How we work · Gear 1 of 4: Capability and capacity - The know-how to integrate, and the people to do it.

Do you have the know-how to integrate, and the people to do it while the business keeps running?

An acquisition is a black box: you cannot predict every challenge you will meet, so the integration depends on disciplined programme management and a well-defined plan. Once the planning is done, an integration lead spends most of their time making sure every moving part is progressing as intended.

Whether that works depends on two strengths in the acquiring organisation: the capability to execute an integration, and the capacity to absorb its demands while the business keeps running. Both have to be surged for the deal to deliver.

What this gear covers

  • Functional skills. Teams with expertise in due diligence, valuation, negotiation and integration, who reduce risk and keep the deal aligned with its strategy.
  • Functional playbooks. Repeatable, modular guides for operations, IT, HR and finance that speed up execution and keep deal after deal consistent.
  • Governance structure. Defined roles, decision rights and oversight, so there is accountability and alignment from target selection to integration.
  • Integration cadence. Timelines, milestones and regular checkpoints that keep the integration on track and surface issues while they are still small.
  • Specialist knowledge. Deep industry and functional expertise, from regulatory compliance to technology integration, that finds the synergies and navigates complex deals.
  • Cultural alignment. Cultural diagnostics and change plans that prevent the clashes that derail integrations, and keep people in their seats.
PeopleCapability& CapacityLeadershipTools

The four gears turn together. Choose one to read about it.

Capability - Build it as soon as you choose to grow by acquisition

Integration capability is the expertise, structured processes and playbooks an organisation can call on to execute an integration and handle what it throws up. Before the first deal, ask: do you have a playbook? How will you manage culture? What are your synergies? Which blueprints and practices will you use?

If those questions are not answered, the capability has to be built during the deal, and then kept, so the next integration starts from what the last one learned.

PMI capabilities need to come on board once you decide you’re embarking on an inorganic growth path.

Richard Parry
Partner

Two kinds of acquirer - Repeatable, or deep and lasting

Every acquirer needs integration capability, but not the same kind.

  • Financial acquirers. Private equity-backed buyers want reliable value, quickly: standard playbooks, thorough diligence and streamlined operations, with cost reduction and fast synergy capture ahead of an exit.
  • Strategic acquirers. Corporations integrate for long-term growth: plans built for the deal, industry-specific synergies and change management, and a lasting capability to grow by acquisition.
  • Programmatic acquirers. Frequent, smaller deals aligned with corporate goals, with proactive sourcing and repeatable playbooks. The returns compound, but only with a dedicated team that owns integration complexity and culture.

If I have built multiple factories, I move up the learning curve and have refined my approach and processes of doing it. Experience with integration is similar. That is where proven expert know-how comes in.

Thomas Kessler, Partner

Capacity - Something has to give

Companies are built for today’s performance, so there is little spare capacity for an integration. The work surges, usually in the first 30 days after close and around system cutovers, and the projects that improve the business are the first to be paused.

Capacity comes from two sources. Your own people know the culture and the processes, but they are already fully committed and may lack specialist skills. External people bring capacity that scales, and specialist skills in legal structuring, financial diligence, synergy capture, programme management and systems integration, for the peaks.

The balance is right when external specialists carry the peaks, standard processes and training make your team more efficient, and the know-how transfers to your people, so the next deal needs less help.

Companies are optimized for current business as usual performance. There are no free people to take on additional tasks and something has to give. … Integration work surges at times making the employees overwhelmed; the integration will take longer.

Branka Dessens, Partner

Where atlanticma.ai fits

The legwork that used to need a pyramid of junior consultants (tracker updates, status reports, steering packs) is done by agents in atlanticma.ai, so the surge you need is a small senior team, not a large one.

The method is built into the platform. A plan starts from your strategy documents rather than a blank template, and the programme, its playbook and its data stay in your account, so the capability stays with you when we step back.

Key takeaways

  1. Capability rests on governance, a set cadence, functional skills, playbooks, trained workstreams and the right tools.
  2. Financial acquirers need integration that is fast and repeatable; strategic acquirers need it deep and lasting.
  3. Programmatic M&A compounds, but only with a dedicated team that owns integration complexity and culture.
  4. Plan capacity for the peaks: the first 30 days after close, and every system cutover.
  5. Use external specialists to carry the surge and to train your team, so the capability stays in-house.

Have a deal in mind?

Tell us about the transaction and the timetable. A partner will come back to you, not a sales team.

Where to find us

Atlantic M&A Partners

  • Boston, MA
  • London, UK
  • Rijswijk, Netherlands
  • Bonn, Germany