How to Manage M&A Integration Well

A merger or acquisition is an effective method of accelerating growth and expanding reach by leveraging new channels, customer segments, or other important assets. It can unlock a more diverse product portfolio that caters to different demographics, for example, by combining a company’s retail presence with another’s distribution channels. It also opens new markets, for example by acquiring or merging with an organization operating in a particular region.

Companies that do not manage M&A integration well risk destroying value by consuming too much time and attention. They may lose talented employees who feel secluded by the new company and decide to move on to pursue other opportunities. Additionally, poorly managed system migrations may distract managers from focusing on the daily business.

In M&A integration A common error is a desire to migrate acquired systems and processes too quickly to make cost savings and other synergies. This can lead to major disruptions to customers as well as a lot of extra work.

It is preferential to establish clear guiding principals and the degree of integration required to meet the requirements. This enables leaders to build strong relationships with functional lead of the work stream and IMO to ensure transparency and accountability, as well as communication around the program. It is also crucial to establish a regular schedule for IMO teams to communicate with the SteerCo to help promote the daily progress of the program and to escalate risks. This provides the IMO with the visibility and accountability that it requires to implement the integration plan.

Add Comment