Success Metrics Should Be...

 

Relevant to key M&A issues and goals.

 

Simple to gather, compile, analyze, and report.

 

Easy to understand for all stakeholders.

 

Taken from existing measurement processes whenever possible.

 

Sustained until integration efforts are completed and results are satisfactory.

 

Balanced between integration and operational measures.

Sales and Costs

Area Measurement Purpose Methodology Key Information Obtained Potential Source Frequency
1. Sales
- Joint sales
- Referral sales		 To identify the number of joint sales and referral sales generated. A short (10 min.) verbal or written questionnaire given to new customers on the reasons they chose the company.
  • Number of joint and referral sales for products or services.
  • Number of new customers or clients due to the merger.
 Questionnaires from Sales/Account Managers or Consultants; Data from Integration teams. Questionnaire: As occurs
Reports and Data: Monthly
2. Costs
- Operating cost savings		 To identify the cost savings achieved through joint operations. Tracking and roll-up of all cost savings (geographic and functional). Cost savings in:
  • Labor
  • Overhead
  • Other costs (e.g., marketing)
 All Task Forces. Report: Monthly

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