Abstract
There is a high failure rate of mergers and acquisitions. Most of them fail during the integration process. This article examines the organizational factors that negatively impact the integration process and suggests eight principles to make the integration more effective and successful. The factors discussed are based on empirical findings, literatures, and case studies. The major causes include improper managing and strategy, culture differences, delays in communication, and lack of clear vision. Therefore, the keys to successful integration process are a hands‐on leadership styles, a bias for action, involvement of the entire staff, continuous focus on customers, and most of all, open and honest communication with employees.
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