Is there a merger in your immediate future? How will you ensure that your deal closes well? A report highlights the best merger practices that lead to a seamless integration. Let’s have a look at the most effective strategies. Practice these and you will be able to drive the merger deal successfully.
Formulate a detailed action plan
A detailed action plan initiates a common understanding between all participants and ensures that all of them comprehend their individual roles. The plan that you draft should highlight all the steps. Along with this, clearly mention your goals and highlight the milestones.
There are a lot of pre-prepared templates that can help you with this. Use them and mention all the specifics such as the team, major tasks, timings and so on.
Maintain effective communication within the team
If your communication is timely and effective, you would not have to face any downtime or decrease in productivity during the pre-close and post-lose periods of the transition. In fact, the success of your transaction actually depends on how effective your communications are.
Develop a communication plan that introduces leadership and highlights any changes in management. Along with this, you should continue to address your customers and other prospective clients so that your operations are not affected much.
State success in very clear terms
It is usually the task of the finance and operations department to manage and measure quantitative success, which is done with the help of Key Performance Indicators or KPI. Choose those metrics that directly affect your performance so that you can gauge the results in a better way. This is often not the case, which can instill trouble later on.
Make sure your incentives are properly aligned
During the process, keep measuring anything that is important and reward it as well. Doing this would ensure that all critical tasks are accomplished in a timely manner. For instance, any valuable deliverables that are made should be rewarded then and there. As an example, assume that the merger task is handed to a manger and the CEO has not much to do with it. As soon as the manager reaches a key milestone, he should be rewarded so that he remains motivated the whole while through.
Integrate efficient processes of the acquired organization
If any operational procedures at the acquired organization are valuable, they should be incorporated in the new procedures.
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