A New Research Agenda for Managing Socio-Cultural Integration

  • Mélanie E. Hassett
  • Niina Nummela
Chapter

Abstract

Post-acquisition socio-cultural integration has received increasing attention from both scholars and practitioners since the early 1990s. During the past decade, research has increasingly focused on emotions and identity in mergers and acquisitions. This chapter introduces the reader to the vibrant research field and its relevance. This section sets the scene for the book, which provides a deeper understanding of how emotions—both positive and negative—as well as values and identity enable a deeper socio-cultural integration after a merger or acquisition, and how leadership plays a crucial role in making it all happen. This chapter also highlights how the Nordic approach to post-acquisition socio-cultural integration refers to a large community of Nordic academics focusing on the softer social and human side of acquisition, often relying on a huge variety of qualitative methods, and to Nordic companies that are not afraid of adopting a more collaborative approach to post-acquisition integration.

Keywords

Merger and acquisition Post-acquisition Socio-Cultural integration Emotions Identity Management Values 

References

  1. Ager, D. L. (2011). The Emotional Impact and Behavioral Consequences of Post-M&A Integration: An Ethnographic Case Study in the Software Industry. Journal of Contemporary Ethnography, 40(2), 199–230.CrossRefGoogle Scholar
  2. Ailon-Souday, G., & Kunda, G. (2003). The Local Selves of Global Workers: The Social Construction of National Identity in the Face of Organizational Globalization. Organization Studies, 24(7), 1073–1096.CrossRefGoogle Scholar
  3. Alvesson, M., & Sandkull, B. (1988). The Organizational Melting-Pot: An Arena for Different Cultures. Scandinavian Journal of Management, 4(3–4), 135–145.CrossRefGoogle Scholar
  4. Andersson, H., Havila, V., & Salmi, A. (2001). Can You Buy a Business Relationship? On the Importance of Customer and Supplier Relationships in Acquisitions. Industrial Marketing Management, 30(7), 575–586.CrossRefGoogle Scholar
  5. Angwin, D. (2012). Merger and Acquisition Typologies: A Review. In D. Faulkner, S. Teerikangas, & R. J. Joseph (Eds.), The Handbook of Mergers and Acquisitions (pp. 40–70). Oxford University Press.CrossRefGoogle Scholar
  6. Angwin, D. N., & Meadows, M. (2015). New Integration Strategies for Post-acquisition Management. Long Range Planning, 48(4), 1–17.CrossRefGoogle Scholar
  7. Ashkanasy, N. M., & Daus, C. S. (2002). Emotion in the Workplace: The New Challenge for Managers. Academy of Management Perspectives, 16(1), 76–86.Google Scholar
  8. Barsade, S. G. (2002). The Ripple Effect: Emotional Contagion and Its Influence on Group Behavior. Administrative Science Quarterly, 47(4), 644–675.CrossRefGoogle Scholar
  9. Bauer, F., King, D., & Matzler, K. (2016). Speed of Acquisition Integration: Separating the Role of Human and Task Integration. Scandinavian Journal of Management, 32(3), 150–165.CrossRefGoogle Scholar
  10. Birkinshaw, J., Bresman, H., & Håkanson, L. (2000). Managing the Post-acquisition Integration Process: How the Human Integration and Task Integration Processes Interact to Foster Value Creation. Journal of Management Studies, 37(3), 395–423.CrossRefGoogle Scholar
  11. Buono, A. F., & Bowditch, J. L. (1989). The Human Side of Mergers and Acquisitions. San Francisco: Jossey-Bass.Google Scholar
