Mergers, acquisitions and divestitures

As complex transactions, MA&D require smart IT management. Unfortunately, IT is often integrated late in the cycle and frequently with insufficient capacity. By combining advisory services with technology, DXC helps you succeed.

Many organizations now face intense pressure to grow. As a result, the frantic pace of MA&D activity shows no sign of slowing anytime soon. During the first half of 2017, the total value of all M&A deals worldwide was expected to increase by 8 percent, approaching $1.5 trillion, according to mergermarket.com.

Many industries are feeling this pressure to merge, acquire and divest, chief among them: energy, chemicals and food, although organizations in other sectors are affected as well. The complexity of today’s MA&D deals is expected to increase, too, with regulatory uncertainty fast becoming the new normal.

While IT is a crucial component of any MA&D transaction, it’s often brought in too late. This typically creates several serious challenges, including:

• Poor IT execution: increased security-driven complexity, enterprise resource planning (ERP) risk, and additional transaction service agreement (TSA) costs and complexities

• Adverse integration and separation: stranded costs and dissynergies, increased operating costs and poor customer satisfaction

• Shortfalls in value creation: unrealized value and failure to achieve post-merger synergies

DXC can help you achieve mergers, acquisitions and divestitures (MA&D) success with smart IT, tightly linked to your integration and separation management.

Benefits

• Gain speed. Expedite a timely, cost-effective transition

• Reduce risk. Ensure risk mitigation and avoidance

• Manage expectations. Leverage the right IT resources

• Realize value. Ensure that IT is aligned with your strategic business goals

Mergers, acquisitions and divestitures

Do it better with DXC

Dramatically improve your MA&D activity and fully engage your IT function. Our combined technology and advisory services improve MA&D success in four ways:

• Discovery. Gain insights into your current state and discover issues that could impair your overall plan.

• Planning and development. Build the right program to speed your MA&D project, while also reducing IT-transaction risk and cost.

• Management. Maintain good, clear communications with vital stakeholders and ensure that the transaction’s goals are met.

• Transformation. Leverage your existing investments and build an IT organization for the future, with DXC’s broad range of technologies, solutions and advisory services.

Three major barriers

Companies that work with DXC during their mergers, acquisitions and divestitures improve their IT outcomes, in part by lowering three major barriers:

• Risk. DXC helps you lower, and even eliminate, your MA&D-related customer and partner disruption. You’ll ensure that shareholder value stays on budget and achieves strategic goals. With DXC’s help during a merger, a travel-industry company redesigned a business process, reducing it from 3 weeks to just 2 hours.

• High costs. DXC’s methodology reduces IT costs associated with MA&D activity. We helped one large manufacturer cut IT run costs after divestiture by 35 percent.

• Complexity. We can help you fully comply with industry and government regulations, avoid penalties and fines, and reduce the number of your systems and processes. During a divestiture, DXC helped a major food manufacturer reduce its business applications from 400 to just 70 — with no disruption to either customers or suppliers.

Mergers, acquisitions and divestitures

Achieve MA&D success

MA&D transactions are both more numerous and more complex than ever, and this difficult combination shows no sign of slowing anytime soon.

The business objectives are hard to achieve, in large part because the IT function is often overlooked as a key enabler. Yet many organizations entering an MA&D deal lack a solid IT strategy, methodology and roadmap.

DXC’s MA&D solution combines technology solutions and analytic services to improve your IT outcomes, accelerating your path to MA&D success.

Why DXC?

DXC is uniquely positioned to improve your IT outcomes in MA&D transactions. We’re the world’s leading independent, end-to-end IT services company, serving some 6,000 clients in more than 70 countries.

We have decades of experience working with clients in virtually every industry.

These clients include some of the biggest names in insurance, healthcare and life sciences, travel and transportation, manufacturing, retail, banking and capital markets, and the U.S. public sector.

Unlike many other IT services companies, DXC provides a full portfolio of services. These include technology implementation, IT execution, technical support, cybersecurity and advisory services.

DXC bolsters these services and solutions with those of partners. We’ve built an extensive ecosystem of more than 250 partners.

To ensure that you get the best possible solution, DXC is strictly technology- and vendor-agnostic. We offer a rare combination of services and solutions, along with an industry-leading architecture that leverages your existing investments.

Experience across all major industries

Proven methodologies

Practitioners who live IT

Technology platform to govern, de-risk and enable quick decision making

Advisory + Technology

Our service differentiation

www.dxc.technology © 2017 DXC Technology Company. All rights reserved. MD_6846a-18. October 2017

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Mergers, acquisitions and divestitures