HR/Benefits Consulting Articles

How people-focused practices bolster M&A success rates

When described in the business press, high-profile M&A targets seem to be viewed as commodities – inanimate objects to be bought and sold quickly, assets broken up or spun off – with minimal attention paid to the pain that human beings typically experience when they’re being bartered.

Poor planning around HR issues and excessive focus on financial and operational details derail many transactions, says Ronald Castor, a partner with JC Jones & Associates LLC, which offers business integration and M&A services. Most companies would do well, he says, to conduct due diligence that involves not just the balance sheet but also core values.

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Critical challenges facing human resources

To be effective, strategic HR planning must occur within the context of the organization’s overall business plan. Short- and long-term business strategies will dictate what human resources will be needed in what areas. These strategies also will shape HR decisions on organizational design, selection, retention, training and development, performance management and rewards.

In 2007, proactive organizations will be looking at fresh ways to elicit optimal performance from employees, integrate new technology to streamline the HR function, leverage new pension legislation to support HR and organizational goals, control benefit costs , and communicate effectively with employees about these and other changes.

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Expert HR planning eases acquisition process

As more firms opt to grow through acquisition, the need to address crucial HR issues becomes clearer. Inexperience and inflated expectations often lead company leaders to underestimate what’s necessary to retain key talent and manage communications throughout a transition. How can merging companies keep productivity high while avoiding the cultural mismatches that often generate disappointing results?

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HR managers faced with clear and urgent priorities

In 2005, priorities for HR managers in local companies will fall into one or more of the following categories: compliance, benefits, training, technology, performance management and rewards, and leveraging outsourcing expertise. Some initiatives, such as ensuring compliance with the new Fair Labor Standards Act (FLSA) rules regarding employee classifications, are essential to address immediately. Others, such as adding wellness programs to encourage employees to stop smoking or lose weight, are nice-to-haves.

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Creating an effective performance appraisal system

Everyone is looking for E=MC² when it comes to performance appraisals - but there's no perfect formula. Evaluating and motivating employees involves doing a lot of little things right, all the time, rather than creating the perfect form. What are the most important things to do right?

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