A common stumbling block in M&A is that integration is treated as the standard approach, which could lead to a lack of vision, hurt big-picture alignment and customer relations, and ultimately hinder maximising the value of the deal. This is why the most successful acquirers take care to tailor their integration plans to the specific goals of each acquisition.
The process of integration is difficult due to the large number of moving parts that have to collaborate seamlessly. The integration process can be difficult due to the sheer number of moving components that must work together.
To overcome these difficulties It is essential to streamline and centralize communication. Acquirers using DealRoom for due diligence experience an increase in collaboration, a decrease in the number of disconnected emails and more efficient M&A Management. By continuing to use DealRoom after closing, it becomes easier to manage integration and avoid the issues that could slow or derail a transaction.
One crucial stage in the planning process is identifying a leadership team to facilitate the integration process. This is vital, as the lack of collaboration and support from the leaders is a major reason for failures in integration. It is also vital to prioritize tasks and create groups to take on them. This will ensure the right allocation of resources, like talent and management attention which can help make a more efficient and effective integration.
Most often, the most valuable sources of synergies with integration are found in a company’s marketing and brand. This kind of integration is carried out on a function-by-function basis, and involves aligning the product portfolios and messaging, and also creating an overall strategy for going-to-market.
http://www.virtualdataroomservices.info/what-is-deal-flow-management