Expertise and consulting for a smooth IT transformation during mergers and carve-outs

In the field of mergers and acquisitions (M&A), the transformation of the IT infrastructure plays a crucial role in ensuring a smooth transition and maintaining operations. At mgm, we specialize in managing the IT restructuring process in M&A projects using a comprehensive and clearly defined approach. By assuming project management responsibilities for various phases such as concept separation, due diligence, negotiation and transition, we leverage our extensive expertise, proven methodologies and industry best practices.

Use Case: IT Integration as a Key Success Driver in the Merger of Regional Energy Suppliers to Form E.ON Thüringer Energie AG

Optimization of processes and systems for sustainable growth

The success of the E.ON Thüringer Energie AG (ETE) merger was largely based on the seamless integration of IT systems. By harmonizing and consolidating the underlying processes and supporting IT infrastructure, the company aimed to unlock synergies and realize operational efficiencies. This involved a comprehensive analysis of the existing system landscape, followed by the initiation of IT integration projects. With a focus on leading systems such as SAP IS-U for billing and SAP PM for asset management, the IT aspect played a crucial role in optimizing operations and creating a unified energy landscape.

Overcoming challenges through expertise and collaboration

The IT integration process faced numerous challenges, particularly in the SAP IS-U environment, due to the simultaneous implementation of new regulatory requirements from the German Federal Network Agency.

• Fast and consistent integration and harmonization of the underlying processes and supporting IT systems
• Planning, managing and executing the integration and consolidation without interrupting ongoing operations
• Adherence to internal quality standards, project management methods and compliance with the Sarbanes-Oxley Act
• Ensuring a smooth transition and collaboration between knowledge workers from both predecessor companies
• Selecting and supporting appropriate individuals for leadership positions in the projects
• Managing the simultaneous implementation of new regulatory requirements of the Federal Network Agency, especially in the SAP IS-U environment
• Coordinating and aligning multiple projects with varying goals and timelines
  Maintained a collaborative atmosphere and fostered a common understanding among all stakeholders
• Successful integration of legacy GVT applications into the E.ON Corporate Network
  Establish integration contracts and service level agreements with E.ON’s corporate IT service provider, E.ON IS
• Managing the commercial transition of the systems
• Ensuring compliance with quality standards and the Sarbanes-Oxley Act in all projects

However, these challenges were effectively overcome through close collaboration between mgm consulting partners, the CIO department, the business departments and IT service providers. Regular meetings of the project managers fostered communication, alignment and coordination among all parties and ensured a common understanding of project statuses and next steps. With careful project management, the team successfully overcame obstacles and maintained a collaborative atmosphere.

Achieving homogeneity and continued growth

The coordinated efforts and disciplined approach to IT integration resulted in the achievement of key milestones. The relocation and complete transition of legacy GVT applications to the E.ON Corporate Network was also successfully completed. The result was a homogeneous process landscape that meets the stringent requirements of the German Federal Network Agency and sets standards within the E.ON Group. The reorganized and expanded CIO department will work with the business departments to further develop the integrated IT infrastructure, promoting continuous growth and innovation throughout the organization.

Unite or separate with concept

When it comes to the complex task of conceptualizing IT transformation, we provide project leadership. Our team brings a wealth of knowledge and experience to develop a robust conceptual framework tailored to your specific needs. We conduct thorough due diligence to ensure that all aspects of the IT infrastructure are carefully evaluated. With our expertise, we facilitate the separation and unification of IT systems, processes and assets, ensuring a seamless transition.

Mastering the merger or carve-out

Managing the complexity of mergers requires careful planning and execution. We have a deep understanding of Day 1 requirements that are critical to ensure business continuity during the transition period. Our Expert:ins provide comprehensive support to restructure your organization and processes post-merger, with a special emphasis on change management to ensure a smooth transition.

Mastering the migration

Integrating new and complex IT components requires specialized knowledge and expertise. Our team excels in program management and orchestrates the seamless implementation of IT migrations to the crucial Day 1/Cut Over. With a trained eye for detail, we manage the intricacies of transferring and migrating IT systems while ensuring minimal disruption to your business.

Building the contractual foundation

In any M&A project, the exchange of services and assets requires a foundation of trust. Based on our years of experience, we excel at creating Transitional Service Agreements (TSAs). These agreements establish the basis for providing or transferring services while navigating complex licensing, asset and intellectual property transfers. Our expertise ensures a smooth transition and protects your business interests.

Managing SAP migrations

Without a doubt, SAP migration represents one of the most complex aspects of an M&A or carve-out project. We offer comprehensive support in overcoming the challenges of SAP separation and facilitate a smooth transition to a new organizational structure. With our expertise, we ensure that your SAP migration is executed accurately and with minimal disruption, allowing your company to operate successfully in the post-M&A environment.

Conclusion

Successful IT transformation in M&A projects requires careful planning, expert guidance and flawless implementation. We specialize in providing comprehensive support throughout the process. By leveraging our extensive experience, robust methodologies and proven best practices, we ensure a seamless transition and enable your business to thrive in the new IT landscape. Trust us to manage your IT restructuring so you can focus on the core aspects of your business.