Main Menu
Articles Home
Most Popular Articles
Top Authors
Submit Articles
Submission Guidelines
Link to Us
Bookmark
Contact Us





Translate this page
 


 
Home / Business

Successful Merger Synergies – How To Make It Work

By:Jim Estill


“We tend to overestimate what we can accomplish in a day and underestimate what we can accomplish in a year.”



This is particularly true in the case of mergers or acquisitions. Recently, a company I founded, EMJ, was acquired by SYNNEX. Prior to that EMJ had acquired 12 other companies. The following is a list of lessons I have learned on how to do a successful merger.



1. Challenge assumptions: Most management thinks all companies work more or less the same. This is not true. All businesses, even if they are in the same business are unique. The differences tend to be subtle and therefore easy to overlook. One assumption that is often made if a company is struggling is that existing management is simply no good and that it is easy for a “well run” company to solve the issue. Usually it is not.



2. Plan Plan Plan: Mergers and acquisitions tend to be exciting. Sometimes the thrill of the deal overshadows proper detailed planning. Plan every aspect from customer, suppliers, staff etc.



3. Plan for downside. One of the characteristics of good entrepreneurs (and I think good business people in general) is that they tend to be optimistic. However, in higher risk situations, one always needs to look at the downside and plan contingencies.



4. Be flexible: although we need to have a plan, we need to be flexible and change the plan based on new results.



5. Always learn: one of the things that will makes us successful as a company is to have a learning culture. Part of our challenge in the integration was a blindness of what could be learned.



6. Persist. In the face of challenge, keep trying. Persistence got us through the integration. Persistence pays.



7. And finally, think long term. It is the long term that makes for a truly great company.



Acquisitions tend to go through phases. The excitement and euphoria of the deal followed by the work integrating the companies and usually disappointments that the results are not as expected. But if the acquisition is planned well and truly well conceived, a third phase happens, true performance and synergy occurs.



“We tend to overestimate what we can accomplish in a day and underestimate what we can accomplish in a year.”



Digg del.icio.us Blink Stumble Spurl Reddit Netscape Furl

Article keywords: merger, acquisition, business, planning, integrating, marketing

Article Source: http://www.articles3k.com

Jim Estill started his business from the trunk of his car and grew into to $375 Million in sales before selling it to SYNNEX. He is now CEO of SYNNEX Canada a $1 Billion computer wholesaler. he is a regular blogger at jimestill.blogspot.com








Related Articles
  • 1). Punctuality in Business: What it Says About You  By : Alicia Smith
    "Nothing inspires confidence in a business man sooner than punctuality, nor is there any habit which sooner saps his reputation than that of being always behind time." (W. Mathews) Being tardy can be a serious marketing blunder for today's business owner. From being late to meetings with a colleague or client, to not delivering your product or service on time, tardiness speaks volumes about who you are and how you do business.

  • 2). Don’t Let Passions Rule When Buying A Business  By :
    For many, the American dream of owning a business is in queue right behind owning a home. I was a teenager when I owned my first business. Since then I have bought or started many businesses and helped others do the same. Here are some common mistakes I have witnessed or committed myself. Paying too much This results from the combination of all other mistakes.

  • 3). The Revolution of Symbols  By : Sam Vaknin
    Five thousand years ago, people were still roaming the earth as nomads. They carried along their few precious possessions in their hands and on their backs. They hunted and gathered food at random. Then came the Agricultural Revolution: people settled down and got attached - physically, emotionally and legally - to specific plots of land. They grew their food in accordance with a pre-meditated plan.

  • 4). Credit Repair Business Opportunity  By : Jay
    If you are in the credit repair business and you are looking for a credit repair business opportunity, you may want to consider purchasing credit repair leads. Credit repair leads are considered a good business opportunity because normally people who go to specific sites and fill out forms specific to credit repair have committed themselves to finding a company and a person to help them.

  • 5). French Poulty Losing Millions in Bird Flu  By : Elif Ozdemir
    The French poultry division has been reportedly losing 40M euros every month because of the global fear for the bird flu virus. Several countries all over the world have decided to stop importing poultry from the biggest poultry sector in Europe causing a 30% drop in sales. The H5N1 bird flu outbreak in a certain turkey farm located in the eastern side of France has prompted over 40 countries to impose trade restriction of poultry products from France.

  • 6). Email Grammar Tips  By : Kelly J. Watkins, MBA
    You may think there is no connection or relevance between constructing email messages with grammatically correct sentences and conducting the functions of a competent businessperson. However, your clients may disagree. In order for customers to buy your products or use your services, they must have confidence in your abilities. Using proper grammar is important to make a positive impression.

  • 7). Think You Can't Own Your Own Business? Think Again!  By : Becky Anders
    When you check the statistics, only a very small percentage of Americans ever try to own their own business. To be sure, a great many more of us are trying our hand at owning a business than in days past, but the vast majority of Americans still work for a boss. Why is that? When I ask people why they don't start their own business, most don't mention a lack of money or even a lack of skills.

  • 9). Free Ebook Shows The Simplicity Of Surging To The First Page On Google  By : Patrick Riley
    No one needs to know all of the ranking criteria in order to get to the top of search engine lists. In fact, even if you were extremely good at it, Google could and will change algorithms at anytime. The game of getting to the first page can be complicated, but doesn't need to be. "PJ" is prepared to explain in his free report, just how easy it can be.



 


© 2013 articles3k.com - Privacy Policy