Mergers, Acquisitions and Joint Ventures

Mergers, Acquisitions and Joint Ventures

Attention to culture is critical to achieving synergies in a merger or joint venture - however, it is a large undertaking in a crowded integration agenda.

Studies have shown:

  • One third of all Australian mergers fail
  • The international failure rate of mergers is between 50-77%
  • 50% of mergers result in lowered productivity, profits or both
  • 50% result in eroded shareholder returns

Reasons for failure may include:

  • Loss of external customer focus
  • Emotions or people issues are not addressed
  • Leadership group doesn’t work together effectively
  • Cultural styles are not understood - activity is fragmented
  • Synergies are not achieved

Successfully developing the new culture involves selecting the behaviours, symbols and systems which send messages about what the new identity intends to value.

Building the new identity required two concurrent paths of navigation:

  • Creating the best platform for successful long-term cultural integration
  • Planning and implementing the new identity

Mindset Matters Group has a range of bespoke options to support the successful implementation of these two paths.