One challenge that a company faces when it acquires many companies is how to position them for the most impact and how to combine the many cultures into one comprehensive culture that can be implemented across all the acquisitions.
This is easier when the acquisition are of similar type companies (companies in the same field) as opposed to companies in unrelated fields (which makes it a bit more difficult but not impossible). We must also understand whether the acquired company will be integrated into the parent company or operated as a wholly owned subsidiary.
By conducting a competitive analysis and some market research, we get an idea of what the competition is doing and possible ways to counter their position. We also talk to a dozen of the acquired company’s best customers to find out why they are doing business with them other than price. This is often very revealing. We would also talk to employees of the acquired company to find out about their opinions on the present culture, and any changes they feel would make it more relevant.
Some of the other tasks are creating a new logo if required, positioning the new acquisition as a division, or member of a family, or an independent company. This will be reflected in how they are identified across the company. Once much of this has been done and new directions have been established, it is suggested that a review of the competition’s advertising, public relations and website be conducted to know how they are positioning their products or services as compared to the parent company.
If the parent company has something proprietary, it may be able to be featured across the entire enterprise. The same goes for intellectual property. None of the changes that result are in concrete. They must be dynamic and reflect the times and their specific industry.
Once the parent company has met these challenges, it is suggested that they be presented to some of the key customers to ascertain their opinions. If at that point the parent company feels secure in the knowledge that their efforts have proven successful, the next step is a major public relations re-launch of the company and its products and services.
Franklin Cooper © 2021