Avoiding IT Headaches During a Merger: Part One

With the economy slowly on the rise, investors are regaining confidence and global mergers and acquisitions have begun to materialize once again. With this growth, IT departments play an increasingly larger role as technology has become the heart of most organizations and it touches virtually all aspects of a company’s operations. Many of these functions are mission-critical, requiring much of an IT department during the merger and acquisition process.


During a merger, the IT department is tasked with three competing priorities – keeping business running as usual, combine two separate IT departments operating systems/hardware into one, and finally provide support for other business functions such as finance or operations. While this is a lot to ask of an IT department and can definitely be a delicate balancing act, there are a few tips you should consider if you’ve found yourself in the midst of a merger or acquisition.


Communication

It is imperative to communicate openly with management during discussions about the merger. You should be present during the initial discussions concerning the ramifications of a merger. Communicating openly with management will allow you to be aware of any changes that may come about to core business objectives. This will allow you to be prepared to support those objectives.


Requirements

During the due diligence stage of the merger/acquisition it’s important to understand all the technological requirements created by the merger. It’s crucial to understand the IT resources on both sides of the merger and develop a plan of how to integrate the two as seamlessly as possible.


Contact George & Company for any assistance during your company's M&A transaction.