13. All-Business Mergers

What goes wrong? In any merger, acquisition, or reorganization, employees are thought to be a critical asset, but unfortunately, financial considerations almost always trump human ones. No merger will be optimally successful without the energetic, enthusiastic behavior of all employees. Yet plans for creating such behavior are usually a mere afterthought. Ultimately, the employees of both organizations feel dismayed rather than excited.

What to do instead? Use the reorganization as an opportunity to create a new company where all burdensome policies, practices, and people are eliminated. Make these decisions quickly. Incorporate the best practices of both organizations into the work of the new organization. Integrate policies, management practices, and managers—instead of just absorbing the acquired organization into the old one. Make sure that all managers know how to build positive reinforcement into all of the work of the new organization. Most important, plan for positive reinforcement for even small accomplishments on the first day of the new organization so that employees will see that it is.