Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Change managementLatest NewsHR strategy

Will L’Oreal’s Body Shop deal be worth it?

by Personnel Today 29 Mar 2006
by Personnel Today 29 Mar 2006

Questions have been raised about the cultural compatibility of French cosmetics giant L’Oeral and UK retailer The Body Shop, which have announced plans to merge in a deal worth £652m.

Around 70% of corporate mergers fail to achieve their objectives due to factors such as cultural incompatibility, clashes of leadership styles and HR approaches, according to management consultancy Hay Group.

It said unifying the contrasting people cultures and management styles of a French corporate giant and a UK-based company whose culture – and business and operating model – is inextricably based upon a strong ethical trading stance may prove tough.

Deborah Allday, consultant in mergers and acquisitions integration at Hay Group, warned that the two companies have a very small window of opportunity – usually a year or less – in which to make the deal a success.

“It will be interesting to see how these two companies handle the merger of two very different corporate cultures,” she said.

Successfully merged firms tend to undertake careful culture and climate due diligence to identify gaps between the organisations, and the strengths and weaknesses of each, Allday said.

Sign up to our weekly round-up of HR news and guidance

Receive the Personnel Today Direct e-newsletter every Wednesday

OptOut
This field is for validation purposes and should be left unchanged.

They also develop specific strategies and processes for key people issues, including assessment, selection, reward, performance management and communications.

“All mergers face similar strategic challenges around their people and their culture,” said Allday. “If they don’t get these things right – and quickly – then whatever the financial cost of the deal, L’Oreal may be asking if The Body Shop was worth it.”



Personnel Today

Personnel Today articles are written by an expert team of award-winning journalists who have been covering HR and L&D for many years. Some of our content is attributed to "Personnel Today" for a number of reasons, including: when numerous authors are associated with writing or editing a piece; or when the author is unknown (particularly for older articles).

previous post
Travel sector salaries slump as number of agencies falls
next post
Health and safety flagged up as priority by Olympic Delivery Authority

You may also like

Co-op equal pay claims move onto next stage

30 Jun 2025

‘Be direct’ to avoid escalating conflict, advises Acas

30 Jun 2025

Reforming paternity leave could benefit UK by £13bn...

30 Jun 2025

Fall in entry-level jobs linked to rise of...

30 Jun 2025

Employers’ duty of care: keeping workers safe in...

27 Jun 2025

Welfare cuts would ‘undermine workforce inclusion and business...

27 Jun 2025

MPs urge ministers to boost T-level awareness to...

27 Jun 2025

Progressive DEI policy is a red line for...

27 Jun 2025

Bank of England says NIC rise is dampening...

27 Jun 2025

Bioethanol plant closure could lead to 4,000 job...

26 Jun 2025

  • Empowering working parents and productivity during the summer holidays SPONSORED | Businesses play a...Read more
  • AI is here. Your workforce should be ready. SPONSORED | From content creation...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2025

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2025 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+