M&A deals that fail usually due to poor post-deal integration. DealRoom helps businesses avoid common pitfalls and maximize the value of their M&A transactions by assisting in the post-acquisition process.
The emphasis, sequence, and speed of integration after the deal should be specifically tailored to reflect the goals and value-added sources http://www.virtualdataroomservices.info/what-is-deal-flow-management that prompted the transaction in the first in the first. It sounds simple however we see a lot of businesses rely on off-the-shelf plans and generic best practices that overemphasize process and ignore the distinctive elements of their deal.
One company was able to recognize that R&D could provide a substantial amount of value, however, since the primary product of the acquired company was still in development, they decided to focus on growth, leveraging the capabilities and sales channels of the new company in a strategic fashion. In the long term, they would reevaluate whether they wanted to fully integrate R&D.
Another important practice in successful mergers is to delegate the responsibility for capturing cost and revenue synergies over to line managers within the acquired business. This ensures that line managers have the appropriate incentives and responsibilities to drive strategic execution, and it helps to track progress against goals in real time. We’ve also noticed that it can help to build the capacity for brief meetings, iterative ones with specific targets and timelines to allow teams to change their goals and adjust their and activities as they move through the PMI cycle.