Got a minute?
Get our FREE Quick-Link Guide…
Everything you want to know about LinkedIn… at a glance! !
Name :
Email :
 
   
3 February  2008 ~

Merger Integration The following is a case study drawn from a previous business challenge.  

Problem

Global Business Integration and the need for High Impact Operational Guidance 

Situation

A multi-billion dollar company (Company A) has acquired another large multi-national (Company B) within a similar business vertical but with different operating models.  There is very little attention put into an integration plan outside of “synergies” which results in the elimination of a variety of key global operational leaders from the acquired company.    In addition, the business model of Company B is product oriented and does not fit into either the business model or the data standards of Company A, the new parent.  Upon completion of the merger there is almost no visibility into the operating results of Company B.  To compound matters, the economy has slipped into a recession thus hurting most of the Company B’s existing customers which in turn hinders Company B’s current selling opportunities. Thus, a bad situation is compounded by the lack of visibility into the business. 

The Gameplan The first step was to establish a global communication channels.  This achieved two very important goals – first, it reestablished ties to the key remaining leaders from Company B and secondly, it engaged the leaders of the new parent and quickly began to educate them on what it was going to take to run the newly combined businesses  One of the immediate wins was that the communication channel provided some global visibility into the operating results, which then facilitated the creation of a baseline, which then enabled us to quickly build/resurrect a business strategy. To further increase the effectiveness of this global communication, a structured repetitive sales call was set up.  As soon as revenue targets could be established, they were pushed down to each of the global businesses.    During subsequent sales calls, actual performance was measured against the targets.  By “shinning a light” on these results, this encouraged each business leader to make “performance” a priority as they did not want to appear missing results to their peers.   The Result Through working with the sales management in 30+ countries, the sales calls became more robust, there was more idea sharing, more marketing assistance, increased product education, quicker financial reporting, greater financial visibility and more effective forecasting which resulted in a 35% increase in revenue 

Technorati ,
Be Sociable, Share!
If you enjoyed this post, make sure you subscribe to my RSS feed!

No Comments »

Leave a comment