The Top 10 M&A Fallacies and Self-Deceptions

The Top 10 M&A Fallacies and Self-Deceptions is another useful article from the strategy+business site.

It looks at the key considerations in taking the decision to merge or acquire. In doing so it explores the key dilemma – the M&A deal offers great opportunities, but how often are they delivered?

Often overlooked is the sheer complexity of merging two diverse enterprise architectures! Even adopting the blunt approach of cherry-picking the good pieces and discarding the unwanted will result in a merged architecture of mismatched components.

From the EA perspective – how do you increase the chances of delivering on the expected benefits from M&A?

Firstly – before the decision is taken to merge or acquire – conduct an architectural diligence check. This should highlight as two Enterprise Patterns the fundamental architectural structures of each organization. It should also define the Enterprise Pattern that is the expected outcome from the merge. And it should identify the two or three options from getting to this expected Enterprise Pattern in the required timeframe. Each option should identify its associated costs, benefits, resources, and risks.

These Enterprise Patterns then become the guide for managing the transformation from two enterprise architectures into a new integrated and merged enterprise architecture.