Sunday, February 23, 2014

MAD PM’s

Most of my career had been about Mergers, Acquisitions and Divestitures (MAD), popularly known as is M&A, for Mergers and Acquisitions. Framework for project management in M&A environment could be a little different than PMI framework and it’s important to understand how M&A must defy some of the core project management rules set by PMI framework. I will get to the details in a little bit but let me first explain what M&A’s are about.
What are M&A’s or MAD's?
Mergers, acquisitions or divestiture occurs between two companies to restructure and reorganize the resources to provide growth of positive value.   The definition and the purpose behind acquisition or divestiture of a company can be very complex. To simplify, think about it as an investment by a company in anything. A company invests in new product, because she thinks there is a value to it and they can generate more revenue (hence more profit) because they have better grip on the market than acquiree, or Target Company.  
What happens after the decision has been made?
Once decision has been made to acquire, merge with or divest a company (here we are talking about large companies or corporations), as a general rule, consultants are hired to facilitate the transition and transaction. Consultants leverage their frameworks and best practices to map different operations between the two companies.  

 Structure of program under MAD

MAD Project Management Framework

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