Merger Negotiations:

Merger Negotiations:When Collaboration Turns to Combat

Alignment in mergersTheres a business imperative Its the right time for the CEOsOn balance the Boards support the mergerMajor differences have been resolved

Pressure from Government funding bodiesIncreased accountability requirementsChanging funding structures / cash reservesMajor investment in marketing, technology, social enterprise

Business imperatives for NFPs

They will lead and drive the processIt will impact on their roles / employmentThey are often strongly invested in what they have built up

Concerns for CEOs

Boards are comprised of a number of peopleBoards make decisions by consensus or majority voteThere is more than one Board involved in a mergerThere are opinion leaders / influencers within each Board

Things to know about Boards

Personal history / lack of trust Personality clashesClashes of valuesPower dynamicsPersonal and organisational interestsFear of change / loss of control

Other Factors:

Build strong pillars before you build a platform

Pillars in a Merger NegotiationWorking Group Terms of ReferenceBudget / division of costsLegal structure for the mergeBoard structure for the new entityManagement structure for the new entityIn principle agreements re HR transitionLocations, sites, head officeName change

Build the foundation before you build the pillars!

Mergers are about peopleThe four intentsGet it DoneGet AppreciatedGet AlongGet It Right

Rick Brinkman & Rick Kirschner, Dealing with People you Cant Stand

Understand the individuals involvedMeet their individual needs as far as possibleIdentify the influencers and road blocksWork with individuals, but always be transparent in the processUse your mediation skills!

Working with the people

Debbie JamiesonD Jamieson Consulting

www.djamiesonconsulting.com.au

(02) 9898 99720433 985 143

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