CHRONICLES OF M&A INTEGRATION

First of all, Happy New Year to all of our friends, colleagues, and clients around the world. Here's hoping 2022 is safe, healthy, prosperous and successful for everyone.This first of many podcasts for 2022 is based on a recent article authored by our North America Partner, Scott Whitaker and with Scott's permission, I have aimed to narrate the article and Scott's extensive experience, into this podcast episode.  You can find a direct link to the article here http://ow.ly/20Vw50HgH9JThe purpose of this podcast is to share best practices and lessons learned from many years of carve-out and integration work in the lower to the mid-market deal range. This is typically broken down into two tiers: Lower Middle Market: $5 – $50 million of revenue and Middle Market: $50 – $500 million of revenue.The specific insights and recommendations are gleaned from our work in supporting an average of 50 transactions a year in the lower middle (LMM) and mid-market (MM) segments, across a broad range of sectors, business models, and transaction types.So we hope that you find this useful and thought-provoking, and we would invite you to visit GPMIP's website www.gpmip.com to learn more about how we help clients around the world to maximize results from their M&A activity.

In today's episode, we discuss the necessities of strong Risk Management with my Global PMI  colleague from Sweden, Herwig Stockl.Herwig will be drawing on more than 25 years of risk management expertise and will be giving an insight into a hands-on training program that he will deliver on 25th and 26th August  'Risk Management for M&A Integration'And the good news is, you don't need to have experience or fancy qualifications to benefit from Herwig's expertise.  Everybody will come out of that course with a set of knowledge and skills in risk management that will allow them to contribute to the projects that are operating within their business.And to put that in finer detail, you will come away from the course with competence in the four key pillars of best practice risk management No risks, no opportunities. Gain the expertise to see both the upside and downsides in risk managementUnderstand how to build a structured and outcome-focused approach to risk managementRecognize how to apply the appropriate level of risk management to any project so that you achieve the best outcomes without over-engineering or wasting valuable cash and resources.Learn from and experience a team-based approach to risk management and learn to use some of the risk management tools that are availableFollow this link to learn more or to register for Herwig's course https://gpmip.com/risk-management-for-ma-integration/ 

Diethard (Hardy) Engle and Robert Heaton  both experienced M&A advisors with  Global PMI Partners discuss common M&A pitfalls. In this podcast, they focus on the "Just get it done!" and "Justify it!" pitfalls which basically describe scenarios in which a deal can be pushed through although the preset approval criteria are not met. At times, in a game of pride and power, rules get bent, and acquisitions are completed despite the sober indicators recommend otherwise. Rob and Hardy discuss the reasons and make suggestions how to avoid the same mistakes to be made over and over again. For more informationHardy has kindly provided his contact details for anyone wanting more discussion on this topic or to explore how Global PMI Partners can help navigate these challenges on your next acquisition or divestment. Diethard EngleMainz, GermanyEmail:  diethard.engel@gpmip.com, Phone:  +49 1577 194 1164www.gpmip.com  

There are TWO critical success areas on any acquisition 1. Operational Transformation and 2. Value Creation so if you are in a middle or senior management role you must add these skills to your repertoire. That's why my colleague Rich Dever, a 20 year veteran of successful M&A transactions  is providing a hands on training / development program on 29th and 30th June 2021 specifically to pass on those skill sets.,  And you can register directly from this link Operational Transformation for Value Creation in Acquisitions — Global PMI Partners (gpmip.com)At US$195 per person, the investment should be an easy decision.Not only will this make you more valuable to your organisation, the skills provided in this hands-on program will help you increase sustainable value to your organisation whether you are engaged in M&A transactions or not. And one last observation; Make this a team effort and make sure your direct reports attain these skills. Not only will this improve the value of your entire team it will make your job much easier. TEAM DISCOUNT: If you enrol 3 or more people to this program, you can send me Robert Heaton or RIch Dever a note and we will ensure you get between 15 - 20% discount.

In questo episodio in italiano di Chronicles of M&A Integration, il podcast di Global PMI Partners dedicato all’integrazione post-acquisizione, Sergio Bruno e Manuel Zaccaria ci parlano delle SPAC. Se non avete mai sentito questo termine oppure l’avete sentito e vi siete posti qualche domanda sul fenomeno SPAC questo podcast è per voi. Manuel e Sergio forniscono numerose informazioni e spunti utili a capire perché le SPAC vengano create e come funzionino.  Qualora desideriate approfondire il tema vi invitiamo a leggere l'articolo pubblicato da Manuel e Sergio  o a contattare direttamente Global PMI Partners che è a vostra disposizione per ogni domanda.

