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After the pandemic, we have turned into a Remote first organization and as other’s in our industry are returning to work, I am wondering how a merger would work if we are bringing in an organization that is now back in the office? What challenges can arise and what are some ways to alleviate those challenges?
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My company is 95% remote across the U.S. and the companies we’ve acquired were all traditional working in smaller offices. Fortunately, we can use those offices as local showrooms for customers so it works to our benefit to keep them, but culturally, it has been a struggle to integrate these companies into the remote world. I find it takes longer because you have to build trust and relationships over Zoom and Teams, but overall, we’ve seen success.
I was just working on an acquisition where the acquiring company is a remote-hybrid organization. It just acquired a company on the other side of the country (USA) which does not allow remote work and they have 20 different production offices across 3 cities and 2 states. As the change management expert on the project, I had to recommend that they replace me with a local consultant because it was just too difficult to engage with the target company employees. I was not happy about this decision but it was the best for the project.
Hi Nathan, I’ve just posted a similar question to the forum. Anyway, I assume cultural fit might be an issue if all the M&A process are done all remotely and it may lead to the M&A failure. That kind of things would become obvious by face-to-face meetings.
A similar problem exists when the company is spread out over many countries and the central team is not in the same country. Travel and in-person workshops help a lot in building connections and aligning on an integration plan. I imagine something similar can be applied to a remote work organization.
I think the key is for the company to think about its work location strategy. It may not make sense to have some of the employee population have the ability to work remotely and the others have to go in the office. I would evaluate if it is necessary for the new company to go into the office, or if we are able to offer them remote work as well. To feel as though both companies are one, I believe they need to have the same work location stratergy across the board.
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