Why Doesn’t HR Carry More Clout in M&A?

It should carry clout. And it can.

I’ll explain how, but first let’s look at the problem.

CFO Magazine provides a troubling perspective.  In the article titled “Debating HR’s Role in Deal-Making,” finance executives heavily devalue the contribution made by Human Resources in M&A scenarios.

(See chart).

Why Doesn’t HR Carry More Clout in M&A

Keep in mind, now, that Finance is always front and center in deal making.  Their opinions count!

Think the folks in Finance are biased?  Ok, let’s look at HR’s role through a wide-angle lens. PRITCHETT’s recent nationwide study on culture in M&A provides a very broad executive viewpoint.  The results of our research show that, when it comes to addressing cultural matters in mergers, HR’s sphere of influence is extremely small.  Only 6% of the companies surveyed put HR in charge of culture assessment/integration.

So how can HR overcome the Rodney Dangerfield problem: “I don’t get no respect!”?  ...