First of all, let me be blunt! - HR often get a raw deal when it comes to engagement in the M&A integration process. Why is that?Is it because M&A focuses around Finance and Legal aspects?Is it because the people side is viewed as secondary?Is it because HR professionals have not been proactive in gaining the skills for M&A deals and subsequently have not earned a place at the leadership table?The answer might be a mix of all three, but it doesn't need to stay that way.In this podcast episode, Global PMI's HR professional Karen Hasenauer demonstrates how HR can have a significant impact on the financial impact, and operational synergies / value creation in any M&A deal.But to be honest, HR have not done themselves any favours in amassing the necessary skills needed to be at the Leadership table. And that's exactly why Karen will deliver a hands on and interactive training program HR Operations Role in the Deal Lifecycle — Global PMI Partners (gpmip.com) If you are a HR Professional, you cannot afford to miss this program. It will give you the skills to take that seat at the leadership table; It will ensure you are a more valued member of the leadership team and if that doesn't persuade you, it's a terrific competitive advantage to have on your resume.  Click on the course description above or here to register. https://duc4kned--probalance.thrivecart.com/hr-ops/

In Today's Episode I am joined by two Italian colleagues; Sergio Bruno and Manuel Zaccaria and our 'Argomento della giornata' is SPACS.OK, you are forgiven if like me, you are sitting there thinking WHAT is a SPAC?  Well, SPAC is an acronym for Special Purpose Acquisition Company and Manuel and Sergio provide plenty of insight in this podcast. The result for anyone listening is an in-depth and informed discussion that will help you understand why a SPAC exists, Its primary purpose, the value proposition of a SPAC and much more. You will leave with a solid understanding, another piece of knowledge to improve your career skills and best of all, a great topic to impress people at the local bar of next dinner party.But on a serious note, if you are forming a SPAC and want an experienced partner to help with the acquisition integration then look no further than Global PMI Partners, and reach out to Sergio and Manuel. 

IMO Mobilization (Integration Management Office) is the backbone or roadmap that ensures acquisition integration programs run efficiently, in a timely manner and with a clear focus on expected outcomes and success.In this episode, Global PMI Partners Co-Founder, Scott Whitaker talks about the importance of IMO Mobilization and why it needs to be a skill set for any manager faced with or likely to be involved with an acquisition integration project.  Scott also announces a hands on, interactive training program that will run April 27th and 28th. Why should you attend?1. Your skills will ensure enhanced value creation for your company's next merger or acquisition2. You become a more valued member of your management / leadership team.3. It's your competitive advantage and a valuable addition to your resume3. Waiting until an acquisition is "live and kicking" to learn 'on the job' is not a good idea and rife with obvious risk.Register now to reserve a place. You can find details here Skills, Processes & Techniques for IMO Mobilization — Global PMI Partners (gpmip.com) 

In this episode we are joined by Christophe Gampelaere the Belgium Partner for Global PMI Partners and the group's specialist on Culture and Communications.Christophe explains that culture is probably THE most important factor during M&A and companies that don't treat it seriously will suffer significant losses. Cultural differences can completely destroy the deal if not tackled early in pre-deal negotiations.Christophe goes on the recommend that a solid understanding of how culture shows itself and how it impacts a business (negative and positive) is a something that all managers and business leaders should have in their skill set.And to that effect, anyone who has not yet recognised culture management as a key skill set should at least consider the hands on training program that Christophe will lead on 24th and 25th March 2021. You can find details here Training Course details

We are joined today by Stefan Hofmeyer, one of Global PMI Partners founding members.Global PMI Partners initially started as an informal group of M&A professionals working collectively and then quickly and purposely formed into the global brand that you see today.Stefan looks back over the 10 years plus since all that started and reflects on some of the early challenges, the authoring of our first two books that became the catalyst for the uniform and successful way we do things and to the more than 450 successful M&A projects that have brought a sense of pride and real accomplishment.

I'm joined today by my Global PMI colleagues Michael Scherer and , Jon Burke and we are listening to Jon as he walks us through his personal and somewhat accidental journey into M&A integration.Jon's story like many of us starts with his corporate career in an organisation that was making multiple acquisitions. Somewhat disillusioned by the limited communication, Jon stepped in and proposed a communication strategy that could help 'sell' the acquisition both internally to employees but also externally. Before too long, Jon was being asked to help finance quantify some of the likely benefits and regularly being in the wrong place at the right time, he found himself bit by bit getting more and more involved in the acquisition integration process.There are several lessons from Jon's story, but the one fact that stands out is that Jon's M&A experience is built on solid corporate experience, meaning he's not afraid to roll his sleeves up and get involved in making things happen. 

In this episode I'm joined by my  Global PMI Partners colleagues, Michael Scherer and Jon Burke M&A integration is a pressured and stressful environment at any time and it's an environment that calls for deep experience that goes well beyond following a bouncing ball. In fact the skills of a merger and acquisition integration consultant sometimes extend way beyond those that we would normally expect. Michael  outlines his experience of a scenario that developed when two executives decided to publicly and vocally air their disagreements during a project review meeting that included the CEO, the PE sponsor and the entire sale organisations from the acquiring and acquired businesses.Listen to how Michael managed to help defuse the clash of personalities and turn a potentially damaging situation into a positive outcome for all concerned. 