  12. Cartwright, S., & Cooper, C. L. (1993). The Role of Culture Compatibility in Successful Organizational Marriage. Academy of Management Executive, 7(2), 57–70.Google Scholar
  13. Cartwright, S., & Schoenberg, R. (2006). Thirty Years of Mergers and Acquisitions Research: Recent Advancement and Future Opportunities. British Journal of Management, 17(S1), S1–S5.CrossRefGoogle Scholar
  14. Cartwright, S., Teerikangas, S., Rouzies, A., & Wilson-Evered, E. (2012). Methods in M&A—A Look at the Past and the Future to Forge a Path Forward. Scandinavian Journal of Management, 28(2), 95–106.CrossRefGoogle Scholar
  15. Degbey, W. Y. (2015). Customer Retention. A Source of Value for Serial Acquirers. Industrial Marketing Management, 46(April), 11–23.CrossRefGoogle Scholar
  16. Diefendorff, J. M., & Gosserand, R. H. (2003). Understanding the Emotional Labor Process: A Control Theory Perspective. Journal of Organizational Behavior, 24(8), 945–959.CrossRefGoogle Scholar
  17. Donaldson, T. (1996, September–October). Values in Tension: Ethics Away from Home. Harvard Business Review, 74(5), 48–62.Google Scholar
  18. Elizur, D., Borg, I., Hunt, R., & Magyari Beck, I. (1991). The Structure of Work Values: A Cross Cultural Comparison. Journal of Organizational Behavior, 12(1), 21–38.CrossRefGoogle Scholar
  19. Forsgren, M., Holm, U., & Johanson, J. (2005). Managing the Embedded Multinational. Cheltenham, UK: Edward Elgar.CrossRefGoogle Scholar
  20. Gomes, E., Angwin, D. N., Weber, Y., & Tarba, S. Y. (2013). Critical Success Factors Through the Mergers and Acquisition Process: Revealing Pre- and Post-M&A Connections for Improved Performance. Thunderbird International Business Review, 55(1), 13–35.CrossRefGoogle Scholar
  21. Gooty, J., Connelly, S., Griffith, J., & Gupta, A. (2010). Leadership, Affect, and Emotions: A State of the Science Review. The Leadership Quarterly, 21(6), 979–1004.CrossRefGoogle Scholar
  22. Graebner, M., Heimeriks, K., Huy, Q., & Vaara, E. (2017). The Process of Post-merger Integration: A Review and Agenda for Future Research. Academy of Management Annals, 11(1), 1–32.CrossRefGoogle Scholar
  23. Gunkel, M., Schlaegel, C., Rossteutscher, T., & Wolff, B. (2015). The Human Aspect of Cross-border Acquisition Outcomes: The Role of Management Practices, Employee Emotions, and National Culture. International Business Review, 24(3), 394–408.CrossRefGoogle Scholar
  24. Harikkala-Laihinen, R., Hassett, M., Nummela, N., & Raitis, J. (2018). Dialogue as a Source of Positive Emotions During Cross-Border Post-Acquisition Socio-Cultural Integration. Cross Cultural and Strategic Management, 25(1), 183–208.CrossRefGoogle Scholar
  25. Haspeslagh, P. C., & Jemison, D. B. (1991). Managing Acquisitions—Creating Value Through Corporate Renewal. New York: The Free Press.Google Scholar
  26. Hassett, M., Reynolds, S.-N., & Sandberg, B. (2018). The Emotions of Top Managers and Key Persons in Cross-Border M&As: Evidence from a Longitudinal Case Study. International Business Review. In press.Google Scholar
  27. Havila, V., & Salmi, A. (2000). Speed of Change in Business Networks: An Empirical Study of Mergers and Acquisitions in the Graphic Industry. Journal of Strategic Marketing, 8(2), 105–119.CrossRefGoogle Scholar
  28. Hurmerinta-Peltomäki, L., & Nummela, N. (2006). Mixed Methods in International Business: A Value-Added Perspective. Management International Review, 46(4), 1–21.CrossRefGoogle Scholar
  29. Huy, Q. N. (2012). Emotions in Strategic Organization: Opportunities for Impactful Research. Strategic Organization, 10(3), 240–247.CrossRefGoogle Scholar
