In M&A, it is important to avoid damaging the value of the deal. It is therefore essential to make time to plan and build your processes. I’ve discovered that the most prevalent issues are related to people: how they react to changes and how they react to it, and what they do if things don’t go as planned.
We assist our clients to set up a system that allows them to recognize potential issues early and react quickly. It could be such things as having weekly meetings where the IMO and functional work streams review their progress against the plan and escalate issues and risks to the SteerCo.
Once the procedure for tackling problems is established It’s essential to focus on the execution. That means making sure the team understands what it’s required to achieve, how that will be evaluated, and when. It also requires clearly publishing accountability (i.e. taking ownership of the final results) and decision-making authority for the entire integrated company.
It is essential that the CEO and senior managers can focus at minimum 90 percent of their time focused on core matters and not be distracted by integration tasks. It is an ideal idea to select someone who will oversee the Decision Management Office and coordinate work streams. This person could be from the acquired company or be a rising star within the newly formed organization with the backing of their boss.