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A merger starts when a ‘trigger’ is identified.

This is called the Frame

In M&A, make sure the transaction is irreversible

HR Evaluations in M&A.

Financial side People Side


1. Total HR cost as % of revenue Human capital, evaluate the
Why do we look at revenue, not cost? Costs can be management team, look at
erratic, HR cost as a % of OPEX could be very high or very their profiles, experiences,
low, hence we look at % of sales. whether there are more
success or failure stories.
2. HR Cost Processes, recruitment
Headcount x compensation policies, performance
management, learning and
development. Decision making
forum.
3. Litigation Cost?? Quality poor or good?

How is compensation difference tackled?

1. Provide protection across the board (compensation ko nahi chherna) for, say 2 years, in order
to protect key talent
2. Termination of contract, providing new contracts on your own terms.

How are cultures aligned? (Skill and will matrix)

Skill Low X (skill training) X (layoff)


High X (plug and play) X (behavior
training)
High Low

Will

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