M&A Integration Processes and Issues

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A fundamental rule in M&A is to avoid destroying value, which is why you need to spend the time to develop your processes and plan carefully to deal with the possibility of things going wrong. My experience has shown that the most prevalent issues are around people, how they react to change as well as their resistance to it and how they react when something doesn’t go according to planned.

One of the primary things we do for our clients is helping them set up a procedure which allows them to spot possible issues early and respond to them quickly. This can be achieved by having an annual IMO meeting and working streams to review progress and escalate issues or risks to SteerCo.

When the strategy for dealing with problems is established It’s essential to focus on execution. It’s essential to ensure that the team understands what they are expected to do and how they will be evaluated and when. It’s also important to clearly define accountability (i.e. ownership of the end results) and the decision-making authority for the whole integrated business.

It’s essential to ensure that the CEO and upper management are able to spend at least 90 percent of their time on essential business concerns and avoid getting distracted by integration activities. A good way to https://reising-finanz.de/finanzversicherung/ do this is to select a strong leader to lead the Decision Management Office (IMO), who can triage decisions and oversee the work flow. This can be someone from the acquisition company, or it can be a rising star within the merged company that has the backing of their boss who is willing to make this commitment.

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