Mergers & Acquisitions

Mergers and Acquisitions

M&A Assessment Methodology

Impact Group knows that realizing perceived deal value is the key reason to do an acquisition, but it can be tricky. We help our clients address M&A complexities from strategy, analysis, and planning through integration and optimization. We bring a unique set of capabilities to every deal: thought leadership, broad operational experience, and deep IT industry knowledge. We are committed to strengthening companies and helping them succeed.

Impact Group assists with the due diligence process and helps take the risk out of realizing deal value by assessing the IT people, processes and systems of the target company. The results of this assessment provide a high-level analysis of the following:

  • The maturity of the target company’s current state as a stand-alone entity

  • Any remediation required of the target company’s current state prior to acquisition

  • The degree to which IT integration makes sense (if not previously defined)

  • The effort that will be required to integrate the target company’s IT structure with the acquiring company’s

  • The time-frame, project plan, and road map for this integration effort

Assessment Framework

  • Assess the maturity of the target company’s current state as a stand-alone entity
    • Current inventory of systems
    • Current projects and status of each
    • Identify inefficiencies
    • Identify remediation required before integration
  • Capture combinational synergies
    • Does the acquired company have systems that should be utilized by the acquiring company?
    • Identify ways to achieve economies of scale and enhanced efficiency
    • Look for opportunities to reduced costs by eliminating redundancies
  • Seek transformational synergies
    • create value by transforming targeted functions, processes, or business units
  • Process Improvement/Digitalization – looking for opportunities to transform business operations and drive down costs through business or artificial intelligence, or disruptive technologies, such as process automation
  • Security Risk Assessment – assuring an acquired company is meeting security best practices and assessing the risk if they are not to avoid breaches and unwanted publicity
  • Implementation – we don’t just advise, we do implementation work as well.

Success Stories

Project 1 – Sale of a major privately-held corporation’s Travel Division to the largest traditional Travel Agency in North America

  • Managing the complete architecture development and implementation of the new organization’s infrastructure that would support the new business.  We started with nothing and built the infrastructure from the ground up
  • Led the review, selection and implementation of key technology partners and services (network, hosting, managed services, etc.)
  • Developed the technology support process required to maintain the application and infrastructure environments
  • Managed the implementation of a new Payroll/HRIS systems
  • Led the implementation of  the organization’s new ERP System (Microsoft NAV, which saved the new organization over $1M in costs by transitioning them off of the seller’s Oracle ERP system earlier than planned
  • Performed an application rationalization process to identify redundant functionality and drive recommendations for consolidation of applications and business process to streamline the organization and reduce overall costs while maintaining needed functionality

Project 2 – Acquisition of major privately-held corporation’s Marketing Group by one of the largest Loyalty Solutions groups in North America

  • Developed the business case to identify the estimated ongoing infrastructure, application and support costs for the acquiring company post acquisition.  This leveraged work that was already in progress on modernizing the seller’s infrastructure
  • Impact Group was hired by the acquiring company post sale to lead the divestiture away from the seller’s Shared Services organization, which involved:
    1. Managing the complete architecture development and implementation of the new organization’s infrastructure that would support the new business
    2. Review, selection and implementation of key technology partners and services (network, hosting, managed services, etc.)
    3. Developing the technology support process that would be required to maintain the future application and infrastructure environments
    4. Managed the implementation of a new Payroll/HRIS systems
    5. Managed the implementation of the new Epicor ERP System
  • Managed the migration of the seller’s applications out of their existing hosting environment into a new hosting solution
  • Migrated all workstations and mobile devices (1700+) from the seller’s Domain to the new domain.  This project required physically touching every workstation and was done with minimal impact to users by scheduling migrations during non-business hours

Project 3 – Divestiture of the U.S. Division of one of the largest Loyalty Solutions groups in North America to and Investment Firm

Impact Group served as Program Manager leading multiple work streams of the new organization and coordinating activities with company ownership to divest this business.  Activities included:

  • Establishing new Service Desk and EUC services capabilities and migrating users to these new services
  • Managing application and data migrations across organizations as agreed to in the Transitional Support Agreement
  • Establishing identify and access management platforms for the acquiring organization
  • Establishing a new O365 tenant and migrating all email, SharePoint and OneDrive data for divested employees and business functions
  • Separating and migrating users across telephony solutions as required
  • Implementing a new ServiceNow instance for the new organization and migrating users to this new instance
  • Managing the divestiture of networks
  • Implementing required security solutions and platforms for the acquiring organization