Something that I am often approached for is Change Management for Mergers and Acquisitions. This can be a delicate time for all involved. Here are some ideas on how to successfully manage the change involved in this type of organisational transition.
A frequently occurring change for commercial organisations where mergers and acquisitions are involved is managing the transition to a common way of working. I am advising several organisations on how to do this, and I thought I would share the plan that I help them to follow.
As soon as an acquisition has been completed, the pressure is on to bring the two organisations together, using common systems and processes to create economies of scale and maximise the capacity and capability of the newly merged entity. Sometimes, an organisation will formally name this initiative “One X”, where X is the name of the organisation. It’s not uncommon for those who have been acquired to struggle to accept all the changes taking place around them. This can include loss of identity as the name of the company they work for has also changed.
When this goes wrong, the expected benefits of bringing the two organisations together fails, because those who were acquired focus on maintaining their existing ways of working, using a “deny anything has changed” strategy as an emotional comfort blanket.
If you are tasked with making this type of change happen, here are some tips for change management during mergers and acquisitions.=
You will need to build yourself a network of supporters from both organisations. These need to be those who are enthusiastic about the potential of the changes, excited by the opportunities to solve problems, simplify complex or bureaucratic decision making and streamline and automate processes. In these individuals, often referred to as “early adopters” the enthusiasm to create something better than they already have overrides the shock and sense of loss triggered by the change. Unlike their colleagues, they can move past a desire to keep everything the same more quickly because they believe that the future offers personal benefits – an easier time at work, the chance to work with new people, systems, customers and products and services that will expand their knowledge and give them more marketable skills leading to promotions or new a new job. You need to recognise these behaviours and invest time in these people.
To effectively harness the enthusiasm of these workers, we form them into a network of Change Agents/Champions. As they are volunteering their time and effort to contribute to the success of the merger or acquisition, we need to ensure we are well prepared. We need to provide them with a clear onboarding approach for this network and relevant, practical training that will build their skills in leading change.
Over the last 2 years, I have developed services that support my clients to do this:
Knowing this support exists for managing change during mergers and acquisitions builds confidence that the promises made during the merger process are being taken seriously. The playbook demonstrates that there is a framework, toolkit, and plan for making change happen. This playbook creates a feeling of certainty when everything else feels uncertain, which builds confidence that the change is well planned, avoiding the feelings of chaos and confusion. This increases the willingness of people to get involved, and this involvement means that the new ways of working are created quickly, minimising how long the disruption of change lasts. It also speeds up the implementation of change because everyone involved is working on the same recipe.
If you want specific techniques, advice and examples of how to build, encourage and inspire your Change Agents/Champions, sign up for this master class(or get it for free as part of your ChangeabilityPro® membership)
