In the face of a merger or acquisition, will the finance organization move to a joint function or will it divest functions? We have deep experience with both and work with you to choose the desired path for your organization to keep risk and costs in check.
Once a merger, acquisition or divesture deal is signed, the ambition is to integrate/ separate quickly and efficiently.
The CFO is responsible for the integration/ separation of the Finance function and its value capture. The CFO is involved with various components of M&A transactions such as Integration Governance, Tax optimization, synergy target setting, synergy tracking and data structure harmonization.
There is a flood of activities that need to be scoped, planned and executed. Interdependencies need to be identified, monitored and managed. The more aggressive the timing of the synergy targets, the higher the workload during the integration/ separation period
We have developed a Finance Integration Approach to help the CFO focus quickly on the critical finance elements required to complete a successful M&A transaction.
- Phase I – Scope: to build consensus around integration vision and guiding principles
- Phase II – Initiate: to perform a high level assessment of the company’s infrastructure and processes and to structure the integration
- Phase III – Plan: to identify/ address all processes that are critical to the operations of the business for Day 1 and construct a detailed plan to achieve a successful go-live
- Phase IV – Execute: to go-live with the integration without disrupting the Business As Usual.
- Phase V – Optimize: to optimize the organization, processes and systems over a 2-4 year time horizon
Deloitte’s role in recent M&A deals, many of them transformative, has provided us deep functional perspectives on accelerating value capture and enabling an issue free Day 1. Our combined M&A and Finance Transformation approach helps CFOs focus on the critical finance elements required to complete a successful M&A transaction.
Examples of benefits:
- Completeness of addressable scope
- An integrated and efficient way of planning, progress reporting and managing interdependencies
- Accelerated strategy development and project delivery through the use of proven accelerators
- Clear vision and plan for the Finance Operating Model development
- An issue free Day 1, without BAU disruption
- Accelerated Value capture