The Importance of Identifying Value during a Merger or Acquisition
The chairman and chief executive officer of Capstone Financial Group in Irvine, California, Darin Pastor holds a master of business administration from the University of Liverpool and participated in the Harvard Business School Advanced Management Program. In addition, Darin Pastor holds multiple certificates from the Wharton School of the University of Pennsylvania, including one focused on mergers and acquisitions.
In today’s business climate, mergers and acquisitions can prove incredibly complex. When approaching a merger, it is critical that leaders understand the culture of each organization involved. This entails asking how the two can merge in a way that respects the values and shared purpose of both organizations, in order to increase rather than decrease value.
Part of what makes for a successful merger or acquisition is identifying roles and responsibilities early. To this end, leadership selection in the new organization is especially crucial. Communication is also key; understanding why the merger or acquisition is occurring--the expected added value--reduces anxiety among employees.
In today’s business climate, mergers and acquisitions can prove incredibly complex. When approaching a merger, it is critical that leaders understand the culture of each organization involved. This entails asking how the two can merge in a way that respects the values and shared purpose of both organizations, in order to increase rather than decrease value.
Part of what makes for a successful merger or acquisition is identifying roles and responsibilities early. To this end, leadership selection in the new organization is especially crucial. Communication is also key; understanding why the merger or acquisition is occurring--the expected added value--reduces anxiety among employees.
