All companies strive for growth. Strategic plans are prepared identifying new products and services to be developed and new markets to be penetrated. Many of these plans require mergers and acquisitions to obtain the strategic goals and objectives. Yet even the best-prepared strategic plans often fail. Too many executives view strategic planning as planning only, often with little consideration given to implementation. Implementation success is vital during the merger and acquisition process.
17.1 PLANNING FOR GROWTH
Companies can grow in two ways: internally and externally. With internal growth, companies cultivate their resources from within and may spend years attaining their strategic targets and marketplace positioning. Since time may be an unavailable luxury, meticulous care must be given to make sure that all new developments fit the corporate project management methodology and culture.
External growth is significantly more complex. External growth can be obtained through mergers, acquisitions, and joint ventures. Companies can purchase the expertise they need very quickly through mergers and acquisitions. Some companies execute occasional acquisitions, whereas other companies have sufficient access to capital such that they can perform continuous acquisitions. However, once again, companies often fail to consider the impact of acquisitions on project management. Best practices in project management ...