The long-term success or failure of an M&A transaction will be judged on the competitive advantage, revenue growth and profit delivered. Technology business unit leaders should adopt three steps in the strategy phase of M&A to maximize success odds against these metrics.
- Current M&A Activity
- Motivations for M&A as an Instrument for Growth
- Step 1 — Refine the M&A Strategy and Align Stakeholders
- Mapping the Business Strategy to the M&A Strategy
- Target Lists, Integration Implications and Go/No-Go Criteria
- Market Adjacency Scoring Helps Inform Success Likelihood of Strategic Moves
- Align Executive Stakeholders to the Vision of the M&A Strategy
- Step 2 — Engage Early, Driving Clarity on Integration Type and Team
- Integration Type
- Integration Team
- Step 3 — Iterate Based on Feedback on the Initial Perspective of Value Drivers, Assumptions and Risks
- Candidate Reviews Accelerate Target Screening and Due Diligence Phases
- M&A Strategy Is an Iterative Process
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