While there are many reasons for Mergers and acquisitions (M&A), one thing is for sure – it can oftentimes lead to the need for a project recovery plan. This is because M&As can often disrupt normal business operations and create chaos within an organization. If you are responsible for leading the recovery efforts in the aftermath of an M&A, then you’ll want to read on!
Why Mergers and Acquisitions May Require You to Redesign Your Approach to Project Recovery
To Avoid Duplication of Effort and Resources
One area that is often affected by M&A is project management. In many cases, each company will have its own project management system in place. This can lead to confusion and inefficiency as employees attempt to coordinate between two different systems. In some cases, it may be necessary to shift to a new enterprise project management system that allows smooth integration with your ERP. This can help to avoid duplication of efforts and ensure that projects are completed efficiently.
To Ensure That the New Company Culture Is Embraced by All Employees
There are a lot of moving parts during M&A, and it’s essential to make sure that your approach to projects takes into account the new company culture. In some cases, you may need to redesign your entire approach. For example, if the new company is more hierarchical, you’ll need to make sure that your project management processes and procedures reflect that. If the new company is more collaborative, you’ll need to update your processes accordingly.
The key is to make sure that your approach is aligned with the new company culture. By doing so, you can ensure that all employees feel comfortable, included, and embraced in the new company culture.
To Maintain Continuity of Operations
In order to maintain continuity of operations during a merger or acquisition, it is essential to take into consideration all types of project operations that may be affected. For example, if two companies are merging their IT systems, then the project management approach to recovering the IT system must be designed to account for this change.
The efforts may include things like designing a new system architecture or redesigning the process for how data is migrated from one system to another. Other examples of project operations that must be considered include changes to manufacturing processes, financial systems, sales and marketing, as well as HR systems.
To Protect the Interests of Shareholders
In any organization, shareholders are the ultimate owners and have a vested interest in the success of the company. They provide the capital that allows businesses to grow and expand, and they expect a return on their investment. As such, it is essential that companies take into account the interests of shareholders when making decisions during and after M&A.
As you can see, M&A can be a tricky process, especially when it comes to the sustainability of projects. However, if you are prepared for the challenges and have a solid plan in place for recovery, you can make the transition as smooth as possible. Contact us today at Project Genetics and let us help you redesign your recovery strategy so that your next big move goes off without a hitch.