The job of a car’s engine is to convert the heat from gasoline into mechanical force that turns the wheels. A merger integration management office (IMO) is no different. It’s the engine that runs the deal execution.
What is the IMO? The IMO is a temporary structure that leads integration efforts. It facilitates bottom up and top down governance, manages the various functional and cross functional work streams and identifies risks that may impede successful delivery of milestones.
The IMO is a sprint and the number of things that need to be accomplished can seem overwhelming. Establishing the IMO at least 60 days before deal close allows sufficient time for scoping, planning and resourcing the integration effort.
So who leads the IMO? Here's a great piece on the IMO leader from the "Synergy Solution":
The IMO leader is one of the most important appointments in an integration - the integration executive can make or break the success of a deal. The IMO leader has to be an effective decision maker, provide a compelling vision for the deal, drive change and communications, set the pace of operating model decisions and oversee multiple activities including organization design, synergy planning and major post close initiatives that will drive majority of deal value. In one major successful merger, the CEO chose the head of the most successful and largest BU to run the integration. Such a high profile appointment served as a signal to the entire organization of the importance being placed on the integration, and it also helped the IMO get the resources and attention it needed to get the job done.
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Merger integration is as much an art as it is a science. There are hundreds of moving parts, significant decisions to be made and stakeholders from two organizations and multiple functions to bring along on the journey. Reach out if you want to discuss your merger integration program and see how we can help.
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