Originally posted by glanglois
CIsco has a reputation of integrating acquisitions in 30 days; that's the corporate goal. Everything from management to signs on buildings to HR policy to marketing collateral. Re-arranging engineering, product development, etc. isn't fully done in 30 days but there's no doubt about who's the boss and what the goal is.
A large Japanese company operating on a consensus basis (as they do) can take a very long time to integrate a merger or acquisition. I expect that a good portion of Pentax and Ricoh staff still think of themselves in that way - as Pentax or Ricoh - and management works hard to keep them all feeling valued and respected by waiting patiently for them to get to consensus. This is not an environment conducive to innovation and rapid development.
Originally posted by RobA_Oz
Well, I think your half right there. It certainly isn't an environment that's conducive to rapid development. However, people who feel under pessure from major change or unsupportive, bottom-line or shareholder-vaue focused bosses don't tend to innovate, either. They tend to leave, if anything.
Of course we are, as others have pointed out, talking about Japanese culture overlaying all this, so innovation in that circumstance is rarely going to be other than incremental or accidental.
I certainly don't know the real background in this case, but often in friendlier mergers and acquisitions there is an extended "Due Diligence" period in which the to-be-acquired company shares estensively (under an NDA) its internal operations, controls, processes, philosophy, general personnel profile and everything else. The acquirer then can have a very accurate value decision and idea of what they want to pay, or can walk away if the seller is asking too much.
I think it likely that a company like Cisco would have spent months developing their integration strategy before the deal was even announced, then more months while the deal was finalized. Implementation in 30 days would then merely be following a script.
We have no idea whether such a Due Diligence process was followed by Ricoh and Hoya, or whether it was more like the investment bankers threw the company out there and Ricoh made an impulse bid, like a lens sold on eBay. If it was closer to the latter (little due diligence) then it would take 8-2 quarters to fully integrate. We're seeing the implementation of integration, literally, right now.