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IT Integrations In Merger & Acquisitions

 Total annual global M&A deal volume for all deal types in 2022 ($3.63 trillion) surpassed the totals from 2017 ($3.44 trillion) and 2020 ($3.42 trillion) according to Bloomberg Law Analysis. Players like Amazon have excelled in developing an ecosystem of products and services that leverages rapid expansion. Thus, smaller players are seeking similar growth through strategic partnership deals and acquisitions.

Operational alignment, business continuity planning, data governance, and IT integration are critical to achieving synergies between your business and a new acquisition.

How To Approach IT Integrations: Best Practices

According to Deloitte, only 56% of decision-makers took information technology into consideration during the due diligence phase. The costs and complexities of IT integration in M&A can stall operational plans and dramatically increase project timelines.

There is a lot of money at stake. Over 50% of business synergies seek to profit from the technology the acquired company has developed. Nearly three quarters of technology integrations fail in the beginning, not the end. Therefore, thinking about IT integration early is essential.


Gary Beadle

Director Of Business Development

Stay Ahead During Your Merger and Acquisitions

Technology Due Diligence 

Red Flag Assessment

Our team will assess the technology and security capabilities for an acquisition to identify “red flags” that could impact the overall viability of the transaction or require more in-depth analysis to determine the actual risks to the organization. Our report will provide an overview of the IT environment, identify areas of risk, and offer recommendations.

Full-Scope Due Diligence

Our team will perform an in-depth analysis of the target company’s IT capabilities. This includes reviewing IT assets (hardware and software), licensing agreements, IT service provider agreements, in-place security solutions, and compliance and privacy obligations. Our report is broken into two sections” an executive summary of our observations and recommendations and a detailed analysis of each of the components of the assessment.

Pre-Integration Planning

Information technology experts can help outline the scope of work, associated costs, and timelines required to fully integrate your system with those of the target company. Potential integration issues identified in this phase avoid expensive surprises down the line.

  • Map technology systems, assets, and documented processes.
  • Define limitations, risks, and caveats.
  • Stakeholder management plan for execution.
  • Identify test migration candidate and determine associated costs based on approach.
  • Roadmap migration plans with key milestones.

Scope Planning

Technology integrations are an iterative process where elements are progressively migrated to align with their IT portfolios. A “test” candidate is then built to serve as a point of reference for all subsequent candidates. This creates an effective, repeatable model for executing post – M&A migrations.

Briefly, this process will follow the below steps:

  • Testing Phase. Test target instances and setup new environments. Once the main outputs are defined, data outputs are validated against the objective. Then data is migrated, workflows merged, and all relevant technology branches are reconciled.
  • Transition Phase. Simultaneously a backup plan is setup to ensure roll-back of processes are available in case issues arise. This pairs with the collection of feedback from teams, while testing the new environments.
  • Post-Migration Phase. The post-migration phase is focused on validating the integration and debriefing with stakeholders to enhance procedures and strategies for future M&A.

Complete Migration and Assess Outcome

Upon completion of the migration, on-staff IT teams can work on core business projects. This allows integration consultants, like Bridgehead IT, to continue migrating the other users, complete maintenance tasks, and deploy any customizations.

  • Check for data inconsistencies
  • Assess gaps in business logics
  • Verify functionality and workflow gaps, if multiple systems integrations are involved.
  • Document customizations or extensions teams may need for future improvements.

Stay Ahead During Your Merger And Acquisition With Our Best Practices Guide.

Request a complete technology assessment today and learn how to transform your business.

Headquartered in San Antonio, Texas, Bridgehead IT’s team of experts are here to help your business find the best technology solutions, from migrating your data into the cloud, to structured cabling and cyber security compliance. We are an award-winning, global provider of business and technology consulting services. This has been amplified through our industry-leading partnerships with Microsoft, HPE, Cisco, VMWare, SonicWALL, and Facebook Workplace. Bridgehead IT can transform your business into everything it is capable of and more.

Thoughtful solutions, not quick fixes.