.
- Cultural: Execute an issue-free transition, avoid cultural gaps and ego clashes, ensure positive image within and outside of the company
- Organizational: Streamline HR organization structure and critical processes, design the best way to restructure the company
- Financial: Rapidly capture HR costs and synergies, evaluate employee liabilities and terms & conditions
Nos points de vue
Opens in new window