M&A Information Technology Best Practices

Chapter 28

M&A IT, Summing It All Up

Habeeb DihuNadia OrawskiJustin CalvinLuke BatesBryce MetroEric Niederhelman

The role of IT in business has never been more significant than it is today. Technology is an enabler of virtually every operating element in contemporary organizations and is critical to a successful merger, acquisition, or divestiture for many reasons. The ability to keep one's company on the rails while simultaneously executing a complex merger, acquisition, or divestiture is a skill that should be a part of every technology leader's repertoire. Not only is IT typically a significant driver of opportunity, whether it be synergy or cost reduction, but it can also be one that has the largest cost and takes the longest time to execute. Technology typically underpins the operations of the entire organization, potentially impacting every function. Organizations that embark on an M&A activity without effective IT preparation and input run the very real risk that the incremental deal value could be threatened, potentially resulting in shareholder value destruction.

Throughout this book we have identified and provided tangible ways to embed key success factors into your M&A activity, including:

• Involving IT early.
• Facilitating IT readiness and making sure IT is prepared in advance of any M&A activity.
• Controlling the transaction and putting in place a structured program.
• Focusing on minimizing risk.
• Effectively managing cost.
• Enabling key stakeholders' engagement.
• Focusing ...