M&A Virtual Summit
JPMorgan Chase's Valeria Strappa and Guidehouse's Jonathan Shiery discussed cultural integration in M&A during the recent M&A Virtual Summit (June 10-11, 2020). The panelists discussed the importance of strategy, spirit and structure in cultural integration and how integrating culture effectively can speed up an integration while limiting friction. The panelists also covered the importance of the IMO Integration Leader being involved in due diligence in order to kick-off cultural integration prior to the deal closing as well as the importance of analyzing and measuring how work is done across the two different organizations. Lastly, the conversation touched upon the importance of having an integration team that is deeply familiar with an organization's culture so that cultural integration is always taken into consideration when making decisions.
Throughout the conversation, the panelists brought challenges and best practices to life by bringing in real world experiences such as Jonathan's experience integrating companies that used different approaches to software development (i.e. Waterfall Vs. Agile) and Valerie's experience integrating small FinTech firms into a large corporation. Additionally, the conversation touched upon dimensions that can be used to measure culture and that allow practitioners to take a structured approach to cultural integration.
Special thanks to Jason Mraz for contributing to this article.
In the last 3 decades, anytime you look up the top 5 reasons why an M&A integration failed, culture is always listed as a reason.”
Jonathan Shiery, Director and M&A Lead at Guidehouse