Organizational structural factors leading to financially successful mergers and acquisitions: A phenomenological case study.

摘要

Mergers and Acquisitions (M&A) amid organizations in various industries have increased on a global scale over the past two decades. M&A failure rates among organizations are between 60% and 80% across many industries despite the existing research containing many effective business strategies to overcome failures. A cause of M&A failures is disagreement among leaders about effective organizational structure designs. M&A failures caused from difficulties in merging disparate organizational structures result in high leadership turnover. The purpose of the qualitative, phenomenological case study was to identify the organizational structural factors leading to financially successful M&As to aid in the improvement of future M&As and reduce the turnover rate among leadership in the pharmaceutical industry. The results of the research study indicated organizational structural factors such as allowing autonomy, adaptability, minimal hierarchy and bureaucracy, aligning work functional areas, and combining similar functions and divisions lead to financially successful M&As.