Merging The Merger Functions: Due Diligence And Integration Planning Complement Each Other

Due diligence and integration planning typically are viewed as distinct activities within the overall merger and acquisition (M&A) process – each performed by separate teams. When the teams operate in tandem, however, they often produce a more rigorous and valuable result. Authors Douglas Schrock and Kevin Culp explain how aligning the processes can maximize the knowledge obtained during due diligence and improve the efficiency and effectiveness of the integration process.

The successful execution of every merger and acquisition hinges on the due diligence and integration processes. Although different teams often specialize in and perform each process, isolating the two functions frequently results in dropped handoffs, incomplete consideration of complex issues, and loss of critical knowledge-sharing opportunities. Properly aligning the two processes can help prevent such issues, strengthen due diligence, and improve integration.