{"id":5556,"date":"2019-10-11T05:20:09","date_gmt":"2019-10-11T10:20:09","guid":{"rendered":"http:\/\/flevy.com\/blog\/?p=5556"},"modified":"2020-12-20T20:47:32","modified_gmt":"2020-12-21T01:47:32","slug":"how-to-achieve-greater-value-in-ma-do-the-fundamentals-of-post-merger-integration","status":"publish","type":"post","link":"https:\/\/flevy.com\/blog\/how-to-achieve-greater-value-in-ma-do-the-fundamentals-of-post-merger-integration\/","title":{"rendered":"How to Achieve GREATER VALUE in M&amp;A? Do the Fundamentals of Post-merger Integration"},"content":{"rendered":"<p>Going into a <a href=\"https:\/\/flevy.com\/business-toolkit\/manda-mergers-and-acquisitions-ma\">Merger and Acquisition (M&amp;A)<\/a> is never an easy task. The process of M&amp;A is like trying to complete a large<img decoding=\"async\" class=\"alignright size-medium wp-image-5559\" src=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic2-300x243.jpeg\" alt=\"\" width=\"300\" height=\"243\" srcset=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic2-300x243.jpeg 300w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic2-768x622.jpeg 768w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic2-1024x829.jpeg 1024w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic2.jpeg 1605w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/> puzzle when your right hand and your left hand have never worked together. In fact, Mergers and Acquisitions revolve around a plethora of moving parts. Going into this direction can be complicated. Suddenly, there are two companies and additional stakeholders that now need to fairly and seamlessly work and communicate together in order to bring the deal to completion.<\/p>\n<p>But what happens after the deal has seemingly crossed the finish line. When this happens, there is the Post Merger Integration or M&amp;A Integration. After the financial transaction,\u00a0<a href=\"https:\/\/flevy.com\/business-toolkit\/pmi-post-merger-integration\">Post-merger Integration (PMI)<\/a> is the process of bringing 2 or more companies together with the aim of maximizing synergies to ensure that the deal lives up to its predicted value. However, easy as it may seem, there are problems in Mergers and Acquisitions that can often cause deals to fail. Companies do not want a deal that only looks good on paper or results in a semi-integrated company.<\/p>\n<p>To be able to live up to predicted value, a <a href=\"https:\/\/flevy.com\/browse\/flevypro\/post-merger-integration-pmi-primer-3950\">Post-merger Integration Planning<\/a> must start right at the beginning of the deal.<\/p>\n<h2>Understanding Post-merger Integration<\/h2>\n<p>Post-merger Integration (PMI) or M&amp;A Integration is the process of bringing 2 or more companies together.<br \/>\nIt is what happens after the deal has crossed the finish line. In the PMI, our objective is to maximize synergies to ensure that the deal lives up to its predicted value.<\/p>\n<p>In starting the PMI, Post-merger Planning should be done at the beginning of the deal and must be established before the deal closes. Any problems that may arise in Mergers and Acquisitions must be dealt with immediately since failure to properly address them can cause deals to fail or unable to extract true value from deals.<\/p>\n<h2>The 4 Types of Post Acquisition Integration<\/h2>\n<p>It helps a lot if we have a good understanding of the different types of Post Acquisition Integration to better manage deals.<\/p>\n<p><a href=\"https:\/\/flevy.com\/browse\/flevypro\/post-merger-integration-pmi-primer-3950\"><img decoding=\"async\" class=\"aligncenter size-large wp-image-5560\" src=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic1-1024x768.png\" alt=\"\" width=\"1024\" height=\"768\" srcset=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic1.png 1024w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic1-300x225.png 300w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2019\/10\/Post-Merger-Integration-Primer-Pic1-768x576.png 768w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/a><\/p>\n<p>Understanding the different <a href=\"https:\/\/flevy.com\/browse\/flevypro\/post-merger-integration-pmi-primer-3950\">types of Post Acquisition Integration<\/a> will give the organization a better idea of what direction to take when it comes to Mergers and Acquisitions. It is best for companies to have a good hold of where they want to go and want to achieve taking into consideration current conditions and business considerations. When these are all laid out, greater are the chances that the right type of Post Acquisition Integration is undertaken and a successful<a href=\"https:\/\/flevy.com\/browse\/stream\/transformation\"> Business Transformation<\/a> is achieved.<\/p>\n<h2>Taking the Right Step Forward to Mergers and Acquisitions<\/h2>\n<p>Taking the road to Mergers and Acquisitions requires organizations to keep away from common mistakes. This is possible with the use of M&amp;A Integrated Solutions.<\/p>\n<p>The use of <a href=\"https:\/\/www.forbes.com\/sites\/forbeslacouncil\/2019\/02\/22\/the-strategy-that-will-shape-ma-in-2019\/\">M&amp;A Integrated Solutions<\/a> and Post-merger Integration Tool allows organizations to increase the chance of a successful Post-merger Integration. With the use of these tools, users are enabled to plan properly from day one and the very beginning of the diligence process. Teams have access to all files and data prior to the deal closing to spot areas of concern and plan accordingly. Further, users can set cross-stream dependencies across multiple functions.