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Strategic Restructuring:
Partnership Options for Nonprofits

La Piana Associates
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The Forms of Strategic Restructuring

Deciding to Restructure

Funding the Strategic Restructuring Process

The Negotiations Process

Due Diligence

Financial Issues

External Communications

Implementing a Partnership

Integrating the New Organization

Leadership and Management

Human Resources

Working with Consultants

 

 

 

Tips and Answers to Your Questions
Integrating the New Organization

   

What types of resistance may result after the merger, and how can the companies minimize the resistance?

Strategic restructuring is all about change, and a merger, which is the most highly integrative form of strategic restructuring, involves enormous change to both (or all, if there are more than two parties) of the participating organizations. Any change, even desired change, meets resistance. Imposed change gets the greatest resistance. Resistance is lessened not by denying it or pushing against it, but by engaging it and removing the obstacles to the preferred future.

Resistance can take many forms. Staff may "drag their feet" in implementing aspects of the integration. People may start, and spread, rumors with an energy not previously seen in the organization. Individuals may spend more time identifying all the reasons aspects of the merger implementation plan will not work, instead of focusing on how it can. And if people feel awash in uncertainty - not uncommon in a merger situation - they will likely spend a lot more time worrying about their own futures than about that of the organization as a whole.

How can you minimize this resistance? First and foremost, accept that resistance is normal and that it will occur. Be proactive in identifying and addressing it from the moment you announce that a merger will take place. Strong, positive, energetic, and forward-thinking leadership is essential, as is frequent communication. Studies have shown that it is not change itself that people struggle with most in merger situations - it is the uncertainty that often accompanies the change. Minimize that uncertainty as much as possible. Address the "me" issues quickly - what will happen to people's jobs, job titles, responsibilities, compensation packages. Make sure that at every stage of the implementation process, you are communicating with your stakeholders. Let them know where you are, where you are going, and, most importantly, why you are going there. Focus on the positive - how the merger will allow the organization to better achieve its mission, help its clients, create a better world - while not ignoring the natural worries, fears and anxieties that people may be feeling. And lastly, accept the fact that not everyone will necessarily be a good "fit" for the new organization, and some individuals' resistance may be too strong. Those people may be much happier in a different type of organization, and it is okay for them, and for you, to admit that and help them to move on.