Post-Merger Integration Playbook

Post-Merger Integration Playbook

M&A integration or post-merger integration (PMI) is the process of bringing two or more companies together with the aim of maximizing synergies to ensure that the deal lives up to its predicted value. According to research conducted by McKinsey in 2016, companies that integrate well during the M&A process achieve growth of 6-12% higher than those that fail to do so.

An M&A integration playbook provides a roadmap for the process with best practices, tasks, and assigned roles for team members and stakeholders. It aims to help an organization go through a complex and time-consuming integration faster and more efficiently. 

Umbrex has developed this playbook as a step-by-step manual for a post-merger integration. It clarifies what needs to be done, by whom, and by when.

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The Umbrex Post-Merger Integration Playbook - vertical


Our playbook is organized into the following sections:

  1. Pre-Merger Planning: Before the merger is completed, a plan should be established for the merger integration. This list should include a timeline, objectives, team assignments, and other necessary elements.
  2. Due Diligence: This outlines the critical information you need to gather from the other organization, including financials, contracts, customer lists, IP assets, etc.
  3. Integration Management Office: This includes a process for regularly reviewing the integration progress, adjusting plans as necessary, and learning from the experience to improve future mergers. It should include a Post-Merger Review and Adjustment Checklist.
  4. Communication: Good communication before, during, and after the merger is essential. This list covers internal and external communications, including employees, shareholders, customers, and media.
  5. Financial Integration: This includes integrating financial reporting, establishing combined financial targets, reconciling accounting procedures, and other financial tasks.
  6. Operational Integration: This covers integrating operations, including production, research & development, distribution, customer service, etc. It can include technology, processes, policies, etc.
  7. Supply Chain Integration: This covers integrating procurement, production, logistics, and other supply chain activities.
  8. Marketing Integration: This involves coordinating the marketing efforts of the two companies, aligning branding strategies, and integrating customer relationship management. It should include a Brand and Corporate Identity protocol to guide the development of a unified corporate identity post-merger.
  9. Sales Integration: This involves coordinating the sales efforts of the two companies, aligning branding strategies, and integrating customer relationship management.
  10. Customer Integration: This will guide the process of informing customers about the merger and integrating customer service operations. It should include protocols for maintaining high levels of customer satisfaction and retention during the merger.
  11. Human Resources Integration: HR plays a key role in a merger. This list covers combining HR policies, benefits, career paths, performance management systems, etc. This list includes steps to assess and integrate the corporate cultures of the merging entities.
  12. IT Systems Integration: IT integration can be a complex and crucial part of a merger. This list outlines how to merge IT systems, including software, hardware, data management, cybersecurity, and digital infrastructure.
  13. Risk Management: Identify possible risks that could arise from the merger, such as financial risks, operational risks, regulatory risks, cultural risks, etc.
  14. Legal and Compliance: This ensures all merger activities align with regulatory and legal requirements, including antitrust laws, data privacy laws, and other jurisdiction-specific regulations.