O slideshow foi denunciado.
Utilizamos seu perfil e dados de atividades no LinkedIn para personalizar e exibir anúncios mais relevantes. Altere suas preferências de anúncios quando desejar.

[Whitepaper] Considering M&A? Here Are 3 Critical Pre-merger Considerations

35 visualizações

Publicada em

More information: https://flevy.com/browse/flevypro/post-merger-integration-pmi-pre-merger-considerations-3941

The Post-merger Integration (PMI) process starts way before the actual M&A deal closure. During this period, Leadership needs to clearly define the goals of integration, the potential risks, and a layout for the execution of the actual integration process.

This framework provides a detailed synopsis of the 3 core considerations associated with M&A transactions. The period prior to obtaining regulatory approvals—and while Due Diligence is being done—is an excellent time for performing a thorough assessment of the 3 core pre-merger considerations:

1. Strategic Objectives
2. Organization & Culture
3. Takeover Approach

These core considerations assist in developing a systematic approach to undertaking a PMI. It is devoid of any "gut decisions" and ensures realization of synergies and value.

The slide deck also includes some slide templates for you to use in your own business presentations.

  • Download the full document, please go here: https://flevy.com/browse/flevypro/post-merger-integration-pmi-pre-merger-considerations-3941
       Responder 
    Tem certeza que deseja  Sim  Não
    Insira sua mensagem aqui
  • Seja a primeira pessoa a gostar disto

