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Author: Charlotte Walz
Publisher: GRIN Verlag
ISBN: 3638446875
Category : Business & Economics
Languages : en
Pages : 43
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Book Description
Seminar paper from the year 2004 in the subject Business economics - General, grade: 1,0, Heilbronn University of Applied Sciences, course: Spezielle BWL - M&A, language: English, abstract: Many companies pursue a growth strategy by executing acquisitions. But in recent years they have seen too many publications showing that M&A failure ratios exceed success ratios. In this paper it is examined which methods can be applied for measuring the M&A success and reasons, why these studies concluded in negative results, are given. For measuring the success of M&As, the definition of objectives, the company wants to achieve by acquiring, is essential. In general, the overall goal is to create shareholder value though each acquiring company has its own specific secondary goals. Within this paper these secondary goals are divided into the financial dimension (e.g. synergies), HR dimension (e.g. gaining key personnel) and market strategic dimension (e.g. gaining market share). Before measuring the M&A success, some general problems which affect all evaluation methods have to be considered. The first problem refers to the period of measurement. It is difficult to find the adequate period as it considerably differs amongst the various evaluation methods. The second problem refers to the comparison of measurement results. For a realistic view, the results should not only be observed before and after the transaction but as-if figures of the single entities, in case of not having merged, should be considered. The first method to measure M&A success is the objective evaluation model which can be subdivided into the annual accounts oriented method, the capital market oriented method and the event oriented method. The annual accounts method considers various ratios out of the external accounting system (e.g. RoE). It is rather a past-oriented method. The second method to measure M&A success is the subjective evaluation method which includes questionings of people involved in the M&A process (managers, employees, internal and external experts). This method is especially important for measuring the success of the integration process and, although not useful as an isolated assessment, it makes a valuable contribution to the evaluation of the M&A success. The various methods can lead to different results, therefore general statements about success or failure of M&A deals can only be made under reserve. Important aspects (e.g. distortion of study results due to large loss deals) were not considered. According to recent (more sophisticated) studies, M&As are able to generate value and growth under the right circumstances.
Author: Charlotte Walz
Publisher: GRIN Verlag
ISBN: 3638446875
Category : Business & Economics
Languages : en
Pages : 43
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Book Description
Seminar paper from the year 2004 in the subject Business economics - General, grade: 1,0, Heilbronn University of Applied Sciences, course: Spezielle BWL - M&A, language: English, abstract: Many companies pursue a growth strategy by executing acquisitions. But in recent years they have seen too many publications showing that M&A failure ratios exceed success ratios. In this paper it is examined which methods can be applied for measuring the M&A success and reasons, why these studies concluded in negative results, are given. For measuring the success of M&As, the definition of objectives, the company wants to achieve by acquiring, is essential. In general, the overall goal is to create shareholder value though each acquiring company has its own specific secondary goals. Within this paper these secondary goals are divided into the financial dimension (e.g. synergies), HR dimension (e.g. gaining key personnel) and market strategic dimension (e.g. gaining market share). Before measuring the M&A success, some general problems which affect all evaluation methods have to be considered. The first problem refers to the period of measurement. It is difficult to find the adequate period as it considerably differs amongst the various evaluation methods. The second problem refers to the comparison of measurement results. For a realistic view, the results should not only be observed before and after the transaction but as-if figures of the single entities, in case of not having merged, should be considered. The first method to measure M&A success is the objective evaluation model which can be subdivided into the annual accounts oriented method, the capital market oriented method and the event oriented method. The annual accounts method considers various ratios out of the external accounting system (e.g. RoE). It is rather a past-oriented method. The second method to measure M&A success is the subjective evaluation method which includes questionings of people involved in the M&A process (managers, employees, internal and external experts). This method is especially important for measuring the success of the integration process and, although not useful as an isolated assessment, it makes a valuable contribution to the evaluation of the M&A success. The various methods can lead to different results, therefore general statements about success or failure of M&A deals can only be made under reserve. Important aspects (e.g. distortion of study results due to large loss deals) were not considered. According to recent (more sophisticated) studies, M&As are able to generate value and growth under the right circumstances.