<\/p>\n<p>With <a href=\"https:\/\/flevy.com\/browse\/flevypro\/post-merger-integration-pmi-primer-3950\">M&amp;A Integrated Solutions<\/a>, it facilitates the use of a better process that maximizes deal value. Organizations just need to have a good understanding of the Post-merger (M &amp; A) Integration Process to get the greatest value and achieve <a href=\"https:\/\/flevy.com\/operational-excellence\">operational excellence<\/a>.<\/p>\n<p>Interested in gaining more understanding of <a href=\"https:\/\/flevy.com\/browse\/flevypro\/post-merger-integration-pmi-primer-3950\">Post-merger Integration<\/a>? You can learn more and download <a href=\"https:\/\/flevy.com\/browse\/flevypro\/post-merger-integration-pmi-primer-3950\">an editable PowerPoint about <strong>Post-merger Integration (PMI) Primer<\/strong> here<\/a> on the Flevy documents marketplace.<\/p>\n<h2>Do You Find Value in This Framework?<\/h2>\n<p>You can download in-depth presentations on this and hundreds of similar business frameworks from the <a href=\"https:\/\/flevy.com\/pro\/library\">FlevyPro Library<\/a>. <a href=\"https:\/\/flevy.com\/pro\">FlevyPro<\/a> is trusted and utilized by 1000s of management consultants and corporate executives. Here&#8217;s what some have to say:<\/p>\n<blockquote><p>&#8220;My FlevyPro subscription provides me with the most popular frameworks and decks in demand in today\u2019s market. They not only augment my existing consulting and coaching offerings and delivery, but also keep me abreast of the latest trends, inspire new products and service offerings for my practice, and educate me in a fraction of the time and money of other solutions. I strongly recommend FlevyPro to any consultant serious about success.&#8221;<\/p>\n<p style=\"text-align: right;\">\u2013 Bill Branson, Founder at Strategic Business Architects<\/p>\n<\/blockquote>\n<blockquote><p>&#8220;As a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power. For us, it is an invaluable resource to increase our impact and value.&#8221;<\/p>\n<p style=\"text-align: right;\">\u2013 David Coloma, Consulting Area Manager at Cynertia Consulting<\/p>\n<\/blockquote>\n<blockquote><p>&#8220;As a small business owner, the resource material available from FlevyPro has proven to be invaluable. The ability to search for material on demand based our project events and client requirements was great for me and proved very beneficial to my clients. Importantly, being able to easily edit and tailor the material for specific purposes helped us to make presentations, knowledge sharing, and toolkit development, which formed part of the overall program collateral. While FlevyPro contains resource material that any consultancy, project or delivery firm must have, it is an essential part of a small firm or independent consultant&#8217;s toolbox.&#8221;<\/p>\n<p style=\"text-align: right;\">\u2013 Michael Duff, Managing Director at Change Strategy (UK)<\/p>\n<\/blockquote>\n<blockquote><p>&#8220;FlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients. In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over! The quality of the decks available allows me to punch way above my weight \u2013 it&#8217;s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.&#8221;<\/p>\n<p style=\"text-align: right;\">\u2013 Roderick Cameron, Founding Partner at SGFE Ltd<\/p>\n<\/blockquote>\n<blockquote><p>&#8220;Several times a month, I browse FlevyPro for presentations relevant to the job challenge I have (I am a consultant). When the subject requires it, I explore further and buy from the Flevy Marketplace. On all occasions, I read them, analyze them. I take the most relevant and applicable ideas for my work; and, of course, all this translates to my and my clients&#8217; benefits.&#8221;<\/p>\n<p style=\"text-align: right;\">\u2013 Omar Hern\u00e1n Montes Parra, CEO at Quantum SFE<\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>Going into a Merger and Acquisition (M&amp;A) is never an easy task. The process of M&amp;A is like trying to complete a large puzzle when your right hand and your left hand have never worked together. In fact, Mergers and Acquisitions revolve around a plethora of moving parts. Going into this direction can be complicated.&hellip;&nbsp;<a href=\"https:\/\/flevy.com\/blog\/how-to-achieve-greater-value-in-ma-do-the-fundamentals-of-post-merger-integration\/\" rel=\"bookmark\"><span class=\"screen-reader-text\">How to Achieve GREATER VALUE in M&amp;A? Do the Fundamentals of Post-merger Integration<\/span><\/a><\/p>\n","protected":false},"author":111,"featured_media":5559,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","footnotes":""},"categories":[408,82,85],"tags":[1535,1769,1766,328,1767,1768],"class_list":["post-5556","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-management-leadership","category-operations","category-organization","tag-business-transformation","tag-m-a-integrated-solutions","tag-merger-and-acquisition","tag-operational-excellence","tag-post-merger-integration-planning","tag-types-of-post-acquisition-integration"],"_links":{"self":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/5556","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/users\/111"}],"replies":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/comments?post=5556"}],"version-history":[{"count":10,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/5556\/revisions"}],"predecessor-version":[{"id":8077,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/5556\/revisions\/8077"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media\/5559"}],"wp:attachment":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media?parent=5556"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/categories?post=5556"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/tags?post=5556"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}