Merger integration
Merger integration, post-merger integration, or PMI refers to the aspect of an organizational merger that involves combining the original socio-technical systems of the merging organizations into one such newly combined system.
Overview
The process of combining two or more organizations into a single organization involves several organizational systems, such as people, resources, tasks and the supporting information technology.[1] The process of combining these systems is known as 'integration'. Integration Planning is one of the most challenging areas to address pre-close during a merger or acquisition.[2]
Integration fits within an organizational life-cycle or specific business mergers & acquisitions cycle where businesses buy, integrate then dispose of other businesses:
- Definition of vision & strategy
- Selection of growth method: organic vs inorganic
- Target identification
- Pre-deal evaluation & due diligence
- Negotiation & deal completion
- Post-merger integration
- Acquisition Integration
- Ongoing improvement
- Disposal
See also
- Mergers & acquisitions
- Business acquisition
- Program management
- Project management
- Change management
- Corporate finance
- Management due diligence
Sources
- ↑ Anthony F., Buono; Bowditch, James L. (1989). The human side of mergers and acquisitions: Managing collisions between people, cultures, and organizations. San Francisco: Jossey-Bass Publishers. ISBN 1-55542-135-0.
- ↑ M&A Transaction Survey of 50 executive M&A respondents (2013); ModalMinds Inc.; http://modalminds.com/modality/ma-transaction-survey-results/
External links
- PRITCHETT provides free post merger integration articles, best practices, and excerpts from merger integration books. http://www.MergerIntegration.com/
- BNET provides a short video featuring the Top 5 Mistakes to Avoid, presented by Steven Ramirez, M&A Integration Consultant at Beyond the Arc. http://www.bnet.com/2422-13722_23-186403.html
- Danny A.Davis provides free post merger integration articles. http://ddavisconsulting.com/publications/
- Merger integration website http://www.mergerintegration.eu/