Author: Timothy J. Galpin
Publisher: John Wiley & Sons
ISBN: 1118827236
Category : Business & Economics
Languages : en
Pages : 484
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Book Description
Ease the M&A process with a more effective integration plan The Complete Guide to Mergers and Acquisitions is the ultimate handbook for planning and managing post-merger integration. Packed full of "how to" guidance, tools, templates and resources that have been put to the test on numerous due diligence and integration efforts around the world, The Complete Guide to Mergers and Acquisitions has been the go-to guide for firms seeking to maximize the value of their deals since the release of the first edition in 1999. Poor integration management virtually ensures that a merger or acquisition will fail to meet financial and strategic goals. The Complete Guide to Mergers and Acquisitions provides the information that enables firms to quickly and prudently capture projected cost and revenue synergies, and to move the combined organization forward. The book addresses strategic deal considerations, due diligence, integration management, people dynamics and cultural integration, common integration mistakes, communications strategies, and provides actionable steps toward creating measurable, positive results throughout the integration process. The updated third edition contains new information and tools to help firms in any industry manage deals of all sizes, including: Results of The State of M&A Integration Effectiveness Survey, 2014 A new chapter on the M&A process deal stages, with an expanded Deal Flow Model Findings of substantial M&A research from various studies in multiple industries and organizations, supporting the concepts presented throughout the book New and revised tools and templates for due diligence, integration, and results measurement and reporting New case examples of recent transactions Highlighted 'Key Principles' throughout each chapter A summary of key points at the end of each chapter Discussion questions addressing the key themes of each chapter A 'rapid assessment' diagnostic regarding the key elements of each chapter, which can be completed for any organization A revised chapter on taking your M&A game to the next level – essential requirements for building M&A capabilities into a consistently successful enterprise competency Merger and acquisition activity across the globe continues to grow, and is also playing a major role in the development of expanding markets. A well-managed integration effort is essential to success, and failure means a tremendous waste in terms of time and money, as well as the rapid destruction of shareholder value. The Complete Guide to Mergers and Acquisitions: Process Tools to Support M&A Integration at Every Level, Third Edition is an invaluable resource to guide firms in managing M&A integration and maximize the value of their deals.
Author: Yaakov Weber
Publisher: Pearson Education
ISBN: 0133014150
Category : Business & Economics
Languages : en
Pages : 241
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Book Description
Leverage today's most complete and practical framework for driving superior business value from mergers and acquisitions -- both domestic and international. A Comprehensive Guide to Mergers and Acquisitions Management focuses on critical success factors across every stage of the process, including planning, screening, negotiation, due diligence, transition management structures, post-merger integration, leadership and trust, cultural integration, HR practices, control, monitoring, and more. Authored by Yaakov Weber, an international expert in M&A management, strategic alliances, and strategic management, this book's uniquely interdisciplinary approach fully addresses both operational and cultural requirements, supporting participants in every role. Replete with recent examples and cases, it pays special attention to crucial strategic and behavioral linkages between pre- and post-merger stages, explaining why they are so important and how they can be managed to create maximum value. Throughout, Weber provides practical tools, tables, and figures that can help M&A implementers ensure best performance and achieve success where others have failed. As just one example, he provides proven instruments for analyzing cultural differences and the potential for synergy, and translating that potential into reality. For multiple audiences, including board members and top executives who must evaluate the strategic and financial issues associated with M&A; investment bankers, VCs, and other investors who must screen and select acquisitions; managers who must execute business combinations; consultants in strategy, HR, culture, and other areas; and faculty and students in executive education, MBA, and BA-level business programs.
