Post-Acquisition Leadership: How to Make Yourself Invaluable
The deal is done and the announcement made.
And now the real work begins. Not just for the acquirer, but for you, too.
If you’re sitting on the board or the senior leadership team of a recently acquired building products or construction business, the next six to twelve months will define your future within the group more than the previous decade did. The uncomfortable truth is that the moment an acquisition completes, every person in that leadership team is, consciously or not, being assessed.
And this isn’t just on results. Fit, communication style, and ability to adapt all come into play.
I see this dynamic play out regularly. I was recently involved in placing two senior leaders into a building products business that had just been acquired by a larger European group. Before the ink was dry, the parent company’s VP was already forming views on both the business and key personnel: who was sharp, who was direct, who could be trusted to step up without handholding…and quietly, who might need replacing.
Here’s what I took from that experience, along with others that I’ve managed like it.
Clarity beats confidence
The acquirer isn’t looking for people who project certainty they don’t have. They’ve seen enough post-acquisition performances to see through that. What they’re looking for are leaders who can clearly articulate what they know, what they don’t, and what they need. Direct, honest, unambiguous communication beats ‘polish’ in the first ninety days.
One of the things that struck me in the above scenario was the VP’s observation about the leadership team she’d inherited: he valued the fact that they were direct communicators. He knew where he stood. In an environment where a great deal is uncertain (new ownership structure, new reporting lines, new expectations) that quality is genuinely rare and valued.
If your instinct is to manage upwards by softening bad news or hedging your language, resist it. Acquirers tend to be experienced operators. They’ll read a front faster than you think.
Show that you understand the bigger picture, even when it’s uncomfortable
Most leadership teams in acquired SMEs are deeply capable within the four walls of their own business. They know the product, the customers, the market. What they’re less used to is operating within a group context. Group reporting, culture, and expectations are very foreign ground for them.
The leaders who make themselves indispensable are the ones who move quickly to understand what the parent organisation actually needs, not just what they’ve always delivered. That might mean adapting your reporting style. It might mean taking on responsibilities that didn’t exist before the acquisition.
In a separate headhunt for a different manufacturer from the one referenced above, a finance function had a gap at a critical moment. They weren’t used to the rigour associated with monthly reporting back to a parent business. With a highly capable Finance Director put in place, rather than waiting to be told what to do, the team stepped up and took on tasks they weren’t previously responsible for. The team underneath were certainly capable of this added technical knowledge and pressure, but hadn’t been led in this way before.
Don’t wait to be integrated. Lean in
One of the best placements I made last year was for an operationally led Managing Director. Throughout the UK businesses three plants, process, systems and output were (quite frankly) broken.
What did the new hire do? He made it his business to meet up with other acquired businesses in the group. He better understood how they worked, what nuances other MDs found when reporting back, and the major gaps the UK business had.
In my experience, behaviours of existing leaders post-acquisition sometimes lean towards keeping their heads down, and to continue doing what they’ve always done. Unfortunately, the acquirer interprets passivity as either a lack of capability or a lack of engagement. Typically, neither assumption ends well.
The better move is to actively seek understanding of where you fit in the wider group. Ask questions. Request introductions. Volunteer for things. Through actions (not words) make it obvious — you see yourself as part of what this business becomes, not just what it was.
Be honest about the gaps
If there are weaknesses in your team, the acquirer will find them. In my experience, they always do. The question is whether they find them through you or not.
Leaders who proactively flag gaps, and who come with suggested solutions rather than just problems, build trust fast. Leaders who appear to be concealing issues, even unintentionally, tend to find that trust is very hard to recover once it’s been damaged.
The personal stuff matters too
This might sound trivial, but it isn’t. The acquiring group’s leadership team is, in those early months, also trying to work out whether they like working with you. Whether you’re someone they’ll enjoy spending time with as the relationship deepens.
Culturally, non-UK parent business work very differently to us Brits. I recently held a post assignment review with a VP based in mainland Europe. She mentioned that ‘lunch’ has a very different slant dependent on the country she’s visiting. We have a habit of ‘chowing the cud’ for 10 minutes and then spending the rest of the day discussing business matters; breaking only for an M&S sandwich.
In many countries throughout the mainland, lunch is taken out of the company’s offices. Two hours are set aside to get to know each other better and build a bond. For me, this carries disproportionate weight. Don’t underestimate the value of simply being good to work with.
The businesses that come through acquisitions well — where the existing leadership team not only survives but thrives — are almost always the ones where those leaders took ownership of the transition rather than waiting for the parent company to define their role.
You know your business better than anyone. That’s not nothing. But it’s only an asset if you can translate it into value for the people who’ve just bought it.
The window to make that impression is shorter than most people realise. Please ensure that you use the opportunity!