It’s no secret that in our modern era, business and IT are interwoven. Getting IT right has become fundamental to avoiding failed mergers and acquisitions (M&A). While IT is of course not the sole driver of M&A integration success, its importance in business integration has long been recognized. IT can be a powerful factor behind M&A success, assuring synergies are realized and ultimately increasing the deal-making capacity of acquirers.
Primaxis help many companies navigate the difficult transition period of a merger and acquisition.
The following are the few best practices for IT to help speed integration before, during, and after a merger.
The number one reason mergers and acquisitions do not live up to expectations is due to a lack of strategic planning. Customers need to make sure they are prepared for their upcoming projects and have an appropriate team in place to set goals and build plans to ensure for a successful project. It is important to ensure that a company has a defined plan of how they will execute a migration and integration to mitigate risk.
Customer’s should make sure they have read all solution documentation to ensure that prerequisites are in place that our solutions require. Primaxis services consist of a series of documents such as; release notes, known limitations, installation guides, and comprehensive user guides. These documents explain the necessary pre-requisites needed so that you minimize any issues in your project.
During a M&A integration customers should work to minimize the change of scope of the project midstream or introducing other technology which could have an impact on the project. For example, introducing new malware products which perform virus scanning can intercept files for our products executables. Adding new software in the middle of a project can cause unforeseen errors as these scenarios have not been tested or validated an unexpected error could occur. During an M&A any scope change should be considered carefully and unless deemed necessary it will be important to ensure due diligence is performed to avoid any pitfalls in the project.
The product documentation should be followed to configure the product, as not following a specific process in order could cause an issue. This can be avoided the same way as outlined in the pre-requisite’s pitfall by carefully examining the product documentation. By following the documentation will help customers avoid issues and ensure the products are configured appropriately.
It is very important that you have a test environment to help validate and build your plan before moving into production. This will help mitigate risk to your project and minimize escalations. Having a test environment and setting appropriate user expectations when testing can remediate a lot of pitfalls in an M&A project.
Primaxis has supported many enterprise mergers and acquisitions. We’ve worked on the largest and most complex M&A transactions on the planet. Our end-to-end enterprise M&A service enables organizations to achieve their business and integration goals.