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August 15 2017

Expert Comment on Culture Issues Following Merger: Standard Life Aberdeen

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Paul Cook, CEO at Alderbrooke, comments on the completion of the merger between Standard Life and Aberdeen Asset Management today: “The completion of the merger today marks an important moment in the future of Standard Life Aberdeen but it could yet face cultural issues which will need to be addressed as a priority. Mergers of this size provide ample opportunity for cultural clashes as there will be challenges in bringing together two unique business models and workforces. The success of mergers however is determined by how well the two cultures integrate into one strong corporate culture which employees from both entities can relate to, as well as how well these cultural aspects of the transition are managed.

“We have also seen reports today that the co-chief executives plan to lead the new business for at least ten years. Whilst this period of stability could prove vital to the success of the business in the short term, it could come at a cost as senior executives may decide that their future lies elsewhere should they have ambitions of becoming a chief executive themselves.”

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