Our client is a leading provider of security and automation solutions for homes and businesses in the United States and Canada. Recently the client acquired a company that provides security risk management services. This covers strategic consulting and technology solutions that focus on door locking systems and electronic security systems
Business Challenge
The client was interested in business growth through capabilities extension, talent growth, and adhering to a customer centric philosophy. In order to achieve synergy following the acquisition, proper integration processes needed to be set-up and post-merger operations needed to be scoped and planned.
Project Description
The client consulted with SoftServe for professional advice on business processes, gap analysis between the two businesses, and recommendations on “to-be” IT applications to ensure business operations were well supported. SoftServe performed diagnostics of the acquired company’s entire value chain. Based on the diagnostics, the team identified the following core business processes for further analysis and review:
- Sales management
- Fees management
- Project delivery and project management
- Service management and client portal
- Materials management
Core gaps between the client and the acquired company were identified and documented—focus of the gap analysis was put on the business operations and IT applications supporting the operations.
SoftServe performed a deep dive—to the extent possible during the diagnostics phase—into the IT applications used and then evaluated how they supported the “as-is” business processes. After, the team made recommendations on business process alignment for both businesses and proposed next steps, which were developed and presented to the client.
Overall the project scope was quite broad and the SoftServe team delivered under tight deadlines. The team covered more processes than initially agreed to in order to provide better advice.
Technologies/Approaches:
Porter’s value chain analysis, business model review, and gap analysis
Services:
- Post M&A review
- IT diagnostics
- Solution design
Value Delivered
As a result of the project, the client:
- Received practical insights into the differences between the business models and processes of core and acquired businesses to plan further post M&A operations. In addition, the SoftServe team identified several business risks related to post M&A operations.
- Decided to perform the same review for another M&A target before investing in the
- Development of “to-be” IT applications and IT architecture.
- Software development projects that could be in minimal business value.
- Saved costs on IT application development that did not fit into the acquired company’s business model.