M&A: COMMERCIAL DUE DILIGENCE & INTEGRATION
Validation, recognition of risks and synergies
Intelligent Data Clean Room for M&A and implementation
Typical reasons for M&A failure
- Value Destruction
- Unrealistic expectations, overestimating synergies
- Lack of Communication
- Poor integration process, obstacles
- Misunderstanding the company
- Lack of strategic plan
Most M&A activities never meet expectations... Which is why we find our approach transformational for M&A stake holders: Verification of promises, Synergies, Post-Deal integration priorities, capacity to plan for integration and managing with shared data from the beginning.
How can we help?
Intelligent Data Cleanroom for M&A and integration planning
The timing for deep dive and analysis is at the later stages of Due Diligence. At this time both buyer and seller deliver data dumps with their billing history to our intelligent data clean room. Our role is to connect the data with external data and use algorithms to create a combined view to both current state and potential. All data can be reviewed by buyer and seller as well as combined in aggregated format. If there is a trusted third party, they may have right to look at individual customers.
The first thing to look at is about understanding where we stand, what are the customer developments that show in Turnover and other financial measures. Our approach is to concentrate on what is happening with customers and markets, which is an approach that offers shared view to what is important. This view has the power to unite people, give purpose and empower them. Having a shared narrative and transparency is a must for defining strategic story telling for both markets and employees. To justify the deal, we need to have a clear message about why we are stronger and better together. The first look is about overall status:
Discover Market Potential driven priorities
Different business sectors and industries represent very different types of potential and opportunities. In some industries you can serve customers with large variety of services, and in others with just one or two. Defining where the growth is available and accessible is an important insight for the deal. This analysis gives you broad view towards question: "Where's the money?"
Monetary potential is one thing, the next is about timing. What market changes represent risks and opportunities to us? Are your target customers non-compliant, on addressable, obtainable of active markets. Learn more here
Discover synergies & priorities
When companies are growing with M&A they often get more than they bargained for. There is a real possibility of finding significant potential from offerings that currently represent relatively small billing but have major potential for growth. Offerings may also have very different position in their offering life cycle. Some might work on saturated and declining markets and others in growth markets.
When we are analyzing with time series analysis and aggregating potential by offering, we are likely to recognize synergies and possibility of connecting single offerings to solutions. By segmenting customers, we will be able to recognize growth potential. This is great for strategic story telling, creation of solutions from combined portfolio and recognition of competitive advantages.
Such findings emphasize the value of working together - being more together than apart.
Discover how to segment customers by value & prospects
This will give a view to the change that is possible after finalizing the deal and help you plan for deployment and resourcing. Our standard approach is to create a segmentation based on current value (Annual Revenue Per Account = billing/year) and growth potential.
The customer typology is an invaluable source of insights for post merger strategy design, account development and customer care model design. Note! This map wil look very different in industry and business sectors. Some might be driven by large corporations with millions in potential and others could represent SME's that require different approach to channels and resources.
Learn more here
Once the deal is finalized and it is legal to start sharing data, we will open the gates and distribute shared data to both buyer's and seller's CRM. With our help, management with shared data can be accomplished in days.
This example shows, that the majority of sales comes from business Group 3 (buyer) and the majority of growth potential is in Business Groups 1 & 2 (Seller), which is a perfect example of how synergies can be recognized at individual customer level as well as at aggregated market view level.
How we can help you succeed?
Fast and low effort
Quick start with data dumps. Low datamaturity requirements. Effortless analysis
Secure data platform
Strong Access control, only aggregated data views available.
Algorithms take care of the heavy lifting, which makes the process faster and easier
Verifying claims and learn about risks related to M&A deal
Direct link to deployment
Our platform help you connects strategy directly to implementation. Tools monitor change and stay tuned with the markets.
Purpose and Unity
Designing the story for merger - how are we better and stronger together? Inspire and empower employees, customers and partners
Book a demo, intro & sparring
Let's have a discussion. We can show you the demo and would love to discuss about your challenges and how we could possibly help you.