Necessary Focus of M&A Staffing
Mergers and acquisitions can be exciting. If you do not perform due diligence before the merge, it can also be stressful and financially draining. One area that requires substantial research is the company’s staffing practices before and after you take over, especially in IT. Business owners and M&A advisors alike benefit from proactive steps.
Determine Key Positions
Even if you cannot yet envision your staffing needs after the merger, you should identify the key positions. It is easier for you to recruit new talent for spots you know you are likely to need. Moreover, you want to eliminate as many open vital positions as you can while dedicating your financial resources towards leadership change and restructuring. You can decide whether to employ an M&A specialist and if part-time temps or full-time hires are the way to go to cover any gaps in customer support and operations during the transition. It becomes essential to keep an eye on the local labor market.
Numbers of Employees Tricky
An acquisition can cause turnover rates to increase in the acquired company through no fault of your own. If the merger involves translocation to another locale, some employees may be reluctant to make a move. In other cases, businesses may downsize before the merge to improve the appearance of their expenditures. Many times a company owner may attempt to incentivize valuable staff members to stay on during uncertain transitions. You never know how many employees will remain with new management once the merger is complete. Your best course is to gather the most information you can and once again prepare if you need to replace key positions.
Positions Most Susceptible to Change
As leadership and centralization change, restructuring M&A staffing becomes inevitable. Your company is more likely than not to have a different vision than the business you acquire. A few positions may be more vulnerable to restructuring than others. Mergers can also come with a need for additional staffing.
- Accounting
- IT Systems
- Financial department
Special IT Concerns
Among the most important decisions to make about your post-merger staff lies with your IT department. You should investigate IT policies thoroughly, arming your self with information about the potential leakage of tribal knowledge, compliance with regulatory guidelines, cybersecurity, hardware inventory, and the progress of ongoing projects.
Who to Call
We understand and address budgetary concerns and the continued smooth execution of viable IT systems along with seamless staffing post-M&A. We have supported $4 billion in mergers and acquisitions among the Fortune 1000. Get a consult from our specialists by calling or visiting the website.
