Mergers and Acquisitions: Assessing Information Technology Critical Ingredient for Success
Merging companies or acquiring a new business is almost always an incredible challenge, regardless of the circumstances. Decisions such as how to procure financing, provide due diligence and foster positive reactions to the change usually get made quickly and under a tremendous amount of pressure. Often the last thing on anyone’s mind is getting a handle on the information technology (IT) in place at both companies.
Knowing in advance the software each company owns can help companies ensure that the business they are buying or merging with has a clear title to the technologies being used. In addition, companies can assess that the technologies are scalable and will provide growth opportunities in the long run.
Answering basic questions about the software each company owns can play a vital role in the success of any merger or acquisition. Key questions to answer include these:
• Are both companies using the same operating systems?
• Can mission-critical databases be merged?
• Which applications can be used by employees...