M&A Integrations: How to Ensure a Smooth Transition

IT leadership plays a key role during a merger, acquisition or dissolution. Unfortunately, internal IT staff often have little to no experience with M&A integrations or the post-merger blending of IT infrastructures. This makes it challenging to stay ahead of tech hurdles and anticipate future issues. The right IT support partner can help.

Why Successful Post-Merger Integrations Are Important

Multiple factors have increased the complexity of M&A integrations and these factors have made it more critical than ever in determining the ultimate success of the merger or acquisition. The first of these factors has to do with today’s integral relationship between business and technology. 

Digital assets are the pillar for maintaining, monetizing and creating customer relationships. They allow employees to succeed in their roles, creating value for the organization. Additionally, they automate processes and operations, saving costs and reducing overhead. 

Businesses are shifting operations to not only survive but thrive in a digital world; their integrations and technology assets are crucial elements during M&As. Without the proper stakeholders and the right tools to support their efforts, successfully coordinating the IT environments of separate entities is bound to fail.

Business Considerations for M&A Integrations

Here are some considerations your business may be facing during the transition.

• Does your business lack visibility into the dependencies of data and technical assets for one or more parties?
• Is your business unsure of the business capabilities of either party or parties?
• Is your business concerned about parties’ and vendors’ compliance with new or updated IT standards for cybersecurity and privacy?
• Does your business fall short of the tools, talent or resources you need to be on track with your desired timeline?

With these considerations in mind, outsourcing IT leadership and support can take the pressure off already stressed employees. Bringing in an outside perspective provides unbiased decision-making and keeps IT employees focused on supporting sales, finance, marketing, operations, HR and other departments during the transition.

Here are five aspects of how an IT support partner can help you navigate your recent merger, acquisition or dissolution in the Dallas-Fort Worth area. 

1. Application and Data Sprawl

Application sprawl is the growth of an IT system caused by adding applications that require more resources, while data sprawl refers to the vast amounts of data produced daily from storage systems, mobile apps and enterprise software, along with raw data used for analytics. Outsourced application and data sprawl specialists can advise companies engaging in M&A activity on the best approach to minimize these issues while integrating new IT systems.

2. Data Analytics

Analyzing data provides a crucial role in M&A activity by transforming raw data into useful insights. A company in the acquisition process could be sitting on a wealth of untapped data waiting for the right partner to leverage it. Managed service providers can use the latest tools to provide data insights.

3. Security

A review of both company’s security protocols, licensing agreements (or lack thereof) and employee training may impact a deal during the audit phase. Aeko’s vulnerability assessment includes a full cyber security audit to uncover any weaknesses in your digital infrastructure. 

The assessment contains a digital scan, a network inspection that covers users, devices, device aging and storage and a security score. Learn more about our cyber vulnerability assessment.

4.  System Integration

Planning needs to take place before hands-on system integration begins. Time is of the essence. Aeko collaborates with companies during mergers and acquisitions to determine which systems and data to keep, how much integration is required and scalability considerations before moving forward.

5. System Migration

Implementing system and data migrations successfully are some of the most challenging aspects of M&A. Working backward from the final goal helps to prioritize the most efficient design for this process. The process includes understanding where and how business applications, files, emails and other assets are used, accessed and stored. 

If one or both companies are not already using cloud computing, this might be a good time for cloud migration services. Businesses that move to the cloud enjoy:

• Improved efficiency.
• The ability to work anywhere.
• Increased collaboration between staff, clients, vendors and partners.
• Increased data security.
• Decreased hardware expenses. 
• The ability to scale your business more easily.

M&A as a Catalyst for Growth

Mergers and acquisitions will remain a key trigger for growth, regardless of the reasons for doing so. The challenge of successfully finalizing and implementing a deal, however, has grown dramatically in the last few years.

Successfully integrating organizations in the thick of the complexity of modern IT landscapes is a significant burden shouldered by enterprise architects. These teams sit at the intersection of business and IT and are at the heart of post-merger integration.

Successfully Navigating Mergers and Acquisitions

Very few companies going through M&A activity have the in-house expertise to handle the wide range of IT issues that occur. These include planning and design, system integration, system migration, 24/7 support, maintenance, system upgrades and cybersecurity management. Aeko is here to help.  If you’d like to learn more about our M&A integration services, contact us or book a quick consultation.