FINAL WORD
Over the years , IT teams have morphed from being service organisations that fix problems to becoming the main drivers of innovation .
IT teams have always played a significant role in companies , especially during mergers and acquisitions . They provide and maintain the infrastructure for doing business . The best IT teams keep pace with rapidly evolving technology and are constantly upgrading , refining and defining business use cases for better operations , cost savings and strategic advantage .
Over the years , IT teams have morphed from being service organisations that fix problems to becoming the main drivers of innovation . They ’ re not just facilitating business . They are often driving the change at an organisational level . It ’ s why CIOs have become part of the inner circle at companies and many make the jump to CEO .
When it comes to mergers and acquisitions ( M & A ) activity , IT departments and the way consolidation is handled can make or break an efficient transition .
Mergers and acquisitions impact everybody
Mergers and acquisitions go way beyond just combining resources . It creates new dynamics within an organisation . Employees may be understandably nervous . They worry about their jobs , their roles in a new organisational structure , and whether things will change . It ’ s a time of uncertainty .
Employees may watch co-workers and friends get laid off as companies consolidate functional areas . They may worry about whether they are next . Motivation often suffers after a merger – especially within the company being acquired . It can be a challenge to keep morale up , maintain employee engagement and keep things moving smoothly .
IT teams will feel all of these emotions and be caught in the middle as well . Unlike other areas in your operation , however , infrastructure touches everything you do . You don ’ t want your IT team to be worried about their future when you ’ re depending on them to make critical infrastructure changes as you merge companies and culture . IT teams going first allows them to lead by example .
Face these challenges head-on . The sooner you can align your company ’ s assets and help everyone understand their place in the new order , the sooner the stress can be relieved . If there are lay-offs or staff reductions , do it as quickly as possible to avoid periods of uncertainty . If roles are changing , people are reporting to different managers or company goals are shifting , be as open and transparent as possible as soon as you can .
Preparing IT for mergers and acquisitions
Early planning for IT , including migration of users and assets , should begin as soon as possible . First of all , IT teams need to have their own system stabilised so they can do the actual migration work . We have seen some really bad scenarios where the team could not communicate because they took their own system down in the project . Because of the potential opportunity for cost-savings and redundancies , it should really be part of the due diligence process .
Planning should look at what needs to be done , but it should also evaluate who is going to do the work . An important factor in M & A is to identify the key players who are
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