M&A Due Diligence 6 Step Process

Mergers & Acquisitions: Due Diligence & Post Deal Integration

Evaluating a contact center for merger or acquisition? Paint a precise picture of what’s happening in the organization by collecting accurate and complete information. These success strategies for Mergers & Acquisitions examine 4 overlooked areas used to determine if the deal is beneficial and provides a 6-step process for due diligence (and how to deploy it).

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Mergers & Acquisitions: Due Diligence & Post Deal Integration

Evaluating a contact center for merger or acquisition? Paint a precise picture of what’s happening in the organization by collecting accurate and complete information. These success strategies for Mergers & Acquisitions examine 4 overlooked areas used to determine if the deal is beneficial and provides a 6-step process for due diligence (and how to deploy it).

4 Critical Areas of Focus to Determine if the Deal is Beneficial

When navigating the due diligence phase of a contact center merger or acquisition, verification of a target company’s legal, regulatory, and associated fiscal realities is a top priority. But what about areas such as human capital, operational process, technology, and company culture? These categories should be expertly scrutinized as well to round out a complete picture to determine if the deal would be beneficial.

  1. Human Capital: Knowledge/Competency, Management, Key Personnel and Roles, Frontline Agents, Tenure, Attrition, Job Satisfaction Levels, Tribal Cliques/Relationships, Employee Motivation Levels, Glide Paths (past & future), Performance Levels, Non-Compete Contracts
  2. Operational Processes: Accounting, HR, Recruiting, Payroll, WFM, Quality, Training, Onboarding, Analytics, ORG Chart, Agents/Leadership, Sales, Marketing
  3. Technology: IT Department, Hardware, Tech Stack, Platform Compatibilities
  4. Company Culture: What’s the culture? Will it mesh with your company? Does it need improving? Personalities? Will employees leave?

6 Steps for Contact Center Due Diligence

Operational due diligence collects accurate and complete information about another company to paint a true picture of what’s happening. It’s very similar to the role of a private detective. But one of the biggest pitfalls in the process involves skimpy detective work. If you miss something major, the consequences may be devastating down the road. You must dive deeply into an operational process, a company population, existing technology, or prevailing culture to truly understand them. Your examination must proceed from many angles.

How is this accomplished? Here is a basic, 6-Step Process for M&A Due Diligence:

6 Steps to M&A Due Diligence

1. Discovery

In many cases, due diligence leans top-heavy on financials. But close contact with frontline agents and their management teams is the best way to understand a contact center and gain critical due diligence intel.

2. Analysis

This step is part science and part art. The numbers need to be sifted through the proper methodology and matched and married within the framework of the proper industry-specific context.

3. Build the Capability Model

Raw data such as KPIs, studies, metrics, and interview transcripts will be studied to better understand how the call center gets work completed, what the customer’s experience is and how they interact, and where benchmark opportunities for improvement exist.

4. Readout/Decision

Once the capability model has been reviewed for accuracy and polished, it is presented to the stakeholders. A decision to back off or move forward on the deal will come at some point after every question has been answered.

5. Integration Planning and Support

The capability model remains extremely useful in the event the merger or acquisition proceeds. Sub-components of an integration plan should include project, communication, and change management plans.

6. Continued Measurement and Improvement

Measurement sets the stage for success. Analyzing these numbers puts you in the driver’s seat when deploying solutions to optimize call center operations.

6 Steps for M&A Due Diligence eBook

Check out our eBook for complete details on what’s involved in this 6-step process and leveraging a trusted partner’s expertise and industry experience.

What can Insite Consultants do for your contact center? Read more on our consulting services and how our consultants can transform your operations.

Contact and Call Center Consulting

Due diligence is about determining the true value of a company. It’s also about planning for the future and avoiding nasty surprises.

If you plan on acquiring a contact center or merging with one, thoroughly examine the books. Take a hard look at legal, facilities, intellectual property, etc. But be just as rigorous in getting to know the business side of their business, the engine that gets the job done day in and day out. Look under that hood and examine every single moving part. And if you can find one, bring along a qualified mechanic with a sharp pair of eyes.

Also, be sure to consider the human aspects, the “soft” intel that’s not so easy to quantify. Read between the lines and really listen. Ask lots of questions. Get to know the people as well as the numbers they produce. This is the heart that pumps the organization’s lifeblood.

True due diligence leverages a combination of science and the art of reading people.

Have additional questions or need help with merger and acquisition due diligence and integration? Our team can help. As your contact center improvement partner, we implement solutions with you. We’ve been improving call centers since 2007 using a host of proprietary and customizable products and services.  Most engagements feature our 3x ROI guarantee*, which self-funds your partnership with us and makes the decision a no-brainer. Contact us for a complimentary outside perspective of your current situation.

*Insite provides a risk-free approach by guaranteeing either increased revenue and/or reduced operational cost equal to or greater than our fee. If not, you get a full refund. Complete confidence in our proprietary process and data analysis, in combination with our quick hits, long-term initiatives, and rapid results allows us to offer this money-back guarantee. Since our inception in 2007, we have never failed to self-fund all engagements. Certain products and services are excluded. Conditions apply. Contact us for details.

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