  30. Junni, P., & Sarala, R. M. (2014). The Role of Leadership in Mergers and Acquisitions: A Review of Recent Empirical Studies. In S. Finkelstein & C. L. Cooper (Eds.), Advances in Mergers and Acquisitions (Vol. 13, pp. 181–200). Emerald Group Publishing Limited.CrossRefGoogle Scholar
  31. Kaplan, S., Cortina, J., Ruark, G., LaPort, K., & Nicolaides, V. (2014). The Role of Organizational Leaders in Employee Emotion Management: A Theoretical Model. The Leadership Quarterly, 25(3), 563–580.CrossRefGoogle Scholar
  32. Kiefer, T. (2002). Understanding the Emotional Experience of Organizational Change: Evidence from a Merger. Advances in Developing Human Resources, 4(1), 39–61.CrossRefGoogle Scholar
  33. Kusstatscher, V. (2006). Cultivating Positive Emotions in Mergers and Acquisitions. In C. L. Cooper & S. Finkelstein (Eds.), Advances in Mergers and Acquisitions (Vol. 5, pp. 91–103). Emerald Group Publishing Limited.Google Scholar
  34. Kusstatscher, V., & Cooper, C. L. (2005). Managing Emotions in Mergers and Acquisitions. Cheltenham: Edward Elgar Publishing Ltd.CrossRefGoogle Scholar
  35. Larsson, R., & Lubatkin, M. (2001). Achieving Acculturation in Mergers and Acquisitions: An International Case Survey. Human Relations, 54(12), 1573–1607.CrossRefGoogle Scholar
  36. Marks, M. L., & Mirvis, P. H. (1997). Revisiting the Merger Syndrome: Dealing With Stress. Mergers and Acquisitions, 31(6), 21–27.Google Scholar
  37. Meglio, O., King, D. R., & Risberg, A. (2017). Speed in Acquisitions: A Managerial Framework. Business Horizons, 60(3), 415–425.CrossRefGoogle Scholar
  38. Meglio, O., & Risberg, A. (2011). The (Mis)measurement of M&A Performance—A Systematic Narrative Literature Review. Scandinavian Journal of Management, 27(4), 418–433.CrossRefGoogle Scholar
  39. Nahavandi, A., & Malekzadeh, A. R. (1988). Acculturation in Mergers and Acquisitions. Academy of Management Review, 13(1), 79–90.Google Scholar
  40. Napier, N. K. (1989). Mergers and Acquisitions, Human Resource Issues and Outcomes: A Review and Suggested Typology. Journal of Management Studies, 26(3), 271–289.CrossRefGoogle Scholar
  41. Öberg, C. (2014). Customer Relationship Challenges Following International Acquisitions. International Marketing Review, 31(3), 259–282.CrossRefGoogle Scholar
  42. Raitis, J., Harikkala-Laihinen, R., Hassett, M., & Nummela, N.. (2017). Finding Positivity During a Major Organizational Change—In Search of Triggers of Employees’ Positive Perceptions and Feelings. In W. J. Zerbe, C. E. J. Härtel, N. M. Ashkanasy, & L. Petitta (Eds.), Emotions and Identity (Research on Emotions in Organizations, volume 13). Emerald Group Publishing Limited.Google Scholar
  43. Raukko, M. (2009). Organizational Commitment During Organizational Changes: A Longitudinal Case Study on Acquired Key Employees. Baltic Journal of Management, 4(3), 331–352.CrossRefGoogle Scholar
  44. Reus, T. H. (2012). Culture’s Consequences for Emotional Attending During Cross-border Acquisition Implementation. Journal of World Business, 47(3), 342–351.CrossRefGoogle Scholar
  45. Riad, S., & Vaara, E. (2011). Varieties of National Metonymy in Media Accounts of International Mergers and Acquisitions. Journal of Management Studies, 48(4), 737–771.CrossRefGoogle Scholar
  46. Risberg, A. (2001). Employee Experiences of Acquisition Processes. Journal of World Business, 36(1), 58–84.CrossRefGoogle Scholar
