Ensure the Success of Mergers & Acquisitions with a Strong IT Integration Plan

“Many mergers don’t live up to expectations, because they stumble on the integration of technology and operations. but a well-planned strategy for IT integration can help mergers succeed.” (McKinsey & Company)

Merger & Acquisition (M&A) momentum in 2015 has been remarkable. According to analysis from PricewaterhouseCoopers, 2015’s merger market could be the best for the U.S. since the financial crisis.

M&A projects offer some great rewards, but also involve financial risk. They can also create enormous challenges for companies and their IT organizations to deal with.

Over the course of the last decade, there has been significant research on this particular subject. MergersandAcquisitionsResearch consistently supports that IT involvement in the early stages of a deal helps identify the magnitude of integration challenges.

Though it’s now more widely understood that IT can and should play an important role at every stage of the M&A process, and that a lack of IT integration is one of the key sources of problematic M&As, we still find some hesitation in laying the proper groundwork. Sometimes that’s due to an acquisition being executed under stress, but in many cases leadership fears the significant investment required to properly assess the current IT environment and make the necessary improvements.

Proper planning for the overall adaptation and alignment of the IT landscape are precisely the keys to effective IT implementation. Integrating people, operations, information and processes can require significant technology investments, but the sooner your organization completes an M&A integration with minimal business disruption, the sooner you can begin accruing the benefits of the deal.

How Can We Help?

Our delivery assurance experts have decades of experience in successful IT M&A integrations. CREDO can work with you to proactively improve the business value of your M&A by helping you understand the best IT approach.

Our pre-merger assessment will cover:

  • Assessment of current systems and processes
  • Data and Network Security
  • Assessment of IT organization
  • Review of software development lifecycle
  • Assessment of third-party and software providers
  • Assessment of synergies and redundancies
  • Definition all IT requirements
  • Outline of potential obstacles or liabilities
  • Identification of opportunities
  • Estimated costs associated with realizing an information architecture well suited to acquisitions.

The assessment gives you the tools you need to make disciplined decisions on your next moves and gives direction for developing vision, strategy and blueprint for how the IT integration plan will contribute to the M&A success without interruption.

Contact us today to ensure a well thought out plan for your organization’s M&A or divestiture project!

Greg

Greg Bair

Greg Bair, President

 

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