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    • Mergers & acquisitions

    Work in progress: FHI 360 CEO Patrick Fine on the post-AED transition

    In this candid video interview, FHI 360 CEO Patrick Fine discusses the NGO's carefully orchestrated amalgamation of FHI and AED over the past three years, what challenges remain and what lessons others can learn from it. A Devex exclusive.

    By Michael Igoe // 29 May 2014
    FHI 360’s leadership has been working hard to unite what used to be two separate organizations around a common culture and vision — under challenging circumstances and intense scrutiny. The process began almost three years ago when the board of AED decided to sell the firm’s assets and transfer its programs to another organization. That decision was prompted by AED’s temporary suspension from receiving new U.S. Agency for International Development contracts due to allegations of “serious corporate misconduct” in Afghanistan in Pakistan. FHI won the bidding war, giving rise to a new organization, FHI 360. Mergers and acquisitions are no stranger to the international development landscape, which has witnessed a number of large international firms and organizations take over smaller actors in recent years. But AED’s case, in particular, created a stir because of its status as a leading USAID implementing partner and FHI’s relatively smaller size. No merger or acquisition is easy, and the story of FHI 360 involves a set of carefully orchestrated changes in branding, staffing and programming, as well as the fusion of finances and quality control mechanisms. Patrick Fine, who assumed the post of CEO earlier this month after serving as chief operating officer for a year, sat down with Devex for an interview to explain what progress the NGO has made, what challenges remain and what lessons other organizations undergoing similar transitions may learn from FHI 360’s example: Check out more career advice stories online, and subscribe to Doing Good to receive top international development career and recruitment news. See more: Why aid groups should broaden their scope of innovation The last milestone for FHI 360's full integration

    FHI 360’s leadership has been working hard to unite what used to be two separate organizations around a common culture and vision — under challenging circumstances and intense scrutiny.

    The process began almost three years ago when the board of AED decided to sell the firm’s assets and transfer its programs to another organization. That decision was prompted by AED’s temporary suspension from receiving new U.S. Agency for International Development contracts due to allegations of “serious corporate misconduct” in Afghanistan in Pakistan. FHI won the bidding war, giving rise to a new organization, FHI 360.

    Mergers and acquisitions are no stranger to the international development landscape, which has witnessed a number of large international firms and organizations take over smaller actors in recent years. But AED’s case, in particular, created a stir because of its status as a leading USAID implementing partner and FHI’s relatively smaller size.

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    About the author

    • Michael Igoe

      Michael Igoe@AlterIgoe

      Michael Igoe is a Senior Reporter with Devex, based in Washington, D.C. He covers U.S. foreign aid, global health, climate change, and development finance. Prior to joining Devex, Michael researched water management and climate change adaptation in post-Soviet Central Asia, where he also wrote for EurasiaNet. Michael earned his bachelor's degree from Bowdoin College, where he majored in Russian, and his master’s degree from the University of Montana, where he studied international conservation and development.

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