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Redesigning the Due Diligence Model-focusing on the human part is indispensable for success in international M&A

<p>This dissertation presents the critics of a successful due diligence and thus difficulties</p><p>of a well done merger or acquisition as well as where there should be more attention</p><p>in order to conduct a successful M&A. In the field of M&A, many studies have</p><p>concluded that after the deal most of the time the shareholder value will decrease</p><p>rather than increase. Due to that the critics of a successful due diligence and thus</p><p>difficulties of a well performed merger or acquisition will be discussed as well as</p><p>where there should be a higher attention in order to conduct a successful M&A. It is</p><p>assessed that during the due diligence process most focus is on the financial, legal</p><p>and commercial issues. Also the part of the human resources is mostly just focused</p><p>on the legal and financial items. Since the future performance of the combined</p><p>company has a high connection to the employed staff, this dissertation focuses on</p><p>the human and cultural side of a due diligence. It is investigated what managers have</p><p>to be aware of, how communication and integration of employees should be</p><p>managed as well as the combination of different cultures. Therefore we developed an</p><p>altered human recourse due diligence model. In that it is explained how we think a</p><p>human due diligence should be prepared and what has to be included. Furthermore it</p><p>is explained how the integration of humans and their culture can be fulfilled and what</p><p>has to receive attention.</p><p>In the analysis a survey of consultants is presented which shows how far companies</p><p>already think about the mentioned issues as well how the respondents believe that</p><p>an altered human resources due diligence model will be more useful for successin</p><p>M&A transactions.</p>

Identiferoai:union.ndltd.org:UPSALLA/oai:DiVA.org:hkr-3796
Date January 2005
CreatorsBonsen, Marvin, Freiherr von der Heydte, Wenzel, Wlasynowicz, Monika Anna
PublisherKristianstad University College, Department of Business Administration, Kristianstad University College, Department of Business Administration, Kristianstad University College, Department of Business Administration
Source SetsDiVA Archive at Upsalla University
LanguageEnglish
Detected LanguageEnglish
TypeStudent thesis, text

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