MANAGING THE ACQUISITION
of a business
is not the same
If you accept this premise, there will surely be items of interest and value to you here at The Merger Verger. If you find yourself thinking, “well, that’s not really the case,” or “it doesn’t always have to be that way,” go back and study the history of acquisitions in more detail. When you have seen how ugly the stats are and have resolved to avoid being one of them, come back and you too may get something out of this blog. If not, not.
Consider the following thoughts:
- Anyone who can manage a business (or division or whatever) can de facto manage the integration of a similar one.
- Adding responsibility for an integration to a good manager is the best way to integrate a new business while maintaining the old one.
- Two companies in similar industry sectors or with similar offerings will have similar ways of doing business.
- Corporate culture can’t be analyzed and is therefore psychobabble.
- Closing a deal is the hardest (or most time-consuming) part.
- Due diligence is about thorough data collection.
- Acquisition integration activities should be positioned to kick off as soon as the deal closes.
- Acquisition integration activities should be pretty much done by closing.
- Communicating bad news can only cause stress and turmoil.
- When complaints have stopped the trouble is over.
- When every box on your checklist is checked, you’re done.
Each one of those statements is the seed of a disaster.
If you buy that, The Merger Verger should offer you some insight, useful observations and amusement.
Welcome. Enjoy, respond, disagree, share.