[Whitepaper] Considering M&A? Here Are 3 Critical Pre-merger Considerations

  1. 1. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 1/13 evyblog Flevy Blog is an online business magazine covering Business Strategies, Business Theories, & Business Stories. MANAGEMENT &LEADERSHIP STRATEGY,MARKETING,SALES OPERATIONS&SUPPLYCHAIN ORGANIZATION&CHANGE IT/MIS Other Considering M&A? Here Are 3 Critical Pre-merger Considerations Contributed by Mark Bridges on September 16, 2019 in Organization, Change, & HR, Strategy, Marketing, & Sales Post-merger Integration Training 131-slide PowerPoint presentation Post Acquisition Integration Strategy (Post Merger Integration - PMI) 79-page PDF document Post Merger Integration (PMI) Best Practice Framework 28-slide PowerPoint presentation Change Management in Post- merger Integration (PMI) 24-slide PowerPoint presentation Takeovers can turnaround companies in a short period of time, but there is a significant degree of risk to be anticipated and mitigated prior to undertaking such transactions. Lack of careful deliberation of the potential risks, insufficient planning, weak execution, and lack of focus on Post-merger Integration are the major reasons why many Merger & Acquisition deals fail to achieve their desired goals. The course of an M&A transaction has to be set at an early stage, way before the actual deal closure. The period prior to the deal approval by the regulatory authorities and while due diligence is being done is most critical, and should be utilized by the leadership to clearly define the goals of integration, the potential risks, and a layout for the execution of the actual integration process. It is the right time to perform a structured evaluation of 3 core pre-merger considerations associated with such deals, i.e.:
  2. 2. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 2/13 1. Strategic Objectives 2. Organization & Culture 3. Takeover Approach
  3. 3. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 3/13
  4. 4. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 4/13 Understanding these PMI Pre-merger considerations helps the stakeholders ascertain the unique challenges and constraints related to M&A transactions and make informed decisions. These considerations assist in developing a systematic approach to undertaking a Post-merger Integration (PMI)—which is devoid of any “gut decisions,” and ensures realization of synergies and value. These considerations set the direction and pace of the post-merger integration process. Now, let’s discuss the 3 core considerations in detail. Strategic Objectives Organizations undertake Mergers and Acquisitions as a way to accelerate their growth rather than growing organically. The foremost core consideration associated with an M&A transaction is the strategic objectives that the organizational leadership wants to achieve out of it. M&A deals take place to fulfill one or more of these 5 strategic objectives: Reinforcement of a segment Extension in new geographies Expansion of product range Acquisition of new capabilities Venturing into a new domain The PMI approach needs to be tailored in accordance with the desired strategic objectives of the deal. Organization & Culture The senior management should be mindful of the significance of organizational and cultural differences in the two organizations that often become barriers to M&A deals. Small companies, typically, have an entrepreneurial outlook and culture where there aren’t any formal structure and the owner controls (and relays) all the information and decision making. Whereas, large corporations typically have formal structures and well-defined procedures. A takeover of a small firm by a large entity is bound to stir criticism and disagreement. M&A process often faces long delays between the offer, deal signing, and closing—due to antitrust reviews or management’s indecisiveness— triggering suspicion among people. This should be mitigated during the PMI process by orienting the people of the small firm with the new culture and giving them time to transition effectively. For M&A deals to be effective, leadership needs to carefully evaluate the behavioral elements of the organizational culture and contemplate the overriding principles guiding a company.
  5. 5. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 5/13 Takeover Approach Integrating the operations of two companies proves to be a much more difficult task in practice than it seems theoretically. Organizations have the option of selecting the takeover approach most suitable for them from the following 4 methodologies–based on their organizational structures, people, management, processes, and culture: 1. Direct Hit 2. Hiatus 3. Deferred Decisions 4. Quick and Unsympathetic Disposal Interesting in learning more about the takeover approach and the pre-merger considerations in detail? You can download an editable PowerPoint on Post-merger Integration: Pre-merger Considerations here on the Flevy documents marketplace. Are you a Management Consultant? You can download this and hundreds of other consulting frameworks and consulting training guides from the FlevyPro library. Readers Are Also Interested in These Resources Post-merger Integration Training 131-slide PowerPoint presentation Post Acquisition Integration Strategy (Post Merger Integration - PMI) 79-page PDF document Post Merger Integration (PMI) Best Practice Framework 28-slide PowerPoint presentation Change Management in Post- merger Integration (PMI) 24-slide PowerPoint presentation Post-merger Integration (PMI): IT Integration Framework 26-slide PowerPoint presentation Post-merger Integration (PMI): Specialized Issues 25-slide PowerPoint presentation
