How to Prepare for a Company Merger

When companies merge, it isn’t always just because one company is struggling to stay afloat. One reason for company mergers is increased access to different markets. In this case, both previous companies will benefit from the merger because they will reach new target audiences and make more profit. 

While there are many mutually beneficial reasons for mergers, there is often a negative attitude associated with mergers and competition between the two previous companies. Adequately preparing for a merger can help employees transition better and work together more effectively. 

Put Together a Transition Team

A transition team helps to establish new leadership, rules, and workplace regulations during and after a merger. Essentially, a transition team helps employees transition smoothly from their old companies to the new, combined company. 

If your transition team will not be made up of third-party, unbiased members who did not belong to either previous company, make sure to include employees from both companies on the transition team. Equality on your transition team will help employees not feel prejudiced against the team and be more willing to listen to its suggestions.

Host an Event

Before sharing a workplace with employees of a different company, you should first get together in a non-work-related space. An event can help employees get to know each other on a more personal level and build good relationships with each other. 

Make sure that you are choosing the right venue for your event. Try to choose a venue with lots of light to create an inviting environment where employees can see one another. Large windows will let in plenty of natural light into a venue.

Have Clear Values

When you merge two companies, it is important to not value one higher than the other. Very obviously valuing one above the other will create unhealthy power dynamics and ill feelings from the start of your merger. To show that you are all on the same team, come up with a clear set of new company values that you are working towards. These values could be taken from both previous companies’ original values.

When you have the expertise and experience of two companies, you have a lot of power to be a great company. You can be an even better company than either company was alone. Transitioning through a merger smoothly and quickly can help you start succeeding faster. 

Did you enjoy reading this article? Here’s more to read: What to Ask Yourself When Assessing Risks in Your Business

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