The success of a merger and acquisition deal depends on many things, one of them being careful preparation based on thorough analysis and complex calculations. Companies can use some advanced techniques and tools for a successful deal – here are some examples of advanced analytics that have switched from using separate spreadsheets to big data platforms:
- Identifying potential acquisition transactions – analytical tools used by finders fee M & A experts are very efficient for screening entire industries to identify a shortlist for potential merger targets;
- Identifying the consumer base – determining the ideal buyer persona that either of the merging companies is targeting and assessing the size of that consumer base are essential for deciding company value, the current demand for a company’s products and services as well as for accurate forecasting;
- Insights about the composition of the personnel and the identification of missing skill sets in either company – many companies established as the result of mergers lose over half of the senior managers who have worked for the merging companies. Analytical tools can be deployed to identify potential gaps in the company’s employment structure. They can determine ways to keep existing talent, decreasing the potential negative impact that most mergers have on talent retention.