& Acquisition Integration
Mergers and acquisitions (M&A) are often the fastest and most efficient way to achieve corporate growth objectives, to expand offerings to customers, add new markets and channels, and develop strategic capabilities. Furthermore, in some industries consolidation is both an opportunity and a strategic imperative. However, the record shows that many
M&As fall short of the partners’ expectations for strategic fit
and financial performance, and some are acknowledged
failures. The three most frequent reasons that M&As do not meet
expectations are ineffective integration, conflicting
corporate cultures, and overestimated synergies.
A sound integration strategy
We view M&A integration as a strategic business process,
and recommend that planning for successful integration
must begin during due diligence. Successful M&A integration requires:
An integration leader and focused integration teams
A systematic rapid integration plan with measurable targets and milestones
Sensitivity to the concerns of customers, employees and suppliers
A comprehensive communication plan with frequent communication to all constituencies
A sense of urgency
We can help your company plan and execute successful M&A integration. Prior to closing the deal, we can also help you develop a realistic assessment of synergy in the acquisition, which will determine what should be integrated, why and how, to realize the expected benefits of synergy.
For additional information see the white papers “Guidelines for Successful M&A Integration” and “M&A Integration Disciplines of Market Leaders”.