On average, mergers and acquisitions (M&A) activity is a net-neutral investment. Approximately 70 percent of all mergers fail to match a market-based rate of return and the aggregate returns to buyers are basically zero. To meet the key goal of M&A — increasing revenue growth to exceed standard market conditions — companies must synergize sales activity from two or more teams.
Any MBA can spout out these words, but in practice, it isn’t so easy. Anyone who’s gone through M&A knows that it can take months, quarters or even years for two previously separate companies to use the same business rules and software.