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RISK RESOURCES NEWSLETTER 
10.02.2025
Three people work on ensuring safety culture during a business acquisition

Mergers, Acquisitions, and the Hidden Safety Risk

When two companies operating in high-hazard industries merge, the headlines focus on financial value, strategic fit, or operational scale. But what can get overlooked—or addressed too late—is the cultural core of the business: the systems, habits, and expectations that keep people safe and operations resilient.

For both buyers and sellers, safety culture during a transaction is a risk that should be addressed – and an opportunity that can be captured.

For Sellers: Safety and Risk Can Be Strategic Assets

If you're preparing your business for sale, safety performance is a signal to buyers. A strong, documented safety program and transparent risk-management approach can make your organization a more attractive acquisition candidate. Buyers understand that safety performance reflects a company’s culture – it’s people, systems, and processes.

As you prepare for a sale, consider these questions:

  • Are your safety policies consistent across sites and teams?
  • Is your incident history paired with a clear record of corrective action?
  • Do you have leading indicators and metrics to show engagement and employee ownership of safety? Are you going beyond mere compliance? Are employees trained consistently to a high standard?
  • What trends do your insurance claims history show? Are there open claims and liabilities that could be closed? Is your insurance coverage sufficient to protect the business?

Buyers may be assessing whether they are inheriting any undesirable liabilities or operating practices. Proactively addressing these concerns before due diligence begins may help position your company as a more attractive investment.

For Buyers: You’re Acquiring a Business—and Its Safety Culture

Solid historic financial statements do not guarantee future results. Cultural weaknesses, leadership misalignment, or fragmented safety programs can undermine integration and lead to costly surprises. This is especially true when considering safety’s role in the company’s future performance.

Insurance coverage, loss histories, and risk engineering reports are essential, but they don’t always provide you with the full picture. Here’s what savvy acquirers additionally may dig into:
 

Green Flags

  • Safety participation at all levels, from leadership to front lines
  • Robust near-miss reporting with clear learning follow-ups
  • Unified expectations across departments or regions
  • Safety used as a driver of performance rather than a compliance checkbox
  • Employees are empowered to raise concerns without fear of retribution


Red Flags

  • Silence around safety incidents or lessons learned—the same incidents happen repeatedly with no effort on prevention
  • Siloed safety departments without organizational ownership of safety
  • Training is outdated or inconsistent
  • Major differences among locations, showing a possible lack of unified standards

Integration: a Moment of Opportunity

Merger and acquisition events disrupt routines, and that disruption can be leveraged to create a stronger combined organization. Rather than preserving one company’s approach or defaulting to “this is the way we’ve always done it,” leaders can use the transition to reset expectations, unify standards, and co-create a more robust culture.

Some key actions for successful post-transaction safety integration include:

  • Facilitating joint leadership messaging on safety, including providing an accessible way for employees to ask questions.  
  • Involving employees early in defining the new shared safety vision
  • Conducting a safety culture review across both companies, focusing on not just policy but, even more importantly, perception and behavior.
  • Implementing process changes that allow employees to properly adopt them, acting quickly on conflicts in procedures or standards to reduce and remove confusion
  • Recognizing and rewarding safe behaviors throughout the transition

In the potential chaos of a merger, employees may look for signals and direction. If safety isn’t visibly prioritized, it can quickly fade into the background.  It’s important that C-level, operations, HR and safety teams act in sync so that employees receive consistent messaging and can perform their safety sensitive duties with peace of mind.

To help avoid backsliding, here are some useful tips:

  • Communicate the safety vision clearly and consistently
  • Reinforce that safety is a non-negotiable core value and is never to be compromised
  • Engage employees in shaping the culture (culture may be more likely to stick when people feel they had a hand in building it.)

Mergers and acquisitions are ultimately a combining of people, systems, and values. Whether you’re buying, selling or investing, treat safety and risk management as core elements of the transaction. When addressed early and intentionally, safety can help build trust, strengthen integration, and drive long-term value and success.

Acrisure Can Help

Acrisure’s nationally-recognized Insurance Consulting Team offers hands-on support and deep insight to help you ensure safety and risk management are properly addressed throughout the M&A process and during other times of fundamental change. 

Contact us today to learn how Acrisure Risk Resources can help your company improve safety and build the right risk strategies, or learn more about our business solutions now.

Author Brian Fielkow Headshot
About the Author
Brian Fielkow
Acrisure Risk Resources
Brian Fielkow helps Acrisure clients grow their safety cultures and manage risk with his executive, operational, and safety leadership. Fielkow has published several books and articles, including Leading People Safely: How to Win on the Business Battlefield, co-authored with James T. Schultz.