Three-Phase Approach for Target Operating Model Development PPT


This PPT slide, part of the 38-slide Post-merger Integration (PMI): Target Operating Model (TOM) PowerPoint presentation, outlines a structured three-phase approach for developing a Target Operating Model (TOM) during post-merger integration (PMI). It emphasizes the importance of having unlimited access to information prior to the closing of a deal.

The first phase, "Understanding initial basis," focuses on establishing a clear understanding of the integration blueprint, including the vision and rationale behind the deal. It suggests conducting workshops for various functions to facilitate discussions about existing operating models, involving both buyers and joint venture partners. This phase aims to identify critical success factors and necessary resources, setting a solid foundation for the subsequent phases.

The second phase, "Develop interim and target operating model," involves creating a high-level interim model that reflects the buyer's management perspective and includes input from joint venture partners. This phase also emphasizes developing a detailed operating model for each workstream, ensuring that nominated project members participate actively. Summarizing results and potentially coordinating further workshops is highlighted as essential to align all workstreams effectively.

The final phase, "Coordination and approval," centers on obtaining necessary approvals for the operating models from workstream sponsors and the project management office (PMO). It also stresses the need for top management or steering committee approval and includes a presentation to project staff during the kick-off meeting post-signing or closing.

Overall, this slide provides a clear roadmap for organizations looking to navigate the complexities of post-merger integration, ensuring that all stakeholders are aligned and that the operating model is robust and well-coordinated.




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PMI Target Operating Model Post-merger Integration Project Management Critical Success Factors Post-merger Integration Joint Venture PMO Workshops

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