Mergers and acquisitions (M&A) can quickly reshape a company. When all elements are in motion, including teams, systems, and new goals, solid leadership is needed. That’s why businesses lean on two core groups: the board of directors and the steering committee. Though they both lead in some way, what they do is not the same.
What is a steering committee? In simple terms, it is a team of seasoned managers who lead a particular project, such as a merger, and assist in making critical decisions throughout the process.
Research from PwC indicates that over 50% of M&A failures are attributed to poor integration. That means having the right people in the right roles isn’t just helpful — it’s critical. And that’s where these two groups come into play.
This article explains how the board is different from the steering committee and explains the role of each in M&A processes.
The board’s role in major transactions
The board of directors doesn’t get involved in the small stuff. It is concerned with seeing the big picture. It considers both the advantages and the consequences of any huge decision, such as whether to allow a merger or not. Board members typically consist of executives and external advisors who provide long-term thinking into the equation.
In a merger, the board:
- Reviews the details of the proposed deal
- Makes the final call to go ahead or not
- Watches over financial and legal risks
- Ensures the outcome fits the company’s future vision
Once the deal is approved, though, the board steps back. It’s not their job to manage the daily steps that follow. That’s where the steering committee steps in.
Steering committees and their purpose
The steering committee’s purpose is focused and practical. It exists to keep one specific project moving, like the integration of two companies. Rather than thinking years ahead, this group looks at what needs to happen in the coming weeks and months.
Steering committee members are often heads of departments, most affected by the merger. HR, finance, and operations are common. Their mix of perspectives helps spot issues early and keep plans realistic.
When it comes to steering committees in M&A deals, they’re the ones making sure what’s on paper actually happens — on time and without major issues.
What the steering committee actually does
The steering committee roles and responsibilities aren’t about doing the work themselves, but making sure others can. They make choices that keep the project on course and remove blockers before they become real problems.
Their typical duties include:
- Agreeing on what success looks like and how to measure it
- Coordinating efforts between departments
- Making fast decisions when plans need to shift
- Flagging serious issues before they slow things down
- Keeping leadership informed at each stage
This group helps ensure the organization doesn’t lose momentum once the deal has started.
When companies use executive steering committees
Not all mergers are the same. Bigger deals — especially ones involving multiple divisions — often call for something more. That’s when companies form an executive steering committee.
These committees involve top leadership: the CEO, CFO, or other top executives. They bring authority and speed to tough calls that regular teams might not be able to make.
Typical executive steering committee roles and responsibilities include:
- Monitoring the bigger picture
- Deciding on major changes to the project
- Handling situations with legal or financial risks
- Giving updates directly to the board
Their presence speeds things up and adds weight to key decisions.
How are steering committee meetings held?
Steering committee meetings are where progress is checked and course corrections are made. Without these regular meetings, teams can lose focus or direction.
They usually happen weekly or every two weeks, depending on how fast the project is moving. The meetings aren’t about checking off small tasks — they focus on updates, major risks, and approvals that keep the work flowing.
A strong agenda, clear decisions, and documented next steps help avoid confusion and keep departments aligned.
Key difference between the board and the steering committee
While both the board and the steering committee are involved in a merger, they operate at very different levels.
The board is responsible for the overall strategy. It exists to represent the company’s interests, ensure the deal makes sense, and approve the path forward. Its role doesn’t change based on the project — it’s always present.
The steering committee, meanwhile, is set up just for the project. It stays active for as long as the work continues, then disbands. Its job is to make the details happen, not approve the strategy.
That clear division of responsibility helps organizations stay organized and efficient during high-pressure transitions.
Why companies use both during mergers
Trying to manage a major merger without the right leadership structure creates risk. Having both a board and a steering committee keeps decisions clear and the work steady.
The board offers direction. The steering committee provides action. Without the board, decisions may not support long-term goals. Without the steering committee, the work might fall apart in execution.
Each plays a part in helping the deal succeed, just in different ways.
Conclusion
Every merger or acquisition needs leadership, structure, and follow-through. That’s why the board of directors and the steering committee are both essential.
The board defines the future and ensures every step supports that vision. The steering committee takes those steps and keeps the process running. Together, they give the company what it needs to turn a deal into a real, measurable result.
