Culture Mergers & Acquisitions Process

Done correctly, cultural due diligence can turn human capital issues from a potential liability into a solid asset.  Cultural due diligence will evaluate the key cultural drivers within the organization to identify cultural issues, verify cultural assumptions and identify opportunities for post-close value creation.  The cultural drivers are organizational structure, management style, rewards, emotionality, communications and relationships.

The cultural due diligence process should start with the acquiring company.  This will allow the acquiring company to have a clearly defined blueprint against which the target companies cultural DNA can be compared and contrasted to provide a solid basis for the M&A decision and any potential post acquisition cultural value creation planning.

The quantified cultural outputs provide the inputs into the integration planning process.  Appropriate interventions are identified and developed to bring about the desired cultural changes needed to support the M&A process.

The cultural integration process is facilitated by change management and communication activities throughout.  Additionally, there are several gateway check points to monitor employee “buy-in” as the strategy is rolled out.

DCI can help you understand and manage the cultural integration successfully with our proven end-to-end M&A Cultural Integration process and supporting toolsets.  The process provides a full road map from cultural due diligence through post merger cultural integration. 

In the world of M&A, corporate culture is a key determinate of successful business integration.  Unless you actively manage it you have a 40 to 80% probable chance of failure.  Contact DCI today on 682-223-1110 to remove this risk from your M&A portfolio.