This week we are joined by Robert Sher, Founding Principal of CEO to CEO, A consulting firm helping mid-size CEO's build their skills to lead their companies to exceptional performance.Our conversation examines  CEO's who have founded a successful business because they are great engineers or have a particular talent, and now that the business is starting to scale, or there is interest from a private equity investor, they find themselves to unable separate from their entrepreneurial roots and adopt to the expected leadership model.Robert makes the point that trying to change such individuals is counter-productive and what is really needed is to work with them and aim for incremental change that doesn't in any way damage their entrepreneurial spirit and value to the business.Robert is based in San Ramon, California and for those who would like to know more he can be contacted through the CEO to CEO corporate website or via email r.sher@ceotoceo.biz

Our guest in today's podcast is Lisa Beth Lentini Walker, the CEO and Founder of Lumen Worldwide Endeavours, a business that helps good companies and executives make better choices  with compliance governance and risk  So you're probably wondering what that has to do with a Amygdala Hijack?Well listen to what Lisa Beth has to say and you will understand her view that in any business, and particularly where M&A integration is concerned, Compliance, Governance and Risk need to be a critical part of the early considerations and actions, and shouldn't / can't simply be 'left to later'. Lisa Beth argues that these topics go well beyond legal and financial consideration and that left unattended will not only impact the very well being of the business and its people, but it will have external ramifications to your brand image and position in the marketplace.

Would you ever consider that gold prospecting and M&A integration have some very close parallels? Well according to my colleague George Bennett, there are some very close parallelsGeorge offers that four guiding principles learned from his gold prospecting hobby can just as easily be applied to the complex world of M&A integrationBring the right toolsFollow the seamMove earthDon't forget the big pictureListen to George's story and you will understand how gold prospecting and M&A integration have so much in common.

In today's podcast, I'm joined by my Global PMI Partners friend and colleague,  Matt Podowitz  Matt is going to walk us through the pro's and con's of two very similar transactions that had very different outcomes. Transaction A and Transaction B both were add-on acquisitions to existing platforms, and both were being executed and integrated in a similar manner. Both transactions were structured as asset purchases to leave behind liabilities. The investment thesis for both envisioned consolidation of SG&A functions and rationalisation of PP&E to create cost synergies, and both anticipated revenue synergies through cross-sales of products to existing customers of the platforms. Both transactions were closed at a price favourable to the buyers. Transaction A was a runaway success. Transaction B failed to meet any of its targets for the Buyer and ultimately was re-sold at a loss.What was the difference? The buyer in Transaction A engaged a team to begin developing a high-level integration strategy and start integration planning during the due diligence period. The buyer in transaction B did not.

In this episode, we are joined by Global PMI's Nordics Partner, Michael Holm. Michael has more than  10 years experience with acquisitions and carve out's   in multiple countries.Michaels  start point in this podcast is that carve-out's are more complex than acquisitions and particularly so  when it's a Private Equity buyer, because there is usually no target company to integrate into so everything must be done to ensure the carve out can 'stand on it's own two feet'Michael also points out that sellers will usually prepare the carve out in financial and legal terms, but it's the myriad of operational details that  guarantee the route to success.As you listen to  Michael talk about his experiences, you will recognise that there is no area of a carve-out that isn't impacted in one way or another and that in some cases the carve-out business needs to be fully functional and operating smoothly just 24 hours from deal close.

My podcast guest and colleague Anand Pathuri, takes us through his involvement with the famous J.P Morgan, Bear Stearns acquisition of 2008. Not only was this an acquisition 'forced' on both parties by Reserve Bank Chairman Ben Bernanke, it had a minefield of challenges.It took place during the Global Financial CrisisA wide gap in customer experiences and scaleAn unrealistic integration timeline of just 12 monthsAn atmosphere of fear and continual loss of good peopleThe unwillingness on one side to engage and assist with the integrationSo listen to Anand tell the story of how a non-conventional approach built the foundation for successful integration and how soft skills persuaded key people to provide their time and knowledge as part of a committee style Integration Management Office.Fascinating listening and enough to make anyone shudder and be thankful that it wasn't them having to sort this out.

In this episode we are joined by Sergio Bruno, Global PMI's Partner in Italy. Sergio talks about his latest book 'Feelings and Competencies of an M&A' The very soft side of M&A integration.Sergio maintains that companies have a personality made up of behaviours and emotions comprised from a collective of all of the people working in the company. We often refer to this 'personality' as corporate culture.Sergio outlines his view that the company personality can have both positive and negative emotions and during M&A, these emotions can be very dominant. Sergio argues that these emotions must be recognised, analysed and when properly managed they form a bridge across which M&A integration can be successfulClick here to order your copy of Sergio's book

In this episode, my colleague Anand Pathuri, talks about his experiences in emerging markets such as Africa and India and how it's important to 'break bread' with the locals in order to be accepted but also to tap into the undercurrents of how business is done.Anand covers a lot of ground including why you should look out for the family dynasty and where power and decision making is concentrated. He also explains how important introductions are often only made when you have gained credibility in social circles (usually at a local bar or restaurant) and why it is critical that you engage local finance and legal expertise to help navigate the often under-regulated laws and regulations.