This thesis will provide a clear understanding of how and why company culture is such an important factor in M&A. First of all, mergers, acquisitions and company culture will be defined. Then, different types of company cultures are analysed regarding their mutual compatibility. This is followed by an explanation of how cultural integration can take place and how managers can facilitate it. Finally, important findings are summarized and discussed.
As globalization progresses, so does the internationalization of companies. In the course of this development, over the last 30 years, the forming of mergers and acquisitions has become very popular. One of the greatest challenges in a merger or an acquisition is aligning the company culture of the merging partners before, during and after the merger. Company culture – or the lack of an integrated company culture - can crucially influence the success or failure of a merger or acquisition. However, in spite of the fact that there are a lot of ways to facilitate cultural integration, it is something that is often neglected in the planning phase, which makes it all the more difficult to accomplish successfully further along in the process.
Table of contents
1. Introduction
2. Mergers and Acquisitions
2.1 Definition and Implications of Mergers and Acquisitions
2.2 Phases in a Merger or Acquisition
2.3 Types of Mergers and Acquistions
3 Motives and Objectives for Mergers and Acquisitions
4 “Company Culture”
4.1 What is an organizational or company culture?
4.2 How can you change “Company Culture”?
4.2.1 Communication
4.2.2 Leadership
4.2.3 Balancing processes
4.2.4 Emotions
4.3 How to measure and assess organizational culture
5 Types of Organizational Cultures
5.1 Power Orientation
5.1.1 Patriarchal Power Culture
5.1.2 Autocratic Culture
5.2 Role Orientation
5.3 Task Orientation
5.4 Person Orientation
5.5 In how far are employees’ and company interests taken care of in the different types?
4.1 The Relation between Culture Types as regards Constraints on Individuals’ Freedom
6 Cultural Fit
7 Implications of cultural types for compatibility and cultural fit
8 Strategies for cultural integration in Mergers and Modes of Acculturation
8.1 Definition “Acculturation”
8.2 Extension Mergers
8.3 Collaborative Mergers
8.4 Redesign Mergers
8.4.1 Assimilation
8.4.2 Deculturation
8.5 Determination of Acculturation Strategy
8.6 Conclusions drawn from Nahavandi and Malekzadeh’s model
9 Facilitators of cultural and company integration - Five drivers of Success
9.1 Coherent Integration Strategy
9.2 Strong Integration Team
9.3 Communication
9.4 Speed in Implementation
9.5 Aligned Measurements
9.6 Other Facilitators of Cultural Integration
10 Discussion and Conclusion
11 Sources
-
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X. -
Upload your own papers! Earn money and win an iPhone X.