How MetLife balances effective organization design with the need for speed in postacquisition integration

✍ Scribed by Thomas J. Jasinski

• Book ID: 102393168
• Publisher: Wiley (John Wiley & Sons)
• Year: 2010
• Tongue: English
• Weight: 273 KB
• Volume: 29
• Category: Article
• ISSN: 1932-2054
• DOI: 10.1002/joe.20322

✦ Synopsis

Abstract

This case study demonstrates that good design and speed to integration can coexist—and, more important, are interdependent levers for achieving the near‐term goals and the longer‐term value of mergers and acquisitions (M&As). The author presents the Organization Effectiveness team's operating model, MetLife's organizational design framework and process, and its alignment with Human Resources' approach to M&As. He then describes MetLife Bank's rapid acquisition of two firms, and the two‐stage organizational design that facilitated the transition. The initial structure preserved business effectiveness, while the combined leadership team clarified longer‐term vision, strategy, and desired organizational capabilities, which led to a second organizational structure nine months later to achieve the efficiencies and benefits of scale and build the capabilities that create competitive advantage for MetLife Bank. © 2010 Wiley Periodicals, Inc. PLEASE NOTE: This is the corrected version of the article that appeared in the March/April 2010 issue of the journal.