Integration is among the most important aspects of an acquisition merger. Acquisition integration is often overlooked by companies, until it’s too late. It can make or break a deal. Acquisition integration is a huge task that requires dedicated time.
Many companies fail to realize the forecasted results from a merger due to poor M&A integration planning and execution. The main reason for this is the lack of commitment and alignment among the leadership team, which facilitates integration processes. The first step is to identify and build up leaders with the motivation and experience to manage integration efforts. This includes the M&A leadership team, as well as the functional teams involved in the process such as human resources, finance operations, human resources, and other departments.
Implementing clear tracking mechanisms that link the M&A process to the P&L is another key element. This ensures that the correct measures are tracked and the appropriate goals set.
An integration director should be involved as early as is possible. This could be part of the diligence process. It can maximize the value of the target by identifying synergies that are not realizing. An experienced integration director can identify these opportunities and make sure that they are included in visit the website the target’s value.
