Our approach to successfully integrating a company acquisition addresses the challenge through defined areas of work:
Integration concept: Setting the course
In order to consistently align integration with the strategic rationale behind the acquisition, we translate the specific strategic objectives into a viable concept. Among other things, we take into account the relative sizes of the companies involved, as well as their geographical footprint, cultural differences and organisational and functional set-up.
The integration concept defines the future target operating model and outlines the necessary steps for achieving it. The target model essentially covers organisation and control, processes, personnel, assets, contractual and IP issues, and applications and IT across the relevant functions of the company.
The concept is introduced by defined, overarching integration principles. The nature and scope of the integration measures determine the depth and focus of the integration.
The importance of IT integration as a cross-functional task should be emphasised, as IT systems structure business processes and enable operational control. IT integration is therefore supported by an embedded team of experts from our company. This ensures that security, access rights and licence management requirements are met and that the planned integration is also secure and feasible from an IT perspective.
The key decisions summarised in the integration concept form the basis for targeted implementation in line with the strategy and the realisation of the desired value potential.
Realising value potential
Value realisation begins with systematically identifying synergies and performance potential based on hypotheses. For the acquirer, this is fraught with uncertainty for a long time. Only after closing can the corresponding potential be fully validated, including technological safeguards. Our structured approach enables a step-by-step approach, validation and implementation, as well as consistent tracking through to reporting. Proven methods and tried-and-tested standards and tools support the work and coordinate the various parties involved. This ensures transparency and acceptance throughout the process.
Taking control
Our activities relating to taking control focus on the period around Day 1. The aim is to exercise effective control over the acquired company from Day 1 onwards and to ensure clear decision-making processes, governance structures and control mechanisms, even during times of change. To this end, we use detailed checklists and activity plans tailored to the specific situation. Other tried-and-tested standards and tools help to create transparency in decision-making processes and lay the foundation for coordinated employee communication.
In addition to taking control of the target company, our work also includes maintaining a clear view of the acquiring organisation and the integration project itself.
Getting employees on board
The high level of willingness to change and the momentum around Day 1 can be leveraged to implement the integration or transformation plan and redesign the organisation.
Communication and change management are key success factors in supporting change. We plan both comprehensively and develop appropriate content in line with existing standards and proven activities. This also includes experience with effective communication channels, content and sensible timelines. Employee retention, culture, remuneration and benefits are further areas that are addressed in a structured manner.
Complying with regulatory requirements
Our experts develop a profile of requirements after the acquisition. The main areas addressed are compliance, reporting and regulation. This includes the preparation and quality assurance of opening balance sheets, GAAP conversions and the harmonisation of accounting and reporting structures. Tax obligations – for example, in the areas of transfer pricing, tax compliance or audit issues – are also addressed in a structured manner.
In addition, we work out how internal standards and minimum requirements can be rolled out in a meaningful way. This includes existing treasury, controlling and group-wide management models for financial transparency and planning security. The connection to existing governance, risk and compliance systems is also addressed, taking into account legal requirements such as GDPR, LkSG or CSRD.
Structured process models, checklists and a multidisciplinary setup facilitate implementation and ensure a smooth transition.
Before signing, it makes sense to think through the above steps from a due diligence perspective and to consider key questions in advance.
