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Humility as a Barometer for M&A “Fit” at OneDigital

I am asked on a regular basis what is the most important thing that our team here at OneDigital is looking for when contemplating an acquisition in the insurance, financial services, HR or PEO verticals.

I’ve thought about this a lot over the years and have never strayed from the same answer. It’s not about growth rates, niche expertise, a big reputation or revenue base. It in fact has nothing to do with the economic performance of the firm. It’s all about the qualitative, not the quantitative. What we are looking for is an intangible trait. The most important thing we look for is humility.

This fact crystalized for me recently when reading How to Infuse Your Company with Humility by Tiffany Maldonado and Dusya Vera as published in Greater Good Magazine. The piece focused on the link between humility and building a successful corporate culture. When I think about the faces and the smiles of the people that have joined us over the past decades that are still here and thriving, they always share in the same trait—humility. This does not mean teams lack pride in what they have built or confidence in their abilities. It does mean they have a healthy dose of perspective on how great their industry is and the benefits of hard work and a reoccurring revenue model.

When I think about the faces and the smiles of the people that have joined us over the past decades that are still here and thriving, they always share in the same trait—humility.

As this article states, with humility comes self-awareness, transparency, honesty, openness and a focus on employee development and recognition. I know this may strike some people as basic “common sense.” But it is a non-negotiable when we are applying a critical lens to any opportunity around the country. It’s why we often prefer to find our own acquisitions versus working through bankers. We must really get to know people and understand how folks are wired. In my opinion, it’s what every firm talking to acquirers should be doing more of as well.

We learned years ago at OneDigital that if you want to nurture an amazing corporate culture—while doing acquisitions—it is not about who you bring in the front door, it’s about who you prevent from coming in the front door that matters most. And it is very much a two-way street.

There is not a day that goes by where we do not count our blessings for the great run that we are having as a company. Yet, the fun part remains in dreaming about the company of consequence that we will hopefully become, especially if we use humility as a barometer leading the choices that we make.

To learn more about the investments OneDigital is making in teams, products and technology, visit Bold Studio.

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