managing the people side of m&a - cwc

Managing the People Side of M&A

• Provide an overview of the four phases of an M&A integration

• Define M&A best practices

• Answer questions about how to minimize performance risk and people disruption

OBJECTIVES

• Volatile

• Uncertain

• Complex

• Ambiguous

OUR REALITY

• Transparency

• Consistency

• Engagement

• Measurement

PRINCIPLESOUR REALITY

• Volatile

• Uncertain

• Complex

• Ambiguous

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A structured approach (process, tools and techniques) to transitioning individuals, teams and organizations to new ways of thinking and behaving to achieve defined results.—Prosci

ORGANIZATIONAL CHANGE

• PMI begins after the deal is completed

• Acquiring company feels superior to the acquired one (talent, capability, culture, process, technology)

• Acquired talent is not engaged in designing the new organization

• Synergies are quickly realized without deep knowledge of talent

• Cultures are assumed to be similar

COMMON MISTAKES

• VISION Different, better and compelling?

• LEADERS Personally committed?

• CAPACITY Skill, money and time?

• CULTURE Can they change enough?

• OUTCOMES Realistic given business environment?

MANAGING KEY VARIABLES

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4 PHASES OF INTEGRATION

Figuring it Out

Planning for Change

Managing Change

Making it Stick

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PHASE 1: FIGURING IT OUT

Figuring It Out

Planning for Change

Managing Change

Making It Stick

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FIGURING IT OUT

Understanding risks to and degree of change for integration:

• Leadership capabilities• Cultural alignment• Talent identification and

retention

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PHASE 2: PLANNING FOR CHANGE

Figuring It Out

Planning for Change

Managing Change

Making It Stick

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PLANNING FOR CHANGE

Creating an integration plan that outlines what needs to happen, by when and by whom:

• Integration principles• Organization design and

resourcing• Policy and program

harmonization

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PHASE 3: MANAGING CHANGE

Figuring It Out

Planning for Change

Managing Change

Making It Stick

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MANAGING CHANGE

Maintaining momentum as you manage the dynamics of the integration:

• Execute• Monitor• Course-correct

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PHASE 4: MAKING IT STICK

Figuring It Out

Planningfor Change

Managing Change

Making It Stick

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MAKING IT STICK

Embed the changes into regular operations:

• Ownership• Measurement• Review

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• 25 years of change management experience

• 32 major change initiatives across 60 countries

• Author of Change with Confidence Answers to the 50 Biggest Questions that Keep Change Leaders Up at Night

Email: phil@changewithconfidence.com

Tel: 416.710.3685

Twitter: philbuckley01

Site: www.changewithconfidence.com

About the Author, Phil Buckley