New Business Model and Standardized Processes Prepare Company for Post-Merger Success

Project Background

A nation-wide commercial/industrial roofing company was transforming their organization of over 25 largely independent operating business units located across the nation into a regional organizational model. Corporate and regional management recognized that merging select operating units – several of which already shared resources and had overlapping customer bases – into a single legal entity would increase efficiencies and effectiveness and maximize resource contribution. Other goals associated with the merger included the improvement and standardization of operational processes and establishment of consistent practices across all business units. IPM was engaged to lead all legal, communication, and data-migration activities of three separate operating unit mergers within extremely condensed timelines.

IPM’s Solution

IPM planned for the mergers by interviewing key stakeholders and process owners and analyzing current business processes at each location. IPM determined almost immediately that the locations lacked a consistent process and that culturally, they conducted business very differently. To counter this, IPM worked with key stakeholders to develop a comprehensive post-merger organizational chart – something that didn’t exist for either organization. IPM along with process owners mapped nine core business processes, adopting best practices from each location, thereby increasing organizational synergy. In addition, descriptions and critical competencies for all key positions were developed to support each business process.

IPM assessed the overall migration strategy and recognized that the legal, communication, and data-migration task lists lacked the necessary level of detail to thoroughly execute a seamless merger. To ease the execution of subsequent mergers, IPM developed a gap analysis tool to evaluate existing business processes and develop transition plans to integrate new processes.

Project Results

IPM led the company to achieve all three business mergers within the designated timeline and:

• Created a business model that includes detailed processes, job descriptions, and a company-wide organizational chart.
• Encouraged a teamwork-driven environment by bridging cultural differences within each business unit.
• Developed a tool to evaluate business process gaps and assist leadership with transition plans.
• Created standardized checklists for key merger activities that are repeatable and scalable.

IPM left the company with a detailed roadmap for executing future mergers and business model transitions anywhere in the country with reduced planning lead times and fewer disruptions.