In fact, poor communication can lead to the failure of the transaction, making it vital that your HR and executive teams work together to effectively communicate all impending changes with staff in an easy-to-digest form. It is formulated to support and define where the new company is going and communicate how the formation of this new company fits the overall vision. Will leadership be changed or kept intact? Some may do it in order to get rid of competitors, while others create value for their businesses by gaining new customers, boosting business productivity, and expanding into new markets, which are all possible through this strategy. Is this a merger, acquisition, joint venture or divestiture? Embed consideration of the cus-tomer experience as an integral part of merger planning. Communicate, communicate, communicate. We have compiled lists from our M&A integration consulting projects of the most common questions asked by: Using the old sender name gives customers a chance to associate both Storenvy Printing and Threadbird Printing as one and the same company prior to sending under the new Threadbird banner. Communication tools such as community press releases, letters, emails, employee intranet announcements, brochures for customers, and FAQs should be used. Below are three ways to avoid losing customers during an acquisition or merger. Who should make the announcement, and what communication channels should they us A merger process for creating a Shared Vision that can be owned at each level of the organization and readily expanded into an integrated strategy. Which systems, policies and processes will change? If you own a business, there are many times you may find it necessary to write to your customers. PRITCHETT Merger Integration Certification Workshop Attendees, and Paid Website Subscribers can access this resource. After a merger takes place the two companies require a face of unity to allay the fears of the workforce and show that the company will be stronger in its new incarnation. The more your employees, partners, customers, and shareholders know about the nature of the deal, the more likely they are to get behind your decision. Communication plays a key role in every merger or acquisition. Probably the most important strategy to prevent customer attrition is clear and effective communication. organization will look once the merger is complete will: Communicate the strategic rationale for the merger and the value to be realized. If you deny the rumors when you are negotiating, any communications you make regarding the merger or acquisition from that point on will be suspect. In the past six years, AccentCare has doubled in size organically, and through a lot of acquisitions, going from about 12,000 employees to 25,000 employees. As with any major change effort, the approach needs … Be sure to keep your message consistent and communicate it clearly and effectively to employees, customers and investors. There are plenty of reasons for a company to decide to merge with or acquire another company. Even in business, communicating with customers effectively can help you gain their loyalty - leading to repeat purchases, positive word-of-mouth, and referrals.. On the flipside though, failure to communicate well can create dissatisfaction, frustration, and a decrease in sales. There are several different types of merger, but essentially, it’s an agreement that unites them as one. Communicate. Design merger conversion communications as if you were onboarding a new customer. Once your customers are aware that a merger or acquisition will take place, they are sure to have questions for you. By anticipating their concerns in advance, you’ll be better prepared to address them. Until the closing, GoTo and LogMeIn remain entirely separate entities, and will continue to provide support for their respective customers. Good communication is essential to successful mergers and acquisitions. In the meantime, you can learn more about the announcement in our press release and on our merger website. We have many opportunities ahead of us – from driving effective, modern communications that meets customers’ expectations using the latest methods, to enabling the integration of what is now a large group with some 4,000 colleagues. As part of an AT Kearney global survey, […] And remember, you don’t need to wait until things feel settled to collect feedback post-merger … What should employees say to customers, vendors and other publics? It will give them a sense of ownership and establish support. Clarity about motives and intent, as well as timing the release of information during a merger, requires strategic information management. Post-Merger Integration Plan. Effective communication is the key to building and nurturing any relationship - be it personal or professional. At the outset, employee concerns are going to be top of mind for them. An acquisition is when one company is purchased by another. The mere mention of the term "merger and acquisition" (M&A) can send messages of misinformation or half-truths. Post-Merger Integration Progress Reports. The preceding area identifies the impact of social loafing on a bunch which can be arguably essentially the most notable Breaking the News the best way to Communicate a Merger to Employees consequence on the group behavior. Communicate early on the anticipated level of integration and assimilation and what that will mean for employees. We intend to communicate additional information as the transaction progresses. Recognize And Reward Your Loyal Customers During Periods Of Change Airlines have certainly had to communicate changes like this on a periodic basis, in … The way you communicate with your future business partner is important. Communicate long-term value of merger: The merger is safe and the value of the combined company will be enhanced, giving us the scale to compete: Press releases, website, direct mail: Customers at bank being acquired: Service, pricing: Retain customer relationships Be ready with an explanation of how the deal will benefit them and the changes, if any, that they can expect. An integration is always a time of uncertainty. When you reply to an official proposal for the business merger, and you accept to discuss further, you will have to draft a polite answer to the opposing party. But when is the right time to tell employees about a pending merger? 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