  6. 6. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 6/13 Post to Facebook Add to LinkedIn Post to Twitter About Mark Bridges Mark Bridges is a Senior Director of Strategy at Flevy. Flevy is your go-to resource for best practices in business management, covering management topics from Strategic Planning to Operational Excellence to Digital Transformation (view full list here). Learn how the Fortune 100 and global consulting firms do it. Improve the growth and efficiency of your organization by leveraging Flevy's library of best practice methodologies and templates. Prior to Flevy, Mark worked as an Associate at McKinsey & Co. and holds an MBA from the Booth School of Business at the University of Chicago. You can connect with Mark on LinkedIn here. View all posts by Mark Bridges →
  7. 7. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 7/13 5 Ways Collective Intelligence Helps Build Smart Teams 1 comment • 8 months ago Avatar Ritesh Patil — Mobisoft Infotech is Houston based smartphone application development company specialize in iOS, Android and BB Enterprise app development and our portfolio comprise of The Best Data Solutions for Your Business 1 comment • 3 years ago Avatar BlueMule55 — Is there some reason why you "followed" me? Industrial Engineer’s Silver Lining 1 comment • 4 years ago Avatar Keerthi — Industrial Engineer are great as they make better holes; not perfecting drill bit. 4 Ways to Improve Customer Communication 1 comment • 3 years ago Avatar 24Task — Your blog is really a well-explained piece of information about Hire Virtual Assistant. Working with 24Task a virtual assistant can completely change the way that you – and your ALSO ON FLEVY BLOG 0 Comments Flevy Blog Login1 t Tweet f Share Sort by Best LOG IN WITH OR SIGN UP WITH DISQUS Name Start the discussion… ? Be the first to comment. Subscribe✉ Add Disqus to your siteAdd DisqusAddd Disqus' Privacy PolicyPrivacy PolicyPrivacy🔒 Recommend
  8. 8. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 8/13 FEATURED DOCUMENTS ITIL Event Management Process 26-slide PowerPoint presentation ITIL v3 Event Management Process is a part of ITIL v3 Service Operation publication. This Document contains detailed description of the ITIL v3 Event Management Process, including: - Key definitions - Purpose and Objectives - Scope - Value [Read More] ITIL Lifecycle Poster (ITIL v3-2011) 1-page PDF document ITIL v3 - 2011 Lifecycle Poster - printable in A1, A2, A3 Poster describes ITIL Lifecycle model: Service Strategy, Service Design, Service Transition, Service Operation and Continual Service Improvement. Poster includes all ITIL [Read More] POPULAR DOCUMENTS ON FLEVY Digital Transformation Strategy 118-slide PowerPoint presentation ITIL 4 Poster (ITIL 4 - 2019, ITIL 4 SVS) - New 2-page PDF document Project Quality Management v1 121-slide PowerPoint presentation Business Case Development Framework 32-slide PowerPoint presentation
  9. 9. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 9/13 Commercial Due Diligence (CDD) 63-slide PowerPoint presentation 1000+ Consulting Diagrams, Templates, Graphics & Icons 1125-slide PowerPoint presentation Complete Guide to Value Creation 101-slide PowerPoint presentation Explication detaillee des Bonnes Pratiques Maintenance 302-slide PowerPoint presentation Business Process Master List (BPML) Template Excel workbook 875+ High Impact Presentation Templates 878-slide PowerPoint presentation POPULAR ARTICLES
  10. 10. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 10/13 14 Principles of Lean Toyota Production System (TPS) Editor's Note: Charles Intrieri is a consultant with over 25 years of experience in Operational Excellence, Supply Chain & Logistics, and Metrics-driven Ma... 7 Steps to Produce a Strategy-on-a-Page (SoaP) Every year you are asked to assess the previous year’s business performance and update your strategies to meet the needs of a changing environment, includi... 4 Effective Ways to Manage Resources More Efficiently All workplaces are an integration of numerous departments working together as one to ensure the business runs smoothly. Almost every sector is reliant on o... Taking Innovative Steps to Problem Solving: The Flexons Approach Do you find problem solving so mind breaking? That when we crack our heads to find solutions, we often end up with the same solution all over again? As Alb... Real Estate 101: Developing an Integrated Real Estate Strategy Disruption is constantly changing the retail business environment. In fact, it is adding complexities to it with every passing day. Sweeping changes in c... Managing Performance by Leveraging the Organizational Health Index (OHI) The typical approach to improving productivity focuses on assessing variance in quality, time, rate, service, or cost, around which management systems deve...
