Post Merger Integration
Industry: Semiconductor Capital Equipment
Role: Project Manager
Number of people working on Assignment: 30 people in Sales, Marketing, Manufacturing, Order Services, Production Control, Field Service Operations, Facilities, Materials, I.T. and Finance
Duration of Engagement: 2.5 months
Problem Presented: COO contacted our firm to lead the integration of 3 companies into 1. We were given a clean sheet of paper to develop and immediately begin implementing the initial phase of integrating the companies.
Assessment and Steps: Goal was to develop a task list for each area that (a) captured only those tasks essential creating a seamless transition to a single operating company, and (b) monitor progress against the task list. There were a number of challenges in this project:
1. The senior management team from one of the acquired firms was promoted to nearly all of the senior leadership positions in the “new” company creating resentment and some ill feelings amongst the team in the company that had undertaken the acquisition.
2. All 3 companies had done business internationally and, as a result of the merger, had up to 3 offices in each country where they had a presence—this was particularly challenging for Field Service Operations.
3. The senior leadership team did not inherit a healthy situation—there were a number of urgent product and operational challenges that needed to be resolved; the company integration had to be facilitated while resources were focused on correcting major issues
4. A decision was made to outsource manufacturing of all products produced in the U.K. to Asia to reduce costs; worked with U.K. leadership team to develop outsource service level agreements
5. A new CRM system needed to be specified to address operational controls needed to manage the Field Service Operations; we helped Field Service Operations develop the requirements document for the new system.
Results Achieved: This project exceeded senior management’s objectives to create “one company” and set the stage for a number of follow-on projects within different departments.