The merger and acquisition process has become a very frequent phenomenon, particularly in the U.S. market. This is since now business activity is very unstable, weak economic improvement, pandemics, new laws and policies are forcing companies to merge to stay afloat. In addition, M&A expands the customer base, increases profits, reduces costs, and creates new products and assets. However, the merger process is quite complex and requires a good plan and clarity when integrating IT elements. In this article, we show a well-structured merger integration IT checklist to make your integration a success.
Top IT integration checklist items
So, below we will outline the main items that a quality checklist should include during company integration:
- Business Assessment
- IT Assessment
Make a list of all IT applications and systems that are currently running in the company, then you can analyze and determine which systems need to be improved or eliminated.
- Contracts and Licenses
Make sure that the business is transparent by gathering all the contracts and agreements along with the company’s obligations. You should clearly understand the concept of property rights and software license rights to maintain a healthy relationship as well as ensure compliance. It is also worth paying attention to internal contracts and commitments to employees so that they are still valid after the integration. Conducting a risk assessment is also a must.
- Data integration
Determine the quality of available data with end-to-end profiling. You’ll have an easier time determining data quality if you have predetermined metrics. Consider all the challenges and costs of integration and review your business expectations. It is very important to understand the importance of different types of data
- System integration
Create a detailed map of the IT structures that exist in your system and share this information with other managers. Create an integration plan, and detail all actions. Assess how the IT infrastructure is currently managed and how it can be integrated or outsourced.
- Network Integration
You need to understand the fate of the new enterprise within the network. You have the choice of merging two existing networks or creating an entirely new one. Form a change management plan to stay on top of things.
You also need to think about the way to communicate between the businesses and keep them secure. Identify vulnerabilities, find out what needs upgrading. And in the end, do a risk assessment to see how much of an exit the deal will turn out to be.
How to manage a merger integration
To make your integration as successful as possible, you need to take the following steps:
- Start putting together an integration plan at the outset of the deal
- Identify and form a separate team of people who will also be responsible for the integration, they must be highly qualified people from both companies
- Formulate a detailed integration structure, it is easier to do this if all the activities are divided into categories
- Decide on the mode of internal communication, culture, and roles of each company should be reviewed
- Do the steps consistently, clearly state your goals and objectives, and focus on the benefits that the integration will bring
- Establish clear exit criteria – this helps your teams to know when to take what action