Planning for these unavoidable challenges ensures everyone has the support they need to do their job well.Įvery aspect of the sales and marketing integration is aided by the post-merger integration process, including the syncing of customers and communications, pricing, websites, and branding. This includes mitigating potential relocation and severance package issues or delays, proactively dodging benefit or salary alignment snags, and preventing possible training gaps in the newly combined workforce, all managed by human resources.įrom moving equipment to consolidating customer-facing functions, plenty of operational challenges await an integrated company. A post-merger integration process accounts for the communication imperative to ensure every internal and external message is consistent and complementary to the rest.ĭesired financial gain may propel an M&A, but human beings are at its core, and an effective post-merger integration process prioritizes the needs of the people impacted by the deal. After an M&A, many combined companies see two sets of communications being sent to employees, customers, and stakeholders, if communications are prioritized at all. It’s hard enough for companies that are pre-M&A to master their internal and external communications. It solves for numerous potential issues that come with such a business transformation, including: The post-merger integration process is essential. That is, the process of bringing two or more companies together in an effort to realize a deal’s predicted value. Why? Because half of acquiring companies either aren’t prepared for or completely underestimate the importance of the post-merger integration, or PMI, process.

About half of M&As fail to create shareholder value. An M&A is the point at which anticipated synergies-or the proposed, tangible increase to the acquiring company’s earnings-will manifest…or not. A merger itself is the corporate strategy of combining two separate entities into a single company, and the acquisition is the actual purchase of all or a portion of a corporate asset or target company. To clarify, a merger and acquisition, or M&A, is the consolidation of companies or assets through various financial deals. Why is a Post-Merger Integration Checklist So Valuable? To mitigate that risk and ensure your M&A succeeds and your post-merger integration process goes smoothly, leverage the following approach, steps, and best practices.

If any part of the process is overlooked or breaks down, a merger and acquisition can fail, resulting in a colossal loss of money, resources, and trust. There has to be a realistic plan in place, guided by a set of specific, achievable goals. To ensure its success, everyone has to do their part. At its core, the post-merger integration process is the ultimate group project.

Post merger integration task planner