Intercultural Business Strategies News & Views

Cross-Cultural Business Success Tips

Archive for January, 2013

The Role of Culture in Mergers, Acquisitions, and Divestitures

A sensitivity to the role of culture and leadership in these organizational transactions is a critical consideration. In fact, the proof is in the pudding. Google the phrase “unsuccessful transactions” and see what the primary reasons are for failure – the lack of attention paid to understanding and effectively managing organizational culture. Think about Time Warner-AOL, Daimler-Chrysler, and the America West-USAirways mergers. These organizations cited the inability to effectively manage cultural complexities as being a key reason for less than desirable outcomes.

So, what can organizations that are facing a merger, acquisition, or divestiture do to ensure that organizational culture serves as an enabler rather than a detractor? Here are some important tips worth considering: Read more »