First, most companies are having a very difficult time with people issues across the board. Second, attainment of business objectives is highly correlated to workforce issues. Virtually all surveyed encountered common problems in implementing the human aspects of the merger. All agreed that the speed of integration was critical, with some suggesting that the first six months are key. The fact that half of all acquired firms reported that management had failed to pay serious attention to important workforce problems does not bode well for the fulfillment of the strategic visions that initially motivate such deals.
Key talent leaves.
Lowered overall productivity and individual performance. Incomplete or infrequent communications. Placement errors 5. Management denial or inattention to key workforce problems. Lack of direction during implementation.