Mergers and acquisitions (M&A) are more than just deal-making; they are about integrating businesses at every level—people, processes, and technology. If there’s one area that determines post-deal success, it’s systems integration.
From accounts payable to CRM, case management, order-to-cash, and AI-driven sales tools, businesses rely on completely different systems—especially when a large enterprise acquires a smaller, modern tech-first firm.
But integration isn’t just about IT. It’s about:
✔️ How leadership teams transition
✔️ How earn-outs play into system adoption
✔️ How the complexity of change affects everyone
Let’s break it down from three perspectives:
1. The Buyer’s Perspective: Standardization vs. Innovation
The acquiring company typically has structured, well-established systems—think SAP, Salesforce, Workday, Microsoft 365. Their priorities are:
✅ Standard tech stacks—optimized for compliance and scalability.
✅ Defined business processes—deeply embedded in their systems.
✅ Enterprise reporting needs—requiring financials, revenue tracking, and cross-sell visibility.
🔥 Challenges for Buyers:
❌ Modern vs. Legacy Systems – Smaller firms often use agile tools (HubSpot, Stripe, Notion, AI-driven sales tools) that don’t fit easily into enterprise stacks.
❌ Process Complexity – Different ways of handling revenue recognition, AP automation, and customer interactions create friction.
❌ SLT & Founder Buy-In – Leadership teams from the acquired company may resist rigid enterprise systems.
💡 Guidelines for Buyers:
🔹 Ask the right questions—not just “What system do you use?” but “Why do you use it?” and “What problem does it solve?”
🔹 Be open to multi-party resistance—don’t expect immediate buy-in from either side. Resistance is natural.
🔹 Taking the best from both sides is a lovely idea, but only possible with real candor. Each party must be able to explain their perspective without concern for losing influence.
2. The Seller’s Perspective: Change, Loss of Autonomy & Earn-Out Risks
For founders and senior leaders, systems integration is personal. They built their business with tools that worked for them—often prioritizing speed and flexibility over corporate governance.
They rely on:
✅ Modern SaaS-based tools—Think HubSpot, AirTable, Monday.com, AI-powered analytics.
✅ Agility & Efficiency—Processes optimized for rapid execution.
✅ Direct Customer Engagement—Relying on fast ticketing systems, subscription models, and AI-driven sales.
🔥 Challenges for Sellers:
❌ Control & Culture Shift – The move from founder-led agility to corporate process compliance can slow innovation and frustrate teams.
❌ Earn-Out Complexities – If system changes disrupt sales pipelines, reporting, or finance, it could impact earn-out performance.
❌ Productivity Drop – Migrating from Xero to SAP or HubSpot to Salesforce creates inefficiencies in the short term.
💡 Guidelines for Sellers:
🔹 Ask deep questions—not just “What system will we use?” but “How will it impact our workflow, autonomy, and ability to meet earn-out goals?”
🔹 Expect friction—resistance from your own team and the buyer’s. Understand their concerns and make yours clear.
🔹 Be candid—for integration to work, both sides must be able to express concerns openly, without fearing pushback.
3. The Consultancy Perspective: Managing the Complexity of Change
As consultants, our role is to bridge the gap between these two worlds. Integration isn’t just about moving data—it’s about aligning people, processes, and strategy.
🔥 Biggest Challenges We See:
❌ Multi-Firm Change Complexity – Involves third-party vendors, outsourced teams, and global operations, adding legal, compliance, and IT headaches.
❌ Revenue & Reporting Alignment – Order-to-cash workflows, AP approvals, and forecasting models need alignment without disrupting sales.
❌ Business Process Overhaul – The hardest part: deciding what stays, changes, or merges. Which CRM wins? Which ERP takes the lead?
💡 Guidelines for Consultants:
🔹 Help buyers ask the right questions. Many miss the depth needed for proper understanding.
🔹 Expect pushback from both sides. It’s not about forcing change, but helping each side feel heard.
🔹 Encourage genuine communication. Taking the best from both companies requires candid discussions—without fear of judgment.
Where Does This Leave Us?
At its core, systems integration is not an IT challenge—it’s a business transformation challenge.
✅ Buyers want standardization & control
✅ Sellers want agility & autonomy
✅ Consultants (us) must balance both while ensuring continuity
The reality? No single system “wins” outright. The best integrations focus on:
🔹 Hybrid Approaches – Letting smaller teams keep some tools while aligning with enterprise systems.
🔹 Phased Migrations – Avoiding a “rip and replace” nightmare.
🔹 Revenue-Centric Thinking – Prioritizing changes that drive growth, not just IT standardization.
Because at the end of the day, technology doesn’t drive M&A success—people and processes do.
What do you think? Have you experienced the friction of systems integration in an acquisition? Let’s discuss. 👇
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