Success Factors in Merger and Acquisition Projects

Success Factors in spinal fusion and accomplishment find outsThe introduction of this Proposal as salutary the language ordain explain the concept of critical conquest factors in mergers and accomplishment and allow for ask how an consultive firm s death word help in mergers and skill and its perspective. A short case transcription State Bank of India provide be made. The aim is to enlighten the indorser ab surface the problem formulation, the brief review of literary productions, aims and objectives and finally ordain the question systemology, selective information accumulation method, selective information analysis and closure exit shown in this proposal.Literature reviewThe essay aims at seeing the in and out sights of what the search will be on the related issues around the thesis of the topic. The literature review aims at exploring the topic comminuted Success Factors for Mergers and encyclopaedism Projects in the View of Merger and accomplishment Ad visory Firms. This proposal will be divided into two parts.Mergers and eruditenesss and Mergers and scholarship advisory firmsCritical triumph factors for the throw upsThe upshot of the review is the intention to develop the knowledge establish on the gap which will be recognized through this review. The upshot is bear on with the critical achievement factors for Mergers and achievement projects in the view of Mergers and Acquisition advisory firms.The filed of mergers and learning continues to experience dramatic growth. Record breaking mega mergers have create common menage. Indeed, while mega mergers utilize to be mainly an Ameri thunder mug phenomenon the catamenia fifth merger wave became truly international merger period. jump in the 1990s and continuing into next decade, some of the largest mergers and acquirement took distinguish in Europe. This was underscored by the fact that the largest deal of all time was belligerent acquisition of a German comp any(pren ominal) by British firm. scotch growth was non only the reason for the large volume of deals end-to-end the world. Deregulation in Europe and the development of a common European economy also played a role. Nation such as Canada and Australia also exhibited a pronounced high volume of deals. The picture in Asia is however was unlike. Here, restructuring and lotsizing were much common place as the Asiatic economy remained week. Companies in Japan and Korea, long protected by their highly regulated scotch structures, now had consider bankruptcy and others forms of restructuring as the core of liveing out their economic difficulties.(Gaughan, 2002).Moreover, it has been highlighted that mergers and acquisition fail out-of-pocket to inadvertence at different levels during pre, post and due diligence period of the process. therefrom this project would provide the development of mergers framework to facilitate the merger and acquisition process in the banking manufacturing. (Cartw good Cooper, 1993).There argon several reasons for those firms might subscribe to in mergers and acquisition. One of the most common motives in expansion. Acquiring a company in a line of crease or geographical argona into which the company may want to expand empennage be quicker than internal expansion. An acquisition of a particular company may provide certain synergistic benefits for the acquirer, such as when two lines of business complement one another. A financial factor motivates some mergers and acquisition. For example, an acquirer financial analysis may reveal that the target is under cherishd. That is, the value of the buyer may be significantly in excess of the market value of the target, even the premium that is normally associated with changes in control is added to the acquisition price. otherwise motive, such as tax motives, also plays a role in an acquisition Decision (Gaughan, 2007).Mergers and acquisition, by which two companies are combined to ear n certain strategic and business objectives, are transactions of great significance, not only to the workers, music directors competitors, communities and the economy. Their success or failure has enormous consequences for shareholders and lenders as well as the above constituencies. (Sudarsanam, 2003).Mergers Acquisition and Mergers Acquisition Advisory FirmsThis proposal as well as the Dissertation of Mergers and Acquisition (MA) has brought into being in the literature since last two decades. (Appelbaum et al 2007). As we hear Mergers and Acquisition in day-to-day basis I investigated that the rise in Mergers and Acquisition is due that fact that its increasing complexity of such transactions taking place day-to-day and time-to-time (Gaughan, 2002).According to (Gaughan and Jagersma, 2005) Merger is the combination of two or more companies in creation of a new entity or formation of a holding company.( European rudimentary Bank , 2000)Acquisition is the purchase of shares or as installs on another company to achieve a managerial influence, not necessarily by mutual agreement (Jagersma, 2005).Mergers and Acquisition can be categorized into horizontal, vertical or conglomerate and the transactions will be viewed from the outlook of the value chain. (Ghaughan, 2002)According to (Picot, 2002) Mergers and Acquisition process undergoes three processes thinkning, murder and integration. Planning covers the operational, managerial and legal techniques and optimization. The implementation covers a range of activities first from the issuance of confidentiality or non-disclosure agreements, letter of intent and ending with conclusion on Mergers and Acquisition contract and deal closure. The last phase is concerned with post-deal integration. This warning will be described by Watson Wyatt Model which has also atomic number 23 flows and this model undergoes stages such as Formulate, Locate, Investigate, Negotiate and Integrate. (Glaphin and Herndon, 2000).Merge rs and Acquisitions have positioned their efforts on bountiful the bigger picture of the motives of firms engaging in Mergers and Acquisition transactions. According to (Gaughan,2002) it takes a practical view to firm level he identifies the motives by referring to the theories. His motives areMergers and Acquisition is a way and means to be considered for the firms to grow on the faster rateMergers and Acquisition firms have a scope of economic gains as a result of economies on the larger scale large the organization can result on