Top management turnover following mergers and acquisitions
Article first published online: 8 NOV 2006
Copyright © 1988 John Wiley & Sons, Ltd.
Strategic Management Journal
Volume 9, Issue 2, pages 173–183, March/April 1988
How to Cite
Walsh, J. P. (1988), Top management turnover following mergers and acquisitions. Strat. Mgmt. J., 9: 173–183. doi: 10.1002/smj.4250090207
- Issue published online: 8 NOV 2006
- Article first published online: 8 NOV 2006
- Manuscript Revised: 12 DEC 1986
- Manuscript Received: 17 JUL 1986
Little is known about the effects of a merger or an acquisition on an acquired company's management team. This research follows the employment status of target companies' top managers for 5 years from the date of acquisition. Results indicate that turnover rates in acquired top management teams are significantly higher than ‘normal’ turnover rates, and that visible, very senior executives are likely to turn over sooner than their less-visible colleagues. Variations in top management turnover rates, however, are not accounted for by type of acquisition (i.e. related or unrelated).