Competence-building through organizational recognition or frequency of use: Case study of the Lafarge Group's development of competence in managing post-merger cultural integration

Abstract

Mergers have increased at a fast rate in the last 10 years. Nevertheless, practitioners and consultants point out the low rate of success for mergers. Considering this paradoxical situation, it would appear opportune to question the possibility of developing a specific competence within an organization for carrying out mergers and acquisitions. This research aims to propose a model for analyzing the development of such a competence. This paper presents a study of competence-building according to two aspects: level of recognition by the organization and level of use. The study model defines four forms that competence may take: ad hoc responses, capitalization, institutionalization, and dynamic competence. This model is used for the study of the development by the Lafarge Group of a competence in managing cultural integration after international mergers and acquisitions.

Citation

Guallino, G. and Prevot, F. (2008), "Competence-building through organizational recognition or frequency of use: Case study of the Lafarge Group's development of competence in managing post-merger cultural integration", Martens, R., Heene, A. and Sanchez, R. (Ed.) Competence Building and Leveraging in Interorganizational Relations (Advances in Applied Business Strategy, Vol. 11), Emerald Group Publishing Limited, Leeds, pp. 63-92. https://doi.org/10.1016/S0749-6826(07)11003-9