This paper aims to review initial findings of a ten‐year study into instability in executive teams preceding and after mergers.
This briefing is prepared by an independent writer who adds their own impartial comments.
Consultants and executives involved in mergers and acquisitions (M&A) will be interested in the recently published findings of a ten year study into the close relationship between takeovers and executive churn. Jeffrey A. Krug of Virginia Commonwealth University and Walt Shill of Accenture, VA, have assembled a large volume of data in order to investigate what happens to executives following an acquisition. It makes for unsettling reading for anyone considering an M&A.
The paper gives a warning about likely executive loss to all those considering M&As, and points out possibilities for further study.
The paper presents some key observations from a new database on several thousand companies, leading to some general expectations of the leadership problems that come with M&As.
