CHAPTER 15Evaluating Integration Results and Improving Your Post-merger Integration Program
In this chapter we will explore:
- Measuring integration progress at Day 90
- IMO after action reviews
- Other general lessons learned for key PMI areas
I received a good piece of advice from a manager once: “feedback is a gift,” and this goes for integration feedback, as well.
For companies with fairly frequent merger and acquisition activity, getting post-integration feedback is critical to ensuring you are continually improving your post-merger integration (PMI) program.
IMPROVING INITIAL DEAL THESIS CLARITY
One of the areas that an after-action assessment can help improve is driving more clarity on initial deal thesis expectations. The action of going thru an integration planning and execution exercise can often benefit companies as it forces them to better hone the original transaction expectations in the first place. As with anything, experience is the best teacher, and forcing better up-front clarity each time you do a transaction will yield better results almost every time.
Exhibits 15.1–15.3 show a summary of transaction objectives, along with corresponding descriptions, measurements, and potential impact on EBITA.
EXHIBIT 15.1 Transaction objectives and measurement examples (performance metrics).
EXHIBIT 15.2 Transaction objectives and measurement examples (operational metrics). ...
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