Don't Get Cocky: M&A Integration Risks and Challenges

Even though your deal looks great, you should be aware of some of the risks and challenges you face. So let’s take a look at what could prove to be very painful if you don’t manage your acquisition integration properly.

1. Complacency. A sense of self-satisfaction with the way things are, an assumption that nothing has really changed, can cause people to simply ignore the fact that a merger has taken place. So, where’s the danger in that? Well, the fact is some things need to change . . . for the better. Oxford Health Plans needed to adopt a bit more of a national mindset in order to take advantage of some of the strengths that United Healthcare brings to the table. In addition, the merger promised the marketplace that the combined organization would be able to deliver more value than the two separate companies could do alone. Otherwise, why do a deal at all? So, if things need to change, but people aren’t willing or able to make those changes, then risk rises.
    
2. “Wait and See” attitude. This is another one that, on the surface, can look . . .