Mergers and acquisitions (M&As) are high-stakes ventures that promise growth, innovation, and a competitive advantage, but that promise can only be realized by prioritizing a critical factor that can make or break the success of the initiative: culture. Whether it's the diversity of global cultures in multinational mergers or the differences between two distinct corporate cultures, the challenges are significant. A failure to integrate effectively doesn’t just threaten the success of the merger, it also impacts the financial health of an organization. Below, we discuss the cultural complexities of M&As, the risks of ignoring them, and actionable strategies to bridge related gaps effectively. Challenges in Cultural Integration During Mergers and Acquisitions Asking diverse groups of people to collaborate efficiently without supporting them and "translating" their different priorities, values, and cultural norms is risky under any circumstances. This is particularly important in M&As, where two diverse workforces have learned to do business in ways that have been defined by their separate employers. In multinational mergers, differences in communication styles, decision making, and business etiquette can create friction or complete breakdowns in productivity. Corporate culture clashes can also occur from contrasting leadership styles, organizational values, levels of employee engagement, and cultural attitudes about change. Without targeted attention, these challenges can undermine collaboration, erode trust, and jeopardize the success of the merger. 

A series of trends and events are impacting the way APAC-based companies are doing business, as well as how international organizations engage with them. As workforce borders within this active region continue to blur, intercultural agility has become more important – and more nuanced – than ever before. Whether it’s a business that's building a diverse workforce within the APAC region or a multi-national company working across cultures to do business with them, employers and the employees that work for them must forget everything they think they know about intercultural communication. Growing workforce diversity means not just knowing about the culture a business is headquartered in, but also the many cultures making up their staff. Intercultural training has therefore become a crucial investment for any business hoping to thrive in this diverse landscape. 

Most mobile employees accept international relocations with mixed feelings that include excitement and curiosity. However, they’re often surprised when their move comes with more feelings of disorientation than they expected. Culture shock – the feelings of confusion, disconnectedness, and anxiety that people experience while integrating into a new culture – can make it difficult for mobile employees to transition into their new assignments effectively. It can also make it difficult for their accompanying families to settle into their new home, adding further stress to your employees’ relocation experiences. It all negatively impacts employees – but it has costly negative impacts for the organization, too.  Understanding the stages of culture shock can make dealing with it easier. Below, we take a look at each and offer suggestions your employees can use for navigating them. While supporting them on their journeys helps them to integrate into their new surroundings faster and with greater ease – it also benefits business productivity, organizational goals, and the company’s bottom line. Stages of Culture Shock & Suggestions for Dealing with Them