Post-acquisition management of corporate take-overs in the United Kingdom
This thesis sets out to provide a systematic examination of post-acquisition management in the United Kingdom. In particular we are concerned to know what changes take place in acquired companies after acquisition and to examine whether there are significant and robust differences between post-acquisition styles in terms of the type and volume, of changes made, and their timing. We also examine the patterns exhibited by different types of managing executive taking charge and seek to link executive type, volume and timing of change with different post-acquisition styles. The thesis uses a hybrid method to achieve a cross sectional view of acquisitions in the UK with in-depth explanation. The responding sample from our survey was allocated to the different acquisition types of Haspeslagh and Jemison's (1991) typology and the change data allowed us to test whether the framework is representative and robust. The first Chapter of the thesis observes that many acquisitions fail and that greater attention should be paid to the post-acquisition phase, although, as Chapter two shows, the post-acquisition literature is highly fragmented. Only Haspeslagh and Jemison's (1991) typology attempts a unified view although it has limitations. We draw upon related areas of research to enrich and extend their framework. In Chapter three we show how data was collected and applied to the framework, and Chapter four shows the big picture of acquisition types in the UK and their associations with success. Chapter five uses functional change data to test the framework and interview material to provide a level of explanation for changes made. The reasons for each type of acquisition are explored in Chapter six and in Chapter seven we examine the association between managing executive type and acquisition style. Chapter eight introduces a time component and looks at the patterns of change for each acquisition type. The chapter aims to integrate earlier findings and provide an integrated view of post acquisition change. The final chapter concludes that for acquisitions in the UK, there are significant differences in post acquisition styles, in terms of nature and timing of change, and there are clear associations with different management types.