Don't Step on Cultural Land Mines in M&A
by Mark Herndon, Chairman Emeritus, M&A Leadership Council
In spite of all the ink, sweat and tears that have been devoted over the last twenty years to the topic of managing culture during M&As, the unfortunate reality is that most acquirers still aren’t very good at it. .....
Hammering the "So What" About the Most Important Areas
by Jack Prouty, Past President, M&A Leadership Council
A young couple had a problem with their kitchen sink and called in a plumber to fix it. He presented them with a bill for $100, and the husband asked for a price breakdown. The plumber wrote, “$10 for hammering, $90 for ....
The Art of M&A® / Due Diligence: Detecting Cybersecurity Risk
An excerpt from The Art of M&A, Fifth Edition: A Merger, Acquisition, and Buyout Guide by Alexandra Reed Lajoux
Cybersecurity audits should be a very comprehensive review of the existing digital environment of the target company that includes a wide variety of different platforms and tools.1 IT infrastructure, including firewalls, firewall rules, intrusion detection.....
5 Capabilities and Custom Design Requirements
by Mark Herndon, Chairman Emeritus, M&A Leadership Council, with contributions by Mark Juergens
A close friend, client and colleague – one who is deeply experienced in both M&A and divestitures – often coaches his team to remember “divestitures are not acquisitions spelled backwards.” We wholeheartedly agree, and if ....
The Art of M&A® / Due Diligence: How Extensive Should Due Diligence Be?
An excerpt from The Art of M&A Due Diligence, Second Edition: Navigating Critical Steps and Uncovering Crucial Data by Alexandra Reed Lajoux and Charles M. Elson
How far a buyer wishes to go in the due diligence process depends in part on how much time the buyer has and how much money it has to investigate the company it wishes to buy. This will depend to some extent on the status .....
What Begins to Happen After Day One
by Vadim Gringolts, CTO, Binary Tree
As it relates to corporate email systems, Day One is focused on enabling the employees of the merging organizations to transparently send and receive email internally and externally, as well as schedule meetings, with everyone in both organizations.
The Art of M&A® / Integration: Harmonization of Post-Merger Compensation Plans
An excerpt from The Art of M&A, Fifth Edition: A Merger, Acquisition, and Buyout Guide by Alexandra Reed Lajoux
Why would a newly combined company want to have different pay plans for its units? Because the units may have very different pay environments. Base pay may differ from industry to industry for similar jobs.......
Take a Layered Approach to Understanding the Target's True Culture
by Mark Herndon, Chairman Emeritus, M&A Leadership Council
Almost every M&A study completed since the beginning of time has consistently determined two key findings. First, that culture matters; and second, that acquirers are generally ill-equipped at cultural due diligence.