coffee break webinar: mergers & acquisitions
TRANSCRIPT
Coffee Break Webinar:Mergers & Acquisitions
Speaker
In his leadership role with DATIS, Erik's focus has been delivering value, productivity, and efficiencies for organizations through Human Capital Management software. Erik graduated from Indiana University, Bloomington with a B.S. in Finance and a minor in German. After graduation, Erik worked for 5 years in various financial roles before joining Oracle, where he worked for 15 years. With over 20 years of experience in finance and software, Erik combines this knowledge to help organizations become leading Talent Management organizations.
Mergers & Acquisitions (M&A)
Healthcare organization consolidation and innovative partnerships have increased throughout the industry to help organizations improve operations and implement a more efficient and sustainable business model.
Catalysts of M&A’s:
• Market Driven – High costs, pricing pressures, growing patients population
• Regulatory Driven – Increase quality and transparency, new financial models
Benefits of M&A
• Integration of Services
• Improve and provide an array of services from disability, behavioral health, long term & short term acute care
• Strengthen competitive advantage
• New opportunities for resources
Challenges of M&A
• Places strain on organizations
• Increases compliance risks – Tax, ACA, PBJ, etc.
• Complicates reimbursements from Medicare & Medicaid
• Disruptive assimilation of technology, resources and culture
According to collated research and a recent Harvard Business Review report, the failure rate for mergers and acquisitions (M&A) sits between 70% and 90%.
Strategized Approach
A Holistic, Integrated Healthcare Strategy
• Blend a technically diverse workforce
• Establish communication team & policy
• Modernize technology infrastructure
• Develop unified brand
• Measure and report results
Technology for Managing M&A
Properly align people, pay, and performance with a unified workforce management solution that encompasses both organizations
• Easily absorb additional EINs, employee’s data, files, and more, into a single system of record
• Maintain organizational structure, position attributes, and compliance
• Use robust data analytics for financial and strategic planning and reporting
• Employee dashboards and acknowledgements allow for streamlined communication, increased visibility, and transparency to quickly assimilate employees and improve labor relations
• Organization-wide, real-time reporting for holistic workforce analytics
• Can be drilled down and analyzed by company
Integration continues long after the finalized transaction. The post integration can have the greatest impact on achieving the goals of an organization’s M&A.
It is imperative to continually build synergy and efficiency within the workforce to minimize risk and create value for the organization.
Post M&A Integration (PMI)