  47. Rosenblatt, V. (2011). The Impact of Institutional Processes, Social Networks, and Culture on Diffusion of Global Work Values in Multinational Organizations. Cross Cultural Management: An International Journal, 18(1), 105–121.CrossRefGoogle Scholar
  48. Rouzies, A. (2011). Antecedents of Employees’ Identification with a Merger. A Three-Stage Empirical Study. International Studies of Management and Organization, 41(3), 25–41.CrossRefGoogle Scholar
  49. Rouzies, A., & Colman, H. L. (2012). Identification Processes in Post-acquisition Integration: The Role of Social Interactions. Corporate Reputation Review, 15(3), 143–157.CrossRefGoogle Scholar
  50. Sarala, R. M. (2010). The Impact of Cultural Differences and Acculturation Factors on Post-acquisition Conflict. Scandinavian Journal of Management, 26(1), 38–56.CrossRefGoogle Scholar
  51. Sarala, R. M., Junni, P., Cooper, C. L., & Tarba, S. Y. (2016). A Sociocultural Perspective on Knowledge Transfer in International Acquisitions. Journal of International Business Studies, 41(8), 1365–1390.CrossRefGoogle Scholar
  52. Sarala, R. M., & Vaara, E. (2010). Cultural Differences, Convergence, and Crossvergence as Explanations of Knowledge Transfer in International Acquisitions. Journal of International Business Studies, 41(8), 1365–1390.CrossRefGoogle Scholar
  53. Sarala, R. M., Vaara, E., & Junni, P. (forthcoming). Beyond Merger Syndrome and Cultural Differences: New Avenues for Research on the “Human Side” of Global Mergers and Acquisitions (M&As). Journal of World Business. Published electronically October 19, 2017. https://doi.org/10.1016/j.jwb.2017.10.001
  54. Shrivastava, P. (1986). Post-Merger Integration. The Journal of Business Strategy, 7(1), 65–76.CrossRefGoogle Scholar
  55. Sinkovics, R. R., Zagelmeyer, S., & Kusstatscher, V. (2011). Between Merger and Syndrome: The Intermediary Role of Emotions in Four Cross-Border M&As. International Business Review, 20(1), 27–47.CrossRefGoogle Scholar
  56. Stahl, G. K., Angwin, D. N., Very, P., Gomes, E., Weber, Y., Tarba, S. Y., et al. (2013). Sociocultural integration in Mergers and Acquisitions: Unresolved Paradoxes and Directions for Future Research. Thunderbird International Business Review, 55(4), 333–356.CrossRefGoogle Scholar
  57. Stahl, G. K., & Voigt, A. (2008). Do Cultural Differences Matter in Mergers and Acquisitions? A Tentative Model and Examination. Organization Science, 19(1), 60–176.CrossRefGoogle Scholar
  58. Sy, T., Côté, S., & Saavedra, R. (2005). The Contagious Leader: Impact of the Leader’s Mood on the Mood of Group Members, Group Affective Tone, and Group Processes. Journal of Applied Psychology, 90(2), 295–305.CrossRefGoogle Scholar
  59. Teerikangas, S. (2012). Dynamics of Acquired Firm Pre-acquisition Employee Reactions. Journal of Management, 38(2), 599–639.CrossRefGoogle Scholar
  60. Teerikangas, S., & Joseph, R. J. (2012). Post-deal Integration. An Overview. In D. Faulkner, S. Teerikangas, & R. J. Joseph (Eds.), The Handbook of Mergers and Acquisitions (pp. 339–371). Oxford University Press.CrossRefGoogle Scholar
  61. Teerikangas, S., & Very, P. (2006). The Culture-Performance Relationship in M&A: From Yes/No to How. British Journal of Management, 17(S1), S31–S48.CrossRefGoogle Scholar
  62. Teerikangas, S., & Very, P. (2012). Culture in Mergers and Acquisitions. A Critical Synthesis and Steps Forward. In D. Faulkner, S. Teerikangas, & R. J. Joseph (Eds.), The Handbook of Mergers and Acquisitions (pp. 392–430). Oxford University Press.CrossRefGoogle Scholar
