MAINTAINING TRUST AMONG MARKETEERS AND SUCCESSFUL M&As

Effective onboarding of new data is key

Mergers and acquisitions – M&As – are a central component of many companies' growth strategy. One of the prerequisites for these to proceed efficiently, not risk damaging business and maintain trust in the market, is that the company has the right tools to ensure fast, efficient, and complete onboarding and integration of new entities' data.

Correct data

Peter Nørvig is partner in exacto and in his collaboration with clients he has learned that the ability to quickly and efficiently extract and consolidate new entities' budget and forecast data is a key factor in connection with M&As:

"Being able to work and make decisions both short and long term with forecasts and budgets is dependent on access to complete and accurate data on deliveries, revenue, cost drivers, effects of volatile external factors, etc. Strategic as well as operational decisions must be data-driven, and blind spots involve a risk of making choices that could potentially be detrimental to business. Furthermore, it is never good when internal processes take too long."

According to Peter Nørvig, this is why companies are looking for solutions that enable them to carry out rapid onboarding:

"A bit harshly, you may say that every day that passes without being able to extract the latest forecast data and use it together with the company's other data for budgets and updating forecasts, you are really groping in the blind. And because you work with incomplete data, you risk making decisions that damage the entire business. Our experience is that companies have a short transition period as top priority".

Trust & credibility

According to Peter Nørvig, trust and credibility also play a significant role:

"The market, shareholders and business partners continuously keep an eye on companies' financial signals and forecasts. They adapt their strategies according to how companies are expected to perform. Thus, it is of great importance for both the share and the terms which determine the framework of collaborations, which key figures the company presents."

Therefore, companies' ability to onboard new data in connection with M&As is of central importance for maintaining market confidence:

"There are, of course, many other factors that come into play as well, but having access to a correct and credible impression of how profitable the company's operations are, is considered very important. In connection with that, confidence that all key figures are in accordance with the actual conditions and thus that management make the right decisions is of course essential when it comes to maintaining confidence in the market", Peter Nørvig concludes.