Influence of relationship capability on project performance of post-merger is integration

Abstract

Mergers and acquisitions (M&A) highly rely on the information technology systems integration (ISI) of two companies to realize the operation and resource synergy. Given the vast cost of M&A and the high failure rate of the post-merger ISI, various strategies, enforcement mechanisms, and potential determinants for the ISI success have been proposed. The capability of IS managers is one of the recognized factors that are critical to ISI success. This study extends the theory of relationship quality to explain how the relationship ability of IS personnel influences the outcomes of the ISI in the M&A context. The empirical survey of IS personnel shows that relationship ability improves not only relationship quality but also teamwork quality of the ISI. The findings shed light on the different functions of relationship capability in the managerial design and imply the significance of relational building ability as an important skill of IS personnel for achieving post-merger ISI success.