Author: Karolina Kuta
Publisher: Grin Publishing
ISBN: 9783640637560
Category :
Languages : de
Pages : 36
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Book Description
Seminar paper from the year 2009 in the subject Business economics - Industrial Management, grade: 1,7, Zeppelin University Friedrichshafen, language: English, abstract: The fourth Mergers & Acquisitions (M&A) wave is characterized by the extensive use of dept capital to finance merger deals and a very strong orientation on capital markets. During this development stakeholders became very influential and demanding actors with great expectations of high returns and the accomplishment of transactions in an enormous speed. This causes a strong concentration on overestimated synergies and high yields, but lead to an underestimation of functional and sustainable controlling systems, although they play a very important role in reimbursing expenses and capturing integration costs. These shortcomings are the main reason for mergers failure. But for many managers this fact still remains unrecognized and explanations are frequently seen in exogenous, environmental factors. Rather costs caused by coordination, agreement and inflexibility often reach an unpredicted height. Their overwhelming impact on economic and integration success is the explanation why synergies projected for M&A are not achieved in 70-80 percent of the cases. This proves why especially mergers and acquisitions require a higher degree of systematic controlling arrangements than other transactions. The Integration Balanced Scorecard is known as a multidimensional controlling system and includes the relevant factors for mergers, which shows the interdependencies that have the most striking impact on the effective and profitable utilization of supposed synergies and corporate advantages. This paper deals mainly with the Integration Balanced Scorecard as an approach to performance management with controlling and strategic elements by providing a balanced view of the organization and integration process. After this short overview I will additionally present the Integration Dashboard and the 7 C Mode
Author: Timothy Galpin
Publisher:
ISBN:
Category : Industrial management
Languages : en
Pages : 480
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Book Description
Ease the M & A process with a more effective integration plan The Complete Guide to Mergers and Acquisitions is the ultimate handbook for planning and managing post-merger integration. Packed full of "how to" guidance, tools, templates and resources that have been put to the test on numerous due diligence and integration efforts around the world, The Complete Guide to Mergers and Acquisitions has been the go-to guide for firms seeking to maximize the value of their deals since the release of the first edition in 1999. Poor integration management virtually ensures that a merger or acquisition will fail to meet financial and strategic goals. The Complete Guide to Mergers and Acquisitions provides the information that enables firms to quickly and prudently capture projected cost and revenue synergies, and to move the combined organization forward. The book addresses strategic deal considerations, due diligence, integration management, people dynamics and cultural integration, common integration mistakes, communications strategies, and provides actionable steps toward creating measurable, positive results throughout the integration process. The updated third edition contains new information and tools to help firms in any industry manage deals of all sizes, including: Results of The State of M & A Integration Effectiveness Survey, 2014 A new chapter on the M & A process deal stages, with an expanded Deal Flow Model Findings of substantial M & A research from various studies in multiple industries and organizations, supporting the concepts presented throughout the book New and revised tools and templates for due diligence, integration, and results measurement and reporting New case examples of recent transactions Highlighted 'Key Principles' throughout each chapter A summary of key points at the end of each chapter Discussion questions addressing the key themes of each chapter A 'rapid assessment' diagnostic regarding the key elements of each chapter, which can be completed for any organization A revised chapter on taking your M & A game to the next level - essential requirements for building M & A capabilities into a consistently successful enterprise competency Merger and acquisition activity across the globe continues to grow, and is also playing a major role in the development of expanding markets. A well-managed integration effort is essential to success, and failure means a tremendous waste in terms of time and money, as well as the rapid destruction of s ...
