Harbor Consulting Resources' expertise insures that your organization makes sound decisions about culture, communication, reward programs and related practices.
From due diligence to roll out Harbor brings deep industry knowledge and quantitative expertise that guides organizations through complex merger, acquisition and restructuring transactions.
Anytime that there is a significant company change the anxiety level of employees increases dramatically. Communication is key. Typically during times of change the corporate rumor mill is working overtime. Our extensive experience can assist your team in crafting a communications program that provides information without disclosing details that are confidential. Key areas that Harbor will assist your team in examining include:
Human resources helps determine if the cultures of the two companies that are becoming one through a merger or acquisition are compatible. Cultural differences may include how the two organizations define and measure success within the organization; benefits employees enjoy, such as personal time and insurance; how problems within the organization are handled; the management styles of the two organizations; and the overall attitude of the employees and managers toward business functions and the industry in which they work.
During the due diligence portion of a merger or acquisition, which comes after the purchasing company makes its initial offer to purchase the other company, management from the purchasing company assess whether the deal makes strategic and financial sense. Human Resources from the purchasing company specifically assess the benefits structure of the other company to uncover any potential problems, such as a pension plan that is running low on funds or a health insurance package that will cost a significant amount for the company to continue offering.
People often fear change, and a merger or acquisition creates uncertainty and change for employees both of the purchasing company and the purchased company. Human resources in both companies help smooth out the transition for employees, helping calm any fears as well as answering questions about how the merger or acquisition affects each employee individually. If the employees of both companies do not have as much fear over the change, productivity is more likely to stay at previous levels. Human resources can detect and address any rumors about layoffs, office relocation or other changes employees fear, giving feedback to management about employee concerns.
Changing Roles and Structure
When one company merges with or acquires another, changes to both organizations will occur, such as eliminating redundant positions or combining teams and departments. The process of altering the two organizations so they work together as one can take months to complete, and human resources plays a vital role in the changes. Human resources communicates to employees changes in who they report to within the company, what team or work group employees are assigned to as well as any changes to different positions’ roles in the organization. Harbor will work with management and employees to alter the job descriptions of various positions, ensuring everyone understands his role in the newly altered organization.
Since with any M&A time is of the essence and there will need to act fast. With our wide range of experience, we will be assisting your team in the creation and implementation of the company’s integration plan. That way you can work through critical decisions before the pressure is on and integration can begin immediately. In particular carefully pre-planned communications will be vital. Uncertainty grows exponentially with time so the worst thing that can happen here is that changes are left undefined. Quickly helping employees to understand how the deal impacts them personally is the best way to minimize talent loss.
Healthier, more engaged people are a business advantage. But to deliver on this goal, employers need to address the many challenges in the current environment