The Impact of Mergers and Acquisitions on Employee Engagement

Impact of Mergers and Acquisitions on Employee Engagement

The number of mergers and acquisitions (M&A) among dealer groups in the heavy equipment industry is increasing every year. These transitions are times of significant change and challenge for employees as they adapt to new processes, leadership styles, and culture.  Ensure success by having a solid understanding of the effects these transitions have on your employees and strategies to minimize any negative effects.  Aon’s Managing Employee Engagement During Times of Change Report describes the importance of understanding what happens to employee engagement during different types of change and the actions that have the greatest impact on engagement.

A key takeaway from this report:

The proportion of highly engaged employees does not change from the baseline due either to strategy transformation or restructuring. This may indicate that the most engaged employees remain resilient during these types of change. However, the percentage of actively disengaged employees increases substantially during these times.

When two companies’ transition into a single operating unit there is bound to be some friction and stress. Mergers involve joining two cultures and processes, while acquisitions involve a takeover with what employees may perceive as winners and losers. To help keep engagement high we recommend collecting employee feedback both during a transition and afterward. Investing time to learn what your employees are experiencing may expose issues you weren’t aware of or processes that may have been omitted by mistake.

Here are 3 ways employee feedback can help achieve company objectives and help ensure a successful and smooth transition