This Post-Merger Integration presentation is a crash course on M&A integration that condenses into 10 slides Pritchett’s recommendations on how to avoid PMI problems.
- Little or No Pre-Close Planning:
When planning does not start before close, an integration starts more slowly and takes longer.
- Unclear Integration Strategy:
Acquirers should define a clear integration strategy early and before their teams begin to develop plans.
- Poor Prioritization:
Without effective prioritization, high-payback activities receive too little attention.
- Disengaged Leadership:
The Steering Committee and Integration Management Office should make sure integration work is prioritized and issues are resolved quickly.
- Inadequate Communication Planning:
Communication is usually the worst managed aspect of integrations. People are often left out of the loop or receive mixed messages.
- Weak Synergy Program Management:
Synergies should be validated, and then rigorously tracked and reported.
- Underestimation of Resource Needs
Poorly resourced integrations take longer, cost more, delay synergy realization, and often burn people out.
- Slow Organizational Planning
Slow decision making on organizational design leaves employees in limbo and damages productivity and morale.
- No End-State Transition Process
The process for handing off integration work (when the end state is near) should be well defined and communicated.
- Undocumented Lessons Learned
Feedback from stakeholder groups should be captured to improve the integration process.
# 1: Little or No Pre-Close Planning
# 2: Unclear Integration Strategy
# 3: Poor Prioritization
# 4: Disengaged Leadership
# 5: Inadequate Communication Planning
# 6: Weak Synergy Program Management
# 7: Underestimation of Resource Needs
# 8: Slow Organizational Planning
# 9: No End-State Transition Process
# 10: Undocumented Lessons Learned
Pritchett, LP Consulting