How to navigate human capital issues during a merger and acquisition

During the merger and acquisition process, the unexpected can happen and often does.

Internal people issues can pose a threat during the onset or post-integration, so HR professionals need to be ready to address people challenges that emerge before, during and after the deal is closed.

A free special report published by HRD in partnership with Aon explains why the success of a merger or acquisition deal often comes down to people strategies, and outlines 8 pitfalls to look out for and best practice strategies to successfully navigate human capital issues during a merger and acquisition.

Read the pitfalls below and download the full FREE special report to find out best practices to mitigate them.

Free special report: A winning people strategy is key during mergers and acquisitions

Pitfall #1: Organisational design and talent planning: Companies often don’t realise the significant planning that can occur pre-closing, even in deals that are highly scrutinised from a regulatory perspective.

Pitfall #2: Financial considerations: A lack of defined benefit pensions, change-in-control and other transaction-related payments can have a material financial impact on the deal, both on company valuation and future cash flows.

Pitfall #3: Total rewards: Without an appropriate total rewards analysis, companies could miss a huge opportunity to identify excess costs and streamline spending. Not understanding and addressing any gaps and inconsistencies in total rewards packages and processes could prove costly.

Pitfall #4: Retention: A key risk is failure to retain and integrate talent, which is one of the typical stated goals of acquisition. Ensuring employee engagement is crucial in keeping those with their foot outside the door satisfied and less likely to leave.

Pitfall #5: Employee experience: The absence of cultural alignment is one of the biggest causes of failed deals.

Pitfall #6: HR operations: Not having payroll and a strong HR infrastructure in place from day one can prevent employees from getting the job done.

Pitfall #7: Employee and labour relations: Without an aligned approach and accompanying communication strategy, companies could end up missing vital deadlines and fail to realise synergies.

Download the full FREE special report here: A winning people strategy is key during mergers and acquisitions