Managers have focused on hard factors - strategic and financial synergy - to drive post merger integration efforts overlooking personal motivations, and organizational dynamic which can fundamentally alter the outcome of a merger or acquisition. This research explored the factors - both hard and soft - that drive PMI success and recommends a framework for managers to use to ensure success in their M&A adventures.
This paper also discusses key topics in Post Merger Integration:
- Impact of pre-acquisition activities on PMI
- Impact of organizational culture on PMI. In fact, culture must be an evaluation criteria for the M&A itself
- What roles drive PMI success?
- What negative forces can derail an M&A post merger?
- In a multi national M&A situation, what is the impact of national language and culture on PMI success?
- What drives employee motivation and how does that affect PMI?
- What does the culture of the mergered entity look like and how does that determine merger outcomes?
- How do soft factors (personal motivation and organization culture etc.) drive the financial performance of a merged entity?
This is an excellent discussion on Post Merger Integration with an assessment of both soft and hard factors and the added complication of cross-border acquisitions mixed in as well. Great resource for the CIO to understand how to manage a PMI initiative for success!
