Most companies consider their most significant merger integration in the last decade to be a success, even if there were people conflicts and downsizing issues. That's one of
the conclusions in a report issued by The Conference Board, based on a survey of 134 companies that had M&A experience since 1990. The survey examined pre- and post-
transaction expectations of employees.
The sharpest pre-merger differences perceived by employees emerged in their views of top management leadership and decision style. Prior to the merger, almost 90% of
participants reported contrasting leadership styles between buyers and sellers, along with marked variations between parties in communications.
The survey found integration teams created to find ways to blend two organizations were generally effective. "The most important finding is that success or failure of the
merger is unrelated to initial differences," says Lawrence Schein, senior fellow of the capabilities management and HR strategies department of TCB. "For example, dissimilarity in
leadership style does not guarantee unsuccessful merger integration."
(Lawrence Schein, 212/759-0900)