Publicis Groupe Essay

1.What lessons did Maurice Levy well-educated from the failed FCB compact? According to Maurice Levy, the most important thing he learnt from the calamity of the chemical bond with FCB is the necessity to build an bail bond not only found on a good relationship between the managers but withal on a strong legal structure. In fact, the relationship Maurice created with FCBs managers was mostly informal. Maurice and FCBs CEO met only five times and the hamper was more a collaborative arrangement than a real agreement. The write describes it as an alliance which intended to be more than just a handshake but without any agreement on the structure of the deal, the alliance seems mostly to rely on the managers relationship. On the contrary, in the next subroutine of attainments, Levy not only met the managers several times, he had also special(prenominal) meetings with the CFOs where they try to reach an agreement about the structure of the deal and the structure of the company later on the acquisition. For example, for Saatchi & Saatchi acquisition, Maurice worked out the details of the acquisition with the CFO Bill Codhrat and they discuss all the legal points to undertake to verbal expression the future events which could affect both companies after the acquisition. They spent two weeks work on the structure of the deal, settling every details before transaction lawyers. After the failed FCB alliance, the lawyers became indispensable in the work of acquisition. The second lesson he learnt from this failed alliance is how important are the interest that people have in the acquisition. An alliance consists in two companies becoming one and the managers of the two firms have to confirm this fundamental point.After the acquisition, they need to have the interest of both companies in mind to create a successful firm. In order to repose aside managers egos in next acquisitions, Maurice Levy first spent a lot of time creating a strong relationship with the firms CEOs, trying to read who they were, what they wanted and how they could combine the interest of the two companies. For example, in Saatchi and Saatchis process of acquisition, both CEOs agreed on the fact that they had to keep the two trading operations very separate in order to protect their own client. That is to say, they tried and true not only to build a strong relationship found on trust but also to settle a exemplar in order to protect the key interest of the two companies after the acquisition.