Information systems integration in mergers and acquisitions: A normative model

Abstract

The role of Information Systems in Mergers and Acquisitions (M&A) becomes increasingly important as the need for speed of reaction and information is growing. A model for IS integration in M&A is presented; this includes the categories and strategic objectives of external growth as well as consideration of the possible choices for the hardware and software configuration after completion of the M&A. The basic variables of the model are defined and the possible IS integration strategies are classified in a matrix having, as dimensions, the software configuration and the computer architecture. The IS integration model resulting from these basic elements is divided into a descriptive model and a decision support model: the first one shows the relations among the involved variables, while the second provides a practical tool for decision-making. Both these models have been tested with a survey guided by a questionnaire; Factor Analysis was used to analyze the results.