Mergers and Acquisition and have a better access to capital market, which can show the way later on to a lower cost of capital that is regarding financial benefits etc.Mergers and Acquisition aims at imagined gains which a firm may experience when putting its higher authority skills into target business and practice.According to (Trautwein, 1990) also provides us with a summary of motives and also Trautewein 1990 coifs a statement that Mergers and Acqu isition marks on Net Present Value.According to (Jansen, 2002) in Picot 2002 Mergers and Acquisition is not a new invention. In 19th century the first time Mergers and Acquisition appeared in the picture. Five mergers and acquisition waves 1880-Y2K will revert the timeline of Mergers and Acquisition development.Mergers and Acquisition Advisory firmsAccording to (Piscot,2002) the question arises that which mergers and acquisition advisors a company will need to consult in order to develop joint notional strategies and financing schemes and to look for suitable transaction partners this will be brocaded during the planning stage of mergers and acquisition process. External advice is sorted out spillage through different areas like investing corporate finance, commercial law, surroundings audit etc. (Sundarsanam, 1995)Definition of Merger and Acquisition Advisory FirmsIn this definition of mergers and acquisition (Sundarsanam,1995) explains that Mergers and Acquisition advisors as investment banks, corporate lawyers, accountants, stockbrokers, dodge consultants, investor relations and public relations consultants and environment consultants. He states that among these entire advisors investment bank plays an all-important(prenominal) in advisory in mergers and acquisition transactions.Mergers and Acquisition advisory firms role in mergers acquisition transactionAccording to (PEI go Ltd, 2006) mergers and acquisition acts as match makers. Mergers and Acquisition follows following servicesA valuation of businessMarketing in businessAssisting with diligence declaration transaction issues throughout the processConducting interviews and discussion with acquirersProviding strategic insights and negotiation skills on behalf of the clientCreation of the marketing materialHandling confidential documents on behalf of the clientSolving transaction issuesAccording to (Daniel and Phillip, 2007) mergers and acquisition advisory firms finish the task to increase the ma rket efficiency by cutting down the information asymmetries between the acquiring and target firms.Factors affecting merger and acquisition advisory choiceIts have that mergers and acquisition advisory firms are important but investments banks also play an important role in the primeval advisors in mergers and acquisition transactions. It looks on the closer outlook at what benefits mergers and acquisition bring to clients and in which accompaniment firms get involve in mergers and acquisition firms in mergers and acquisition process.Critical Success Factors for ProjectsThe proposal as the dissertation literature review will be divided into two sections.Critical success factors are the set of circumstances, facts, or influences which contribute to the project outcomes ( Lim and Mohamed, 1999)Project success criteria are the set of principles or standards by which project can be judged (Lim and Mohamed, 1999).This will explained in detail in the dissertation. look Aims and Object ivesTo investigate the main roles of merger acquisition advisory firms associated with merger acquisition projects.To watch the process of conducting a merger acquisition project.To find out the project success criteria for merger acquisition projectsTo explore from the perspective of merger acquisition advisory firms.RESEARCH METHODOLOGY AND RESEARCH DESIGNThe look for is the plan of action undertaken by people in order to find our things in a systematic and make it realistic thereby increasing their knowledge. The investigate can be qualitative and decimal. (Saunders et al. 2007). My aim of carrying out this query is collapse the relevant information which will be gathered by me. My question could be qualitative, quantitative or it is both found on the situation and the mood of the interviewee. The research will be done based on the interview or filling up questionnaires by a manager of State Bank of India.A research design provides the frame work for the collection a nd analysis of info. A choice of research design reflects rough the priority being to range of dimensions of the research process. (Bryman et al. 2007). Qualitative and Quantitative area will help in which my secondary and primary data will be collected in order to increase the strength of my findings. The research is based o the manager and some of the employees pertaining to critical success factors in mergers and acquisition projects of state bank of India which plays a role of an advisory firm. (Bryman et al. 2007). strain is the segment of the population that is selected for investigation. It is a subset of the population. (Bryman et al.2007,p182). My way of sampling will be random sampling. Non Probability refers to a sample that has not been selected using a random selection method. Essentially this implies that some units in the population are more likely to be selected than others.( Bryman et al. 2007,p 182)DATA COLLECTION METHODThe think of the Data Collection Method is a event of method which has to be conducted the data is collected more specifically to make this proposal as well as the assignment to make it more realistic (Saunders et al.2007, p131). A semi-structured and in depth (unstructured interviews) are non- standardized. This is often seen in qualitative research interviews (King, 2004). Unstructured interviews are more informal. (Saunders et al. 2007, p312). Structured interview use questionnaires based on prt ermined and standardized or identical set of questions it is more often related to quantitative research. (Saunders et al. 2007, p312).A semi- structured interviews method is related to qualitative research or quantitative or it can be both. This research is conducted in order to develop the deep grounds round the current issues happening in the organisation regarding the critical success factors of State Bank Of India which plays a role of advisory firms in mergers and acquisition. I will be using any one of them or any tw o of them for example structured unstructured, or only structured depends on the situation.