  63. Teerikangas, S., Very, P., & Pisano, V. (2011). Integration Managers’ Value-Capturing Roles and Acquisition Performance. Human Resource Management, 50(5), S31–S48.CrossRefGoogle Scholar
  64. Thanos, I., & Papadakis, V. (2012). Unbundling Acquisition Performance: How Do They Perform and How Can This Be Measured? In D. Faulkner, S. Teerikangas, & R. J. Joseph (Eds.), The Handbook of Mergers and Acquisitions (pp. 114–147). Oxford University Press.CrossRefGoogle Scholar
  65. Tienari, J., Søderberg, A.-M., Holgersson, C., & Vaara, E. (2005). Gender and National Identity Constructions in the Cross-Border Merger Context. Gender, Work and Organization, 12(3), 217–241.CrossRefGoogle Scholar
  66. Vaara, E., Junni, P., Sarala, R. M., Ehrnrooth, M., & Koveshnikov, A. (2014). Attributional Tendencies in Cultural Explanations of M&A Performance. Strategic Management Journal, 35(9), 1302–1317.CrossRefGoogle Scholar
  67. Vaara, E., Sarala, R., Stahl, G. K., & Björkman, I. (2012). The Impact of National and Organization Cultural Differences on Post-acquisition Integration Outcomes. Journal of Management Studies, 49(1), 1–27.CrossRefGoogle Scholar
  68. Vaara, E., & Tienari, J. (2011). On the Narrative Construction of Multinational Corporations: An Antenarrative Analysis of Legitimation and Resistance in Cross-Border Merger. Organization Science, 22(2), 370–390.CrossRefGoogle Scholar
  69. Vaara, E., Tienari, J., & Laurila, J. (2006). Pulp and Paper Fiction: On the Discursive Legitimation of Global Industrial Restructuring. Organization Studies, 27(6), 789–810.CrossRefGoogle Scholar
  70. Vaara, E., Tienari, J., Piekkari, R., & Säntti, R. (2005). Language and the Circuits of Power in a Merging Multinational Corporation. Journal of Management Studies, 42(3), 595–623.CrossRefGoogle Scholar
  71. Vaara, E., Tienari, J., & Säntti, R. (2003). The International Match: Metaphors as Vehicles of Social Identity Building in Cross-Border Mergers. Human Relations, 56(4), 419–452.CrossRefGoogle Scholar
  72. van Dick, R., Ullrich, J., & Tissington, P. A. (2006). Working Under a Black Cloud: How to Sustain Organisational Identification After a Merger. British Journal of Management, 17(S1), S69–S79.CrossRefGoogle Scholar
  73. van Knippenberg, D., & Sleebos, E. (2006). Organizational Identification Versus Organizational Commitment: Self-Definition, Social Exchange, and Job Attitudes. Journal of Organizational Behavior, 27(5), 571–584.CrossRefGoogle Scholar
  74. Very, P., Lubatkin, M., & Calori, R. (1996). A Cross-National Assessment of Acculturative Stress in Recent European Mergers. International Studies of Management and Organisation, 26(1), 59–86.CrossRefGoogle Scholar
  75. Williams, S. L. (2011). Engaging Values in International Business Practice. Business Horizons, 54(4), 315–324.CrossRefGoogle Scholar
  76. Wong, M. Y. (2016). Towards a Theory of Mood Function. Philosophical Psychology, 29(2), 179–197.CrossRefGoogle Scholar
  77. Zagelmeyer, S., Sinkovics, R. R., Sinkovics, N., & Kusstatscher, V. (forthcoming). Exploring the Link Between Management Communication and Emotions in Mergers and Acquisitions. Canadian Journal of Administrative Sciences. Published online June 2, 2016. https://doi.org/10.1002/cjas.1382

Copyright information

© The Author(s) 2018

Authors and Affiliations

  • Mélanie E. Hassett
    • 1
    • 2
  • Niina Nummela
    • 2
  1. 1.University of SheffieldSheffieldUK
  2. 2.School of Economics, University of TurkuTurkuFinland

Personalised recommendations