In M&A, integration is among the most crucial steps. However, it has also proven to be the most difficult. A recent survey revealed that M&A companies are between 12 and 18 percent less likely to think that they have the capabilities and capacities for integration than other stages of M&A.

One of the most important factors to overcome this problem is clear communication about the rationale behind the deal and the integration tactics. This will ensure that everyone understands what they are expected to do and how M&A can benefit their organization.

It is also important to follow best practices that are specifically tailored to the specific goals of the deal. For example, using the same team of professionals who performed due diligence for the M&A for the post-merger integration assures continuity, avoiding duplication of efforts and reducing the time.

Another issue is the need to maintain momentum throughout the process of integration. It is essential that the integration team fuse the two companies without sacrificing growth. This requires that the integration team is fully aware of the M&A company’s operations, so they can make decisions that have the http://www.virtualdataroomservices.info/effective-information-technology-ma-integration-strategy/ least impact on day-today operations.

It is also essential to have a strong structure for governance of integration to monitor and identify synergies. This includes forming an M&A leadership team (which should include both organizations as representatives) in addition to setting up a strategy for integration, and providing an explicit accountability. M&As that follow these best practices for integration could produce up to 6 to 12 percent more in total returns for shareholders than those who don’t.