INTEGRATION PROJECT FLIGHT PLAN

Integration Project Flight Plan

ABC Company – Acquisition of XYZ Company

 

An Executive Team Strategy Briefing was held on ___________________ to outline the post merger integration plans of the pending acquisition of the assets of XYZ Company, based in _____________________.  This Integration Project Flight Plan, will serve as a high-level strategy platform for decision making by management for the combined entity, especially during the critical first 100 days post-closing.

 

Strategy Briefing Attendees

A listing of attendees by functional areas and organization represented.

                    Name                                                     Area                                                  Organization

 

 

Deal Drivers

Identify and clarify the top 3 reasons for pursuing the deal. Below are examples.

Create and exploit synergies

Increase market share

Acquire talent that is not available within the organization

Acquire products and/or technologies

Strengthen the core business by expanding in areas of greatest competence

Gain footholds in other domestic or international geographic areas

Achieve critical mass or competitive size

Reduce competition

Other...

 

Integration Objective(s)

In 1 or 2 sentences, identify clearly the primary objective of the integration project to accomplish the deal drivers. Secondary objectives may also be listed.

 

Levels of Integration

Establish the proposed level of integration by functional areas.  Classify by percentage and which phase of integration. (Immediate-30 days, Near-Term-100 days, Long-Term-1 year)

                    Functional Area                                              % Integration                                        Phase     

             Finance and Accounting

             Human Resources

             Property/Facilities

            Operations

            Services

            Data/Information Technology

            Marketing

            Sales

            Legal

            Risk/Insurance

            Other...

 

Risks and Constraints

Identify potential risks and categorize them by the level of impact and the probability of occurrence.  Develop risk abatement strategy for the most critical.

                                          Risk Type                                                                         Level of Impact                                    Probability

                      Regulatory Agencies

                      Key Employees – Existing

                      Key Employees -  Acquired

                      Company Culture

                      Customers

                      Vendors and Suppliers

                      Banking and Lenders

                      Competitors

                      Environmental

                      Other...

 

Cultural Integration

It is important to set clear goals, structure, and leadership from the start. The primary goal of cultural integration is to work to identify existing values and branding to determine how to take the best of both worlds and combine them. Below are examples:

Online and in-person surveys to identify what it feels like to work at the acquired organization

Focus groups designed to understand how to best minimize the impact of cultures

HR should try and complete a job analysis for all key roles prior to integration

Address any areas where there is considerable overlap as soon as possible

Have business cards, office supplies, and a work area ready to go on their first day

Providing each acquired employee with an employee ID for access to necessary systems and resources

Other...

Day 1 (Day After Deal Closing)

Since you only get one shot at creating a first impression, it is essential to identify and manage the numerous tasks that must be addressed across the organization to be ready for Day 1.

 Identify tasks and assign specific responsibilities

Develop key messages to be communicated to staff, customers and key suppliers

Identify critical talent and communications message

Ensure that accounting/banking systems are intact to manage cash, receipts and expenses

Establish governance and ground rules

Establish clear decisions on branding, logos, email addresses, websites

Prepare for business security/continuity

Identify priority legal and compliance tasks

Other...

 

Integration Team Members

Identify team members from both organizations and assign roles/responsibilities being very conscious of team members’ availability due to ongoing day-to-day responsibilities and activities. Consider supplemental resources if necessary. Determine reporting and communication responsibilities. Also, establish what person or group will the integration team need information or decisions from, and to whom will the team need to provide information or decisions.

                                Name                                                                 Area                                                 Organization                                                       Report To          

 

 

Summary Milestone Target Dates and Budgets

Establish Immediate and Near-Term target dates for critical activities and events.

                                Key Event                                                          Target Date                                                    Budget