Will you keep talent from the acquired Company

This topic contains 26 replies, has 26 voices, and was last updated by  Karl Heinz Foertsch 10 months, 3 weeks ago.

Viewing 12 posts - 16 through 27 (of 27 total)
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    Carolina Batista

    If a proper HR dd is put in place, these key staff will be mapped and retained. To keep talents makes sense for this fact alone. In an M&A more so cause it also helps in understanding the company that was recently acquired.


    I don’t think you would have a successful acquisition and eliminate all employees. I doubt you would be doing the purchase if you eliminated everyone. Unless you are buying a book of business or just the tangible assets, you would keep some employees.


    Deepak kumar swain

    Talented employees are always an asset to any companies. if there is any legal hurdles to keep the talents during the Legal or HR DD , then a case should be built towards the target company for retaining the talents.


    Kent Anderson

    The question of whether to keep certain talent or not during M&A is driven by the same question at any company. Are the correct people in the correct positions. Each M&A presents it’s own unique circumstances and thus requires a fitting team to make it successful.


    It is interesting that the policy of the acquiring company is to ask all staff from the acquired company to leave. Obviously the acquiring company believes they have a superior workforce/process, but a proper HR due diligence process may be beneficial to retaining the top performers or staff because at the end of the day, the acquiring company may have to hire additional workers post acquisition and pay an increased cost for them.


    I think keeping a talent that knows the business is key because they understand the company and have tribal knowledge that could be very beneficial in the long term success of the company.


    Matthew Chatelain

    Talent retention is extremely tricky and warrants a significant amount of effort, instead of downplaying its importance. I have seen both sides of the spectrum, where the quantum of retention grants awarded to selected leadership is well over market prevalence, and I have witnessed situations where retention bonuses are uniformly spread across the workforce without much thought on succession planning, only to eventually exit individuals from an organization. HR should be involved every step of the way and should voice opinions on talent. While outsourcing may be helpful, it is always best to get inside opinions from HR professionals of the buyer who truly understand what is it like to live the culture.

    While all functions wish to achieve the same objective of closing the deal, it also puts pressure on getting across the finish line which may lead to short-term decisions driving long-term outcomes.


    Nick Picone

    We are always just the opposite, we are concerned about losing top talent and discuss heavily on how to retain them through employee contracts. The people are often the heart of a business and if you lose the people, you lose a lot of the value of the business, at least in my world where we are acquiring manufacturing companies of engineered products.


    I think one of the reason why we acquire company is to get talent in that company then after merger that talent should be kept and no brain drain.
    But we have to identify which talent that we want from the very beginning and during the Due Diligence with retention plan. With the talent we hope will fill the capability gap and will expand our service or strengthen for the best customer experiences.



    Awais Dilawer

    Its most suitable to retain the talent of the acquired firm which is far more better and competitive than the acquiring firm because it would be more profitable for the company in the long run.



    If good talent is identified during HR DD and character and values match with what the buyer wants, I have no doubt that I would hire this talent.


    Karl Heinz Foertsch

    If a talent is spotted, who can add value to the acquiring company there is no reason to let him/her go.

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