Hi Jayna!
I tested my psychic ability on-line with a system based on the Zenner
Card Test ( http://www.carhops.com/lover's_leap/psychic/test.htm ). My
score of 0.61 did not indicate psychic ability, but I can give you
some insight to your company’s acquisition based on the success and
failure of previous company merges.
If your company has clear and direct leaders with exceptional
communication skills who can maintain the business during the
negotiations, chances are good the acquisition will occur.
“Fitting together corporate cultures a must for success” May 6, 2002
Business Day
http://www.bday.co.za/bday/content/direct/1,3523,809825-6132-0,00.html
If the acquisition leaders have not been involved since the beginning,
if they did not listen to every comment about the deal, or if there is
no formal structure to the acquisition, the chances are your company
will not succeed in the venture.
If your company has followed Accenture’s “8 Keys to M&A Success” as
reported in Earthweb IT Management’s “IT Integration Seen As Key to
M&A Success” By David Aponovich, the chance of acquisition increases.
”They include:
Drive the IT integration program based on a vision of future IT
capability. Of deals called financially "successful", 71 percent said
they were driven by a vision of the future IT capability. This "future
vision" of IT capability led to IT stability more quickly, which led
to greater financial value of the merger.
Involve IT early in business discussions about the deal. Companies
that involved IT leadership in the pre-deal business planning were
more likely to reach financial goals of the merger.
Perform an IT due diligence before the deal is signed. Companies that
did realized a greater financial value and a "more successful
integration experience."
Engage in detailed IT integration planning. Detailed planning helped
companies to identify and prioritize the activities that were "most
likely to deliver value."
Appoint a dedicated IT integration team and manager to oversee the IT
integration The best way to make IT integration a priority is to
identify core resources that will work full time on the integration
plan.
Use experienced staff to manage the IT integration. Nearly half the
companies surveyed said that only 10 percent or less of their staff
had previous experience with IT integration.
Use external staff to help execute the IT integration activities. This
helps companies fill temporary capability gaps during integration
work.
Engage in IT cultural change and human performance-related programs.
Survey respondents told Accenture the most difficult post-merger
challenges revolved around human or cultural issues - integration of
cultures and reorganization of personnel.
Accenture's report notes: "Planning must occur that is focused on the
overall change journey and the methods by which people in the
organization own the changes that are occurring and embrace the work
of the new company."
http://itmanagement.earthweb.com/cio/article/0,,11967_1002641,00.html
Acquisition information is normally not public information. According
to the “Conflict of Interest Policy” at Omers.com, Material Non-Public
Information is “Any fact, data or information not generally disclosed
to the investing public that could reasonably be expected to have a
significant effect on the market price or value of a security is
considered material. Examples of material non-public information would
include, but are not limited to:
an actual or proposed change in control of a company;
a change in a company’s dividend policy;
a significant change in earnings or anticipated earnings;
a merger or acquisition; and/or
any other information which has not been generally disclosed to the
investing public which would be likely to materially affect the price
of the stock.”
http://www.omers.com/investments/COI/Glossary.html
If your company has the acquisition offer as non-public information,
and if my psychic abilities were better, I may have jeopardized its
success.
“Federal securities laws impose a variety of obligations on the
directors and officers of every company. Whether they are involved in
the preparation of a registration statement for an initial public
offering, make statements about the company to investors or the press,
or engage in personal trading of the company's stock, the securities
laws raise hurdles that should be safely cleared.”
“Directors and Officers: Understanding the Securities Risks” Business
Leader.com
http://www.businessleader.com/bl/jul96/law.html
Additional Websites that may interest you:
“A Framework for Acquisition Success: Post-acquisition Resource
Interactions” by Sayan Chatterjee and Batten Fellow. February 2002.
http://www.darden.edu/batten/pdf/Framework2_0.pdf
“Acquisition failures: The Astra experience” Department of Trade.
http://www.practicallaw.com/scripts/article.asp?Article_ID=4257
Security Act of 1933
http://www.law.uc.edu/CCL/33Act/sec2.html
Google Search Terms Used:
acquisition 2002 business success fail
acquisition failures why
merger acquisition
I hope this helps!
Penguin |
