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An acquisition can be a powerful strategy tool for increasing market share, increasing capability or gaining an edge over competitors by using cost efficiency. Many acquirers fail to fully integrate their new ventures into the company. This could have long-term negative impacts. This article provides crucial factors that can be successful in merger acquisition integration (PMI) that can help ensure a successful and high-performing integration.

PMI should begin with a concise, clear definition that can translate „why” a deal in to quantifiable goals and specific plans for each functional area. This includes revenue and cost related synergies. PMI should also consider the cultural compatibility between the acquirer and the companies that are being targeted as in addition to the specific nuances in each deal’s unique circumstances.

A key aspect to be focused on during PMI is to ensure that the CEOs of both firms dedicate the majority of their time to their core business and prioritize engagement with stakeholders/customers. Hess suggests that to accomplish this, employees should be able to identify the problem solvers and thought leaders in the team of the company they are targeting and assign them to an taskforce for integration. These senior leaders can ease stress and boost morale/buy in by showing the newly acquired company their leadership cares.

While playbooks are not ideal for the fluctuating/irregular world of M&A, a basic framework and game plan can be helpful. To download a copy of the integration checklist, go to our resources page for free.