Away from the numbers...

This is a great song penned by Paul Weller, previously of the The Jam.

I am heavily involved in acquisitions and project management at this time, where there are lots of numbers.  However, what strikes me as one of the most important issues in this field is the post acquisition plan. More specifically, when we've popped the champagne on the Friday to celebrate the deal, can we work with each other on the Monday?

Certainly it is vital that this is considered up front, but there have been and are still examples of big companies that don't get this right.

To a certain extent it's a bit like a marraige.  One plans for the big day and then as a couple they have to work at making it work.

This human, cultural and "fit" side of acquisitions actually takes up most of the shelf space when one looks at books on mergers and acquisitions.  It is taking up a great deal of my thinking and presents real challenge....


Posted 24-Sep-2009 7:56 by Jim Duffy

Comments

Iain Mcdougall wrote re: Away from the numbers...
on 24-Sep-2009 16:34

You've hit the nail on head Jim - and why in most M&A deals, the bulk of them fail to live up to expectations.  I think almost two out of every three fail.

Whilst the numbers are what tend to be looked at when assessing the validity of the deal - it's ultimately not the numbers which make the deal.

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