After a Merger, Don’t Let “Us vs. Them” Thinking Ruin the Company

When a merger or acquisition is announced, people instinctively wonder who “they” are — “they” being the company on the other side. Whether the company is known or not, there’s an instinctive reaction to regard “them” with a wary eye. Cultural differences can emerge, particularly if the companies have been at different ends of the spectrum in the marketplace. What makes sense on paper — i.e. a high-end product-line company merging with a low-end product-line company — can devolve into an us versus them dynamic as the companies’ different approaches and cultures inevitably conflict. While us-versus-them thinking can undermine deal success, it doesn’t have to. Managers can minimize the downside potential by focusing on creating a cohesive culture, by communicating consistently, and by committing to a smooth transition in both words and actions. Focusing on what’s best for the customer will go a long way toward positioning the new organization for success.