Business mergers: making your transformation a success
A business merger, acquisition or divestment can profoundly change the internal balance of an organisation: its structure, responsibilities, HR practices, management, employee relations and culture.
For the transaction to succeed, these issues need to be anticipated early enough and given the same level of attention as the financial and legal aspects.
Alixio Group supports leadership teams and HR directors before, during and after mergers, acquisitions and divestments, from risk assessment through to the implementation of the new organisation.
Anticipating the impact of the transaction on people and employee relations
Ahead of a merger, acquisition or divestment, HR and employment due diligence helps identify risks, differences between the organisations and the decisions that need to be prepared for the next stages of the transaction.
As part of the HR data room, we can analyse areas including:
- workforce numbers;
- key skills and roles;
- pay policies;
- employee benefits;
- collective agreements;
- HR practices;
- employee relations;
- ways of working.
This analysis helps quantify the main HR and employee relations issues, anticipate risks and identify the areas that will need to be addressed during integration or separation.
This work can form part of a broader review of the future organisation’s HR strategy.
Designing the new organisation
A business merger is not simply about bringing two structures together. It also means defining how the combined organisation will operate.
Alixio Group supports leadership teams in defining the target organisation, including:
- governance;
- responsibilities and decision-making processes;
- changes to ways of working;
- interfaces between teams.
We also help identify the critical skills and functions that need to be safeguarded to ensure business continuity throughout the transformation.
Depending on the scale of the project, this stage can form part of a broader business reorganisation programme.
Preparing for employee consultation and supporting teams
Mergers, acquisitions and divestments can have significant consequences for employees, existing agreements and employee representative bodies.
Alixio Group supports leadership and HR teams in preparing consultations, negotiations and communications with employee representatives and trade unions.
Our support may include analysing the employee relations context, reviewing changes to agreements and practices, harmonising terms and conditions of employment and preparing the people who will lead the project.
Delivering successful post-merger integration
Once the transaction has been completed, the challenge is to turn the project into an organisation that works effectively in practice.
Post-merger integration may require HR practices to be harmonised, responsibilities to be clarified, cultures to be brought together and managers to be supported in their new roles.
We help organisations structure and manage these different workstreams to maintain business continuity and encourage teams to embrace the transformation.
Supporting a divestment or carve-out
A divestment presents a different challenge: separating part of the business while enabling both organisations to continue operating effectively.
We help organisations identify the teams and skills concerned, define the organisations before and after the divestment, separate functions and processes, and prepare consultation with employee representatives and communication with employees.
The aim is to ensure a smooth transition, protect critical functions and give employees sufficient visibility of the new organisation.
An approach that spans analysis through to implementation
Analyse
Understand the organisations, their HR practices, the employee relations context and the key risks.
Anticipate
Identify differences, critical skills and the decisions that need to be prepared.
Design
Define the target organisation and the principles governing integration or separation.
Support
Prepare leaders, managers, HR teams and employee representatives.
Manage
Monitor implementation until the new organisation is stable.
Why choose Alixio Group?
Alixio Group combines expertise in organisation, employment strategy, employee relations, leadership, change management, career mobility and interim management.
This enables us to support a transaction as a whole, from assessing the people-related challenges through to rolling out the new organisation across the workforce.
Our role is to keep the transformation on track while maintaining the organisation’s ability to operate effectively and keep its employees engaged.
Secure your merger, acquisition or divestment on track
Are you preparing a merger, acquisition or divestment and looking to anticipate its impact on people, employee relations and the organisation?
