Dr Lesley Garrick: Care is needed to ensure college mergers deliver the promised higher standards

Published on Tuesday 26 May 2009 20:28

IT IS good news to hear about the first "concrete" evidence of the merging of three Glasgow colleges – Central, Metropolitan, and Glasgow Nautical – with the announcement of a £5.6 million marine facility on the banks of the Clyde. But when the merger announcement was made, it struck me that the odds are so against mergers in every sector it's a wonder any organisation bothers at all.

According to some in-depth research conducted by Hay Group, nine out of ten corporate mergers fail to deliver fully on their objectives, and mergers between further education institutions fare little better – two-thirds don't raise standards.

Still, the fact that so many organisations, private and public, choose to continue with merger strategies is evidence that the end results, when done well, are often worth the effort required.

Mergers between colleges pose their own challenges, in that, while part of the evolving organisation may be in a state of flux, the day-to-day objective of providing learning remains unchanged. After all, while there may be various reasons for a merger, the ultimate goal is to raise education standards.

That could be achieved by an underperforming college joining forces with a successful neighbour; or by cutting costs via a larger college; or by two partners with compatible curricula coming together to offer a broader programme.

Perhaps unsurprisingly, it's the staff and senior team members who are central to the success or failure of a merger.

The good news is most "people" problems can be solved via better communication. But it's essential that anyone involved in implementing the merger is completely clear about the rationale behind it – this will provide purpose and direction.

Staff should be fully aware of what the new institution will mean for them and their role. Anyone not involved post-merger should be made aware of this as early as possible.

One of the colleges we spoke to during our research put a high value on opening lines of communication between the different institutions at the first mention of a merger. This builds trust between the parties and means the rationale that is so important can be discussed openly, while also enabling each college to air its own views.

This is especially important since an "us and them" mentality between merger partners can become a major hurdle – it must be clear that this is a merger, not a takeover. In that regard, keeping the best bits from each organisation will also promote standards at the new institution.

Making sure leaders are visible, and available, at each campus throughout the process is an important part of creating a collegiate environment, and also allows for the positive outcomes envisaged by the merger.

Leaders have an important role to play, too, in ensuring the merger colleges continue to perform in their day jobs, ie, teaching. The first year after an FE merger is a crucial time, and slips during this period can take many years to recover.

One area the corporate world usually gets right is due diligence. Unfortunately, our research suggests FE colleges often don't put enough emphasis on this aspect of a merger. Nothing will derail a new college faster than an unsuitable match.

Almost every story we heard contained a ghastly moment where a cupboard was opened and a skeleton fell out – with serious financial consequences. If problems are discovered early, it's often possible to fix them.

In theory, mergers are quite simple. It's just the execution that's the tricky part.

&#149 Dr Lesley Garrick is an associate director with management consultants Hay Group