Understanding and managing the human side of acquisitions

Orientation: The persistently high failure rate of mergers and acquisitions (M&As) remains a major concern for economic growth and corporate development. Many failures stem from poorly managed people transitions, leading to severe negative social consequences for employees, families and communities. Effective human resource management is essential to minimise these outcomes. Research purpose: This study identifies specific challenges faced by human resource (HR) specialists and managers during people transfers in acquisitions, critically evaluates existing scholarly frameworks and proposes a strategic model for successful human transitions. Motivation for the study: Acquisition research typically lacks longitudinal, insider perspectives, yielding fragmented insights. This work fills that gap by providing a rare, in-depth insider view of human dynamics in M&A processes. Research approach/design and method: Using a qualitative auto-ethnographic approach, the study draws on nine detailed vignettes from Swart’s experiences as both an acquirer and an acquiree, supplemented by field notes, minutes and emails. Two additional cases were corroborated through interviews and documents. Critical event analysis identified participant themes, which were synthesised with scholarly constructs from the organisation, management, social change, commerce and legal literatures. Analytic induction and abduction developed and supported the Human Acquisition Transition model (HAT1+). Main findings: The HAT1+ model structures acquisitions into distinct phases (‘waves’) and pinpoints critical success factors within and beyond the formal process, enhancing human transition planning. Practical/managerial implications: HAT1+ provides managers and HR professionals with a practical framework to improve integration, employee engagement and the overall transition success. Contribution/value-add: Theory: Advances auto-ethnographic methods in business research and harmonises commercial, legal and human aspects of acquisitions. Practice: Delivers a validated process model with clear guidelines and critical success traits across pre-transition, transition and post-transition phases, promoting humane management and reducing negative impacts on individuals, families and communities.