To be a part of M&A requires a solid academic background, which is the reason the most coveted M&A jobs usually require an MBA. However, it is also beneficial to be connected with professors, alumni, and others who can help find opportunities at top firms; networking is key to landing these roles.
M&A analysts are employed to develop financial models that analyze the value of two businesses after an acquisition. This requires careful consideration of synergies and cost of capital proforma impact to EdgeCo and IRR. It’s an important role and top companies need to find candidates who can thrive in the company culture. They seek candidates with strong communication skills as well as the ability to work in a group.
Coordination and teamwork are vital to a successful M&A. These processes are more difficult to manage when the target and acquiring companies are separated. With a digital workplace that encourages collaboration, teams can remain on track with integration planning and communication throughout the process.
Achieving a successful cultural fit is among the most difficult aspects of M&A. People often believe that a cultural fit will happen naturally after the deal is concluded however this is a shaky assumption. The attempt to merge AOL Time Warner failed due to cultural differences. AOL’s corporate culture of stoicism did not mesh well with Time Warner’s cocky aggressive approach.
To prevent this kind of disconnect, managers need to ensure that all employees are aware of what is taking place. This can be achieved by providing a trusted stream of information that keeps employees involved, halts rumors and reassures employees about their prospects at the new company.