  11. 11. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 11/13 COMPLIMENTARY BUSINESS TRAINING GUIDES What is Business Strategy without How can we anticipate & manage Embed View on Twitter Tweets by @flevydocs 1h 18h [Free PPT] 100+ slides of business diagrams/templates/visuals flevy.com/powerpoint-too… Free #PPT plugin for #consulting diagrams - e.g. #Gantt charts, Booz balls, waterfall flevy.com/powerpoint-plu… Root Cause Analysis - 60-slide deck flevy.com/browse/tweet/d… #RCA Flevy.com @flevydocs Flevy.com @flevydocs Free PowerPoint Plugin - Flevy Tools flevy.com Flevy.com @flevydocs
  12. 12. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 12/13 proper Execution? Many companies develop robust strategies, but struggle with operationalizing their strategies into implementable steps. This presentation from flevy introduces 12 powerful business frameworks spanning both Strategy Development and Strategy Execution. [Learn more] BIG Organizational Change? This 48-page whitepaper, authored by consultancy Envisioning, provides the frameworks, tools, and insights needed to manage serious Change— under the backdrop of the business lifecycle. These lifecycle stages are each marked by distinct attributes, challenges, and behaviors. [Learn more] Want to save hours on your future presentations? We've developed a very comprehensive collection of Strategy & Transformation PowerPoint templates for you to use in your own business presentations, spanning topics from Growth Strategy to Brand Development to Innovation to Customer Experience to Strategic Management. [Learn more] Do you work in Operational Excellence or Lean Six Sigma? We have compiled a collection of 10 Lean Six Sigma templates (Excel) and Operational Excellence guides (PowerPoint) by a multitude of LSS experts. These tools cover topics including 8 Disciplines (8D), 5 Why's, 7 Wastes, Value Stream Mapping (VSM), and DMAIC. [Learn more] RECENT ARTICLES BY CORPORATE FUNCTION MANAGEMENT & LEADERSHIP Finding Corporate Philanthropy a Challenge? Let This Primer Guide You How to Achieve GREATER VALUE in M&A? Do the Fundamentals of Post-merger Integration OK, the Merger's Done. How Do We Secure the Promised Revenue Synergies? Why PLUS Decision Making Model is Essential to Ethical STRATEGY, MARKETING, SALES In this Digital Age, Are You Ready for Digital Reinvention? OK, the Merger's Done. How Do We Secure the Promised Revenue Synergies? 'Tis the Season for Strategic Planning! Here’s What You Need to Know to Successfully Formulate and Execute Your Strategy Considering M&A? Here Are 3 Critical Pre-merger OPERATIONS & SUPPLY CHAIN How to Achieve GREATER VALUE in M&A? Do the Fundamentals of Post-merger Integration Conducting PMI? Here Are the Critical 8 Decision Levers to Evaluate Taking Your Facilitation to the Next Level: Master the 12 Workshop Facilitation Techniques ORGANIZATION, CHANGE, HR In this Digital Age, Are You Ready for Digital Reinvention? Finding Corporate Philanthropy a Challenge? Let This Primer Guide You How to Achieve GREATER VALUE in M&A? Do the Fundamentals of Post-merger Integration When Sustaining Stakeholder Interest Is Essential: The Importance of Corporate INFORMATION TECHNOLOGY Why Knowledge Management Strategy Is Important for Business Sustainability Understanding Enterprise Architecture: Is it Really Important Today? Knowledge Management 101: A Practical Guide for Beginners and Practitioners Retail Strategy: How to Effectively Manage IT Costs CORPORATE COMMUNICATIONS When Sustaining Stakeholder Interest Is Essential: The Importance of Corporate Social Responsibility (CSR) Sources of Value You're Building a Customer- centric Organization, So Where's the Customer Department? What's the Best Way to Manage and Communicate with Virtual Teams?
  13. 13. 10/19/2019 Considering M&A? Here Are 3 Critical Pre-merger Considerations | flevy.com/blog flevy.com/blog/considering-ma-here-are-3-critical-pre-merger-considerations/ 13/13 About Flevy.com / Terms / Privacy Policy Organizations Conducting PMI? Here Are the Critical 8 Decision Levers to Evaluate Considerations Scenario Planning : A Workshop Consulting Approach When the Future Needs to be Different When Business Change Needs to Take the Upper Hand: Take the Lean-led Business Transformation Getting Ready for Enterprise Asset Management (EAM) Implementation Social Responsibility (CSR) Sources of Value Why PLUS Decision Making Model is Essential to Ethical Organizations The Principles and Implementation of Scaled Agile Framework (SAFe) Can Business Communication Be Thought of As a Science? 4 Ways to Improve Customer Communication The Flevy Business Blog (http://flevy.com/blog) is a leading source of information on business strategies, business theories, and business stories. Most articles have been contributed for management consultants and industry executives with over 20 years of experience. If you would like to contribute an article, please email our editor David Tang at dave@flevy.com. Flevy (http://flevy.com) is the marketplace for premium business documents, such as management frameworks, presentation templates, and financial models. Our documents are of the same caliber produced by top tier consulting firms, like McKinsey, Bain, Accenture, BCG, and Deloitte. Learn more about Flevy here. Connect with Flevy: © 2019. Flevy LLC. All Rights Reserved.

×