Author: Robert J. Borghese
Publisher: McGraw Hill Professional
ISBN: 9780071389716
Category : Business & Economics
Languages : en
Pages : 308
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Book Description
How Today's Leading Corporations Use Mergers & Acquisitions as a Competitive Weapon Mergers and acquisitions are designed to build market leadership and create long-term valuein theory, anyway. M&A from Planning to Integration provides complete guidelines for ensuring these optimistic theories become reality, and outlines a systematic plan for developing, implementing, and monitoring a successful M&A deal. Examples from companies including Cisco Systems, GE, Microsoft, and others reveal M&A strategies that have worked in the real world, illustrate the book's concepts in action, and help you apply those concepts and strategies to your own company. Covering each step, from identifying a promising target to managing the post-merger transition, this comprehensive book details: Six pre-deal techniques for boosting the odds of a successful merger Methods for performing due diligence to ensure appropriate legal and tax structures Strategies to confront and overcome legacy issues during the integration process Is your company ready to pursue a strategic acquisition? Do you currently find yourself the target of a potential acquirer? Let M&A from Planning to Integration provide you with the tools you need to successfully guide your organization through both sides of the M&A equation. In 1970, Ted Turner merges his father's small-time billboard company with the publicly traded operator of an Atlanta television station. Turner uses this new access to the capital markets to build cable television pioneer Turner Broadcasting In 1996, Quaker Oats pays $1.7 billion for specialty beverage producer Snapple. A little more than two years later, debilitating losses and miscalculations force Quaker to sell Snapple for $300 millionless than 20 percent of what they had paid How can acquiring companies experience the success of Ted Turner, while avoiding the disaster of Quaker Oats' Snapple acquisition? M&A from Planning to Integration provides in-depth analysis and guidance for each stage of the M&A transaction. This step-by-step guide to "doing the deal" is built around the authors' innovative M&A Strategy Guide, a walkthrough of a typical negotiation, which features unique tools including: The Acquisition ScorecardAn objective, empirical process that gives potential acquirers a broad understanding of the overall health of an enterprise The Acquisition Feedback LoopTechniques for the acquiring company to establish an ongoing learning program, and apply previous M&A lessons to future acquisitions Valuable, practical appendixesA sample confidentiality agreement, due diligence checklist, strategies for valuation and protection of a company's intellectual propertyincluding patents, trademarks, copyrights, and trade secretsand more Mergers and acquisitions are among the business world's most dramatic, attention-grabbing operations. But behind each flashy headline lies a stark reality: The devil is in the details, and the success or failure of any M&A depends on effective execution of the deal's numerous finer points. Let M&A from Planning to Integration introduce you to the multiple factors that signal the potential for a successful deal, as it provides you with hands-on guidelines for addressing the particulars and building shareholder value with every merger or acquisition.
Author: Stuart Ferguson (Ph. D.)
Publisher: McGraw Hill Professional
ISBN: 9780071402118
Category : Business & Economics
Languages : en
Pages : 390
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Book Description
A quantitative tool for assessing and improving post-mergers and acquisitions (M & A) performance. Stuart Ferguson explains how to use the tool as a way to anticipate, measure and prevent functional problems when merging disparate groups. It is designed to translate often difficult-to-understand behavioural concepts and data into their direct impacts on business ratios and indicators, such as ROI, cost of sales, and payback period.
Author: Cary L. Cooper
Publisher: Emerald Group Publishing
ISBN: 1780521960
Category : Business & Economics
Languages : en
Pages : 189
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Book Description
Focuses on the studies of the advances in mergers and acquisitions from scholars in different countries, with different research questions, relying on different theoretical perspectives. This title helps scholars think about mergers and acquisitions in different ways.
Author: David Faulkner
Publisher: Oxford University Press, USA
ISBN: 0199601461
Category : Business & Economics
Languages : en
Pages : 773
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Book Description
The Handbook bridges hitherto separate disciplines engaged in research in mergers and acquisitions (M&A) to integrate strategic, financial, socio-cultural, and sectoral approaches to the field. It examines the management processes involved, as well as valuations and post-acquisition performance, and considers international and sectoral dimensions.
Author: Abraham B. (Rami) Shani
Publisher: Emerald Group Publishing
ISBN: 1787149307
Category : Business & Economics
Languages : en
Pages : 384
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Book Description
This volume brings forth the latest scholarly work and practice in the fields of organization development and change. It is a resource for scholars who are interested in well-integrated reviews of the literature, advances in research methods, and ideas about practice that open new ways of working with organizations.
