As an executive consultant, I’ve had the opportunity to work with many Fortune 500 companies. I find that when one company acquires another, there are bound to be major changes across the board and managing this change within the organization is critical. Such a big move will affect everyone at every level, although some more than others. 


If your company is going to be acquired, or if you are looking to acquire another, read on to find out how this acquisition can impact the day to day at your company.


Increased Communication

With large shifts comes a wide array of meetings, phone calls, and emails to discuss pending changes to staff at various levels. When employees find out about an acquisition, they should be prepared to spend more time in meetings. Managers should prepare themselves for a barrage of questions. After some time, this level of communication will die down to normal levels, but for a few months, it is likely to remain consistently high.

Consolidated Teams

Many acquisitions result in consolidated teams, which means there may be layoffs. This is an unfortunate situation, but in many cases, it is unavoidable. After all, if you have two teams doing the same job, you may be spending much more on personnel than you can justify. Employees should know that there may be consolidations or role changes in order to let more people keep their jobs. Along these lines, employees may also begin to report to new managers or have additional temporary supervision to help aid in the changes.


Process Changes

When a company acquires another, there are sure to be managers and executives who prefer certain processes over others. As a result, many daily processes can change, and some may change quickly. It is important for everyone at every level to be prepared for new ways of working. Managers should do their best to provide support to employees so that they do not feel overwhelmed at this time.


Policy Overhauls

Finally, benefits and other policies may have significant changes around this time. For example, healthcare plans may be swapped in favor of the acquiring company’s plans. There could also be changes to PTO, work from home, and other policies. However, depending on the timing of the acquisition, some changes may not go into effect until the following calendar year.


Having an effective change management strategy is critical in an acquisition. Everyone should be prepared for major changes when they get word of an acquisition, regardless of which side of the transaction they are on. For more information on change management strategies or expert advice, visit