Capture M&A Lessons Learned | M&A Integration Mistakes

Post-Merger Integration Surveys & Assessments

Post-Merger Integration Survey of Acquired Company Employees

Content

Summary of Results
Interpreting the Percentages
Key Drivers of Engagement
Ares of Strength
Improvement Opportunity
Improvement Needed
Takeaways
Next Steps
What Additional Remarks or Suggestions Do You Have
Timeline

Post-Merger Integration Team Survey

Instructions

Please answer the following questions using a rating scale of 1-5. Feel free to add comments to add clarity or details. The results of this survey will be used to brief senior management regarding integration progress and priorities for the future.

First 5 of 25 Questions

The integration team has done an excellent job of identifying the mission critical issues and activities required to successfully integrate Acquirer and Acquiree.
The integration team has done an excellent job of identifying specific milestones and objectives for integrating Acquirer and Acquiree.
The integration team has done an excellent job of establishing realistic time frames for integration deliverables.
The integration team has done an excellent job of staying on budget for integration deliverables.
The integration team has remained focused and productive during integration team meetings ...

Post-Merger Integration Assessment

M&A Integration Assessment Project Objectives
-   Gain insights into Acquirer executives’ experiences with respect to past and current integration practices and results to date
-   Incorporate the perspective of acquired company personnel
-   Use the assessment learnings to inform the development of an integration approach and improve competency in M&A integration …

Mergers & Acquisitions Employee Survey and Results

Each person was asked to rate twenty-one statements from 1 to 5

I understand the reason for the merger
I think the merger will be good for the business
I have a good understanding of the company's goals and direction
I know how the company is performing …

Post-Acquisition Employee Survey Questions

Survey includes twenty-one questions for employees in the following five categories: Demographics, Merger Announcement, Between Announcement and Close, During the Integration, and Overall.

Demographics/General

1. Were you employed by the Acquirer or the Acquired Company before the acquisition?
2. Had you ever been through another merger before this deal?
3. What was your primary location at the time of the announcement?
4. Have your job duties changed significantly since the closing of the deal?

Regarding the Announcement of the Acquisition

5. How and when did you receive formal notification of the deal …

Post-Merger Integration Audit

A Post-Merger Integration Audit answers key questions about the last acquisition:

How were the events, decisions, communications, and actions surrounding the merger handled?
What could have been done differently to make the integration easier?
What additional actions remain unfinished?
How have shareholders, customers, and employees perceived the merger?
If the company were to merge/acquire again, what should be done differently?

Approach:

Determine the depth of review required
Interview or conduct written surveys with executives, managers, employees, and if appropriate, customers and board members …

M&A Survey Questions

Who dedicates an internal group (i.e. IMO) to their integrations?
Does your company successfully communicate integration objectives to employees prior to close? And during the first 100 days after close ...

Feedback on Merger Integration: Interview Guide

Feedback on Merger: Interview Guide

5-page guide includes questions such as:

What is your perception about the general feeling in the organization related to this deal?
What do you view as the biggest risks associated with pulling together these organizations?
What do you view as the highest priorities for integration (e.g., integrating the systems, resolving client overlap, etc.)
Complete the following sentence….I wish everyone on the leadership team realized ______
What might be some important “home runs” and major successes that the combined company could achieve in the near term ...

M&A Lessons Learned

The 10 Most Common Post Merger Integration Problems

Lack of Pre-Planning: When integrations fall short of their objectives, inadequate pre-close planning contributes to the failures more than half of the time.
No Formal M&A Integration Strategy: Acquirers should define a clear integration strategy early and before their teams begin to develop plans...

Lessons from 1,000 Deals

Deal-making centers around money, but acquisition integration centers around people.

Once the M&A papers are signed, human beings are the make-or-break factor.

Lessons From 1,000 Deals gives you actionable, high-payoff guidelines for managing the human side of post merger integration. Bestselling author Price Pritchett spells out how you can:

Mentally prepare people for merger shock
Protect executive credibility in a climate of distrust and negativity
Do “triage” on resistance to change
Get straight to the heart of culture challenges
Win the M&A “Super Bowl of change management”
Defend productivity and profitability during integration
And much more...

Merger Integration Communication Lessons Learned

Key Findings: Misses

–Large (e.g., 500+ employee) town halls in Los Angeles, Chicago, and Phoenix

–Recorded phone messages from CEO

–Several days with excessive communications and mixed messages from multiple sources

Post-Merger Integration Tools

Lessons Learned: Post-Merger Integration Best Practices Tracking Tool

When it comes to mergers and acquisitions, experience counts. The first deal a buyer does will always be the hardest. With each subsequent deal, a buyer will learn more about M&A. Acquirers should document what worked, as well as what didn’t, so they don’t lose lessons learned. Rather than waiting until the end of integration, it’s better to record data in real-time, when peoples’ memories are fresh. The Best Practices Tracking Tool allows companies to document their experiences as they occur...

Example of a Lessons Learned Report and Lessons Learned Report Word Template

The two-page document is an example on the data collected by The Steering Committee, Integration Team, and Task Forces about what went well during a merger and what should be changed for the next Integration. The two-page Lessons Learned Word template is also provided.

On chartering the team(s)
Review the Charters semi-monthly to ensure Task Forces are consistently on track

On creating, reviewing, and approving Detailed Project Plans
Include fewer people in the review process (it took too long) ...

Videos

Which M&A Integration Mistake is the Most Common?

"If no formal integration oversight authority is established ... if there is no Integration Management Office (IMO), there is likely little planning accomplished before close. When integrations fall short of their objectives, inadequate pre-close planning typically contributes to the failures."

Who Should You Interview and What Should You Ask to Capture Lessons Learned?

"Initiate a formal process to collect feedback from IMO participants, acquired company employees, senior management, IMO team members, employees (both companies), and consultants involved in the integration.

In particular, facilitate a “Lessons Learned” meeting with IMO participants and functional leads and ask these questions ..."

Step 11: Capture M&A Integration Lessons Learned

Post-Merger Integration Surveys & Assessments

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M&A Lessons Learned

Post-Merger Integration Tools

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