M&A Integration: Media – Post Merger Integration Assessment
Operational assessment of two newly combined organizations to identify synergy opportunities and targets.
Preparing to integrate a recent acquisition, a global media company needed to evaluate the organizational structure, technological architecture, standard operating procedures and cost drivers of a parent company subsidiary. Shortly after announcing the integration, the CFO shortened the fact-finding phase from 8 to 4 weeks with the goal of establishing aggressive synergy targets for combining the entities.
The G&A workstream was on the most accelerated timeline, with efforts to streamline the Finance, Legal & HR functional operations a top strategic initiative. The objective was to perform a current state assessment to determine the integration strategy, identify cost savings projections, establish key synergy targets and design the future state operating models.
Thought Logic conducted an operational assessment to understand the current state of both companies for comparison by: leading discovery workshop sessions for each work group within Finance, Legal & HR; analyzing operating models, organizational structure alignment plus resourcing and key activities by work group; presenting key findings for each company by geographical footprint and KPI benchmarking; prioritizing high-level synergy targets and integration plans.
Our assessment identified $30MM plus in OPEX reduction targets along with outlining key activities necessary for realization, defining a path to achieve the goal set out by the CFO to drive 50-75% in G&A cost synergies for combining the two entities.