Human Resources Strategy and Change: The Risks and Chances of German/Chinese Mergers and Acquisitions
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Define and follow a structured road map for a post-acquisition integration.
Use HR as a strategic partner for the integration process.
Use internal or external culture consultants to manage the process.
Ensure the commitment of the top management.
M & As are difficult to implement even within the same culture. In German–Chinese M & As, the post-merger integration is compounded by cross-cultural differences. Cases 2 and 3 show that managers without the necessary cross-cultural skills and competencies will have false perceptions and take wrong decisions.
Case 1 proves the importance of a clear business and PMI strategy which should be prepared before the signing of the merger contract. Special attention should be given to the cultural and management fit of the two companies. Mutual trust and patience are required, as legal procedures may take more time than expected. Cases 2 and 3 deal with the key role of M & A sponsors and discuss the required qualities of the persons in charge of the PMI process. Case 2 points out specific issues of Chinese acquisitions.