Popping the Cork After a Successful Merger
Integration Leadership
Integration leadership of a transaction needs to understand the plans at a deep enough level that it can identify, escalate and recommend corrective actions to keep major activities on the desired performance track. To do so, it measures the integration against the principal strategic and operational objectives of individual acquisitions or investments, as well as to track the important milestones and interdependencies that support these objectives.
The main execution organization gathers and incorporates individual performance metrics into a holistic evaluation of the entire portfolio for presentation to and review with senior management on a quarterly basis. Combined, these activities form a closed feedback loop by which there is a continuous learning cycle throughout all aspects of the acquisition program about the probability of integration success; and, thus, the probability of overall success of an M&A Strategy.
This transparency in the performance of individual and a collective group of acquisitions or investments allows a company to make the appropriate adjustments to the Mergers & Acquisition Strategy.
The Probability of Success
Through the course of these four articles about building competency in acquisitions, we’ve attempted to describe best practices in each major stage of a company’s M&A process, from sourcing of opportunities to the acquisition of companies and the successful execution after acquisition.
While each stage focuses on its own distinct outcome and requires different competencies, all of these stages link back and feed in to the overall financial and strategic objectives that drive the need to acquire in the first place.
Other articles by Elias:
Moving on Up Through Mergers & Acquisitions (part 3 of 4- article above is part 4)
Grow Your Business Through the M&A Pipeline- part 2 of 4
You Too Can Execute a M&A Strategy
Acquisition What Is your Companys Valuation?
Four Basic Principles for Raising Capital
Partnerships, Strategic and Commercial Benefits
