According to PSMJ, the business management experts for the architecture and engineering industries, “the long-term success of a merger or acquisition hinges largely on how well the combined entity retains its staff.”
In a recent newsletter, PSMJ offered seven tips “to prevent the upheavals that can arise with a transaction.”
1. Act fast. Don’t allow rumours to spread or leave employees worrying about the transition. Get out there as quickly as possible with ‘town hall’ meetings and open channels of communication.
2. Make a plan. During the course of a merger, and before signing the deal, develop a clear plan for handling your people and aligning benefits. If stories don’t match among firm leaders or employees sense that you are stumbling through it, the outcome won’t be good.
3. Define a new direction. Give all employees a role in figuring out certain elements of how the combined firm will evolve and grow. Get them involved in (and excited about) setting a vision for the new organization and developing a road map of what the new company can achieve.
4. Find and promote winners. To help employees cope with the transition, choose managers who radiate confidence and credibility to be advocates for the transaction.
5. Level with people. Don’t procrastinate giving employees bad news. You’ll risk losing trust and increasing anxiety.
6. Share some history. Tell employees what has happened after past mergers and acquisitions to assuage their fears and anxieties.
7. Develop a contingency plan. Despite your best efforts, you must be prepared to see some employees leave. Planning for this before the fact will help you fill vacancies more efficiently and with better qualified people.
See www.psmj.com. To see the original article, click here.