The excitement in any acquisition or merger is frankly, often misplaced. Deal announcements are followed by press conferences, headlines, analyst meetings, high fives, and bankers counting. In reality, it is not the announcement of the deal that can require the most effort or bring the greatest excitement. Of course, due diligence in all of its forms, not just financial, is critically important. The structure of the deal must work. I would argue though that the actual integration of companies and organizations is where the most difficult work takes place. Large or small, every piece of pipe and wiring in two organizations must be managed. Decisions must be made crisply and quickly and above all cultures and power structures combined, clearly. Cultures are not just values statements or leadership models. Cultures are really the way an organization gets work done. Merger agreements and integration decisions have longer term, and sometimes unforeseen consequences. Political leverage given to one side or the other must be understood. Speed to synergies must be understood. In the end, integration decisions make the deal successful or not. It is integration decisions that have long lasting impact. Talent, process, culture, technology must all be integrated (or not). In short, the real value and excitement in a deal is realized in making it happen, fulfilling the promise of the merger announcement, not in the announcement itself.
Announcements Are Interesting, Delivering the Deal is Harder Work
You can find most all of these thought leadership pieces on LinkedIn, where we actively publish points of view to influence communicators and executives on critical issues. You will get a strong sense of the way we think. We also participate in various trade magazines and will find our views published in American Banker and O’Dwyer’s.