Acquisitions & mergers : approaches and methods in organizational culture integration

Abstract

The human factor plays a major role in acquisitions and mergers, and problems related to uncertainty, distrust, and cultural differences can have a great impact on whether they become successful or not. Acquisitions and mergers have been popular for a long time, even though most of them fail to achieve their goals and desired outcome. The reasons for the high failure rate have been a common research topic over the years and several studies have come up with frameworks and recommendations for a successful approach regarding this subject. However, despite increasing knowledge regarding problems and obstacles companies face in acquisitions and mergers, the failure rate is still quite high. The purpose of this research is to examine the approaches and methods used when integrating different organizational cultures following mergers and acquisitions. To do so, eight people who have experienced mergers as consultants and project managers were interviewed. The results show that different kinds of methods are being used but they are based on similar ideas. Further, the results indicate that a combination of change management and project management is needed to ensure the best results.