How AMI’s TEM and Mobility Tools Streamline the M&A Process
Did you know that 83% of mergers and acquisitions fail to boost shareholder returns? Additionally, did you know that most mergers and acquisitions that fail do so during the integration period? Even when the numbers look good on paper and the companies have a similar culture, a successful M&A is hardly a given.
AMI’s suite of technology expense management (TEM) and mobility tools can help streamline and strengthen the M&A process in three major ways:
1. Due Diligence
“Typical deals require the analysis of huge amounts of data in a relatively short period of time. So, when time is money, tools that speed up the M&A process are critical. That’s why AI-powered tools that help deal-makers automate tasks, reduce human error and ensure greater regulatory compliance are gaining interest.” – TechCrunch
One of the primary reasons that M&A’s fail is misvaluation. AMI’s TEM AI-powered platform, temNOW, can automate portions of the due diligence process – providing companies undergoing an M&A a better understanding of the technology and telecom assets in play so there is less risk of misevaluation.
Leveraging powerful AI, AMI’s temNOW technology can help companies and private equity firms quickly and accurately validate technology:
- Inventory (including wireline, wireless, cloud, utilities, etc.)
- Contracts and contract terms
Also, within the pre-acquisition phase, temNOW can evaluate TEM figures and multiples to provide a snapshot of a company’s current technology environment and calculate future savings, which can be applied as a bonus ROI back to the acquiring company
Another major challenge in the M&A process is integrating the assets of two companies together. Through AMI’s AI-powered temNOW platform companies experience a more streamlined process as temNOW:
- Assesses both companies’ technology inventory, spend, contracts and contract terms
- Provides intelligence on what the combined technology environment looks like
- Informs a plan to streamline the technology environment via renegotiating terms, terminating duplicate services, managing the end-of-life/rebate process for unnecessary devices, etc.
3. Spin Offs
In a corporate spin off, how can the NewCo determine what legacy technology assets and processes from the ParentCo can stay and which need to go? AMI’s TEM and mobility consultants can help organizations establish an entirely new, AI-powered technology management process for the NewCo – creating the company’s mobility policy, setting up billing and establishing contracts with carriers so that the newly formed entity can maximize their mobility spend from the word “go”.
AMI can also help spinoffs as they merge with other companies. Our TEM and mobility consultants can audit both entities’ technology and mobility invoices so they have a deep understanding of where budget is being spent. From there, AMI can work with carriers to get the best contract terms and plans possible and make the appropriate coverage changes based on the needs of the newly formed entity.
The typical M&A process – aligning the technical, legal and financial factors – can be time consuming and taxing. AMI’s AI-powered TEM and mobility tools and consulting expertise can address some of the key pain points in the M&A process, and help companies make a stronger, more successful deal. For more information about how AMI’s technology suite can help your organization experience a more successful M&A or spin-off, let’s connect!