In part one of this series, we looked at why so many mergers and acquisitions fail to create real value. The main reasons? A misplaced sense of superiority, a lack of cultural awareness, and underestimating the human factor.
The question then becomes: how can companies avoid these pitfalls? The answer lies in careful planning, honest communication, and keeping people at the centre of the process. Based on insights from top managers who have led major integrations, here are ten recommendations for turning an acquisition into a long-term success story.
Strategy Is Not Enough – Execution Matters
As we have already seen, the rules outlined in part one form the basic framework for successful acquisitions and mergers. However, in addition to a correct strategy, it is just as important to use the right managerial tools to fulfil that strategy.
Interviews with top managers from the largest acquisitions have given rise to ten recommendations for successful projects that can make the difference between synergy and disappointment.
Ten Recommendations for a Successful Acquisition or Merger Project
1. Create a new mission and a new vision.
Clarify what is important and what should be left behind. The new vision must motivate — and it must be very positive for those who remain. Only then will there be a genuine desire to achieve it.
2. Set the critical success factors.
Focus on just a handful of priorities. Define them in clear, measurable terms with responsible managers assigned. Specify not only goals but also when the “crisis management” phase will end.
3. Create the main principles of the integration process.
This should define decision-making, power distribution, and methods for problem-solving and conflict resolution. A clear governance framework avoids chaos.
4. Communicate, communicate, communicate.
A strong communication strategy is essential to overcome human-resource complications. All key information must be repeated often to counter rumours and half-truths — especially at lower levels where involvement in strategy and decision-making is limited.
5. Expect complications.
No merger runs smoothly. Leaders should anticipate short-term dips in productivity, motivation, and loyalty, as well as resistance to change. A good strategy can lessen this dip but never eliminate it.
6. Plan your resources.
Acquisitions consume immense resources of people, money, and time. In the initial stages, projects drain capacities from daily operations. Use external short-term resources wherever possible to free up space for the creativity and energy needed.
7. Create a strategy to overcome stress and exhaustion.
Mergers bring high stress levels. While tolerable in the short term, long-term stress can cause severe issues. Statistics show that during mergers, sickness rates rise by 15–20% among employees, and psychosomatic illnesses among executives can increase by as much as 200%.
8. Keep hold of your key managers and specialists.
Unless the goal of the acquisition is liquidation, retaining key talent is essential. At times like these, such employees are prime targets for recruiters and competitors. Show them their future career path early, assess and motivate them regularly, and build a positive but demanding environment. Usually, this group is only 10–15% of staff — but they are critical.
9. Get rid of individuals with low adaptability.
Some people will not embrace the new environment, regardless of support. Their resistance slows down progress. Allowing them to move on can accelerate integration.
10. Present the first positive results far and wide.
Acquisitions often feel like a storm of negatively perceived changes. Stress and workload amplify this. That is why it is vital to broadcast every success loudly and clearly. Early wins help counter rumours, rebuild trust, and generate momentum.
Conclusion: From Stress to Synergy
Mergers and acquisitions will always come with challenges — from stress and resistance to cultural mismatches. But with a clear vision, strong communication, and respect for the people involved, companies can move closer to that rare equation of 1 + 1 = 3.
The difference between failure and success lies not in the spreadsheets but in leadership: keeping hold of talent, addressing cultural clashes openly, and creating an environment where employees see a future worth committing to.
Read Part 1: Why Most M&As Fail
Read Part 2: When 1 + 1 = 3 — Rare Success Stories
Richard Dobeš, Managing Partner, Top Partners International, s.r.o.
Richard Dobeš is an executive coach and leadership consultant with over 20 years of experience helping organisations, teams, and leaders grow.
He has held senior roles including CEO and Managing Partner at Krauthammer International, and today advises international clients across industries on leadership, strategy, and organisational change.
Richard is also one of People & Performance’s Global Network Partners.
