Gartner Research

Tech Go-to-Market: Critical Success Factors for M&A (Part I) — Strategy Development and Alignment of Stakeholders

Published: 30 July 2018

ID: G00350778

Analyst(s): Lars Van Dam

Summary

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.

Table Of Contents
  • Key Challenges

Introduction

  • M&A Process

Analysis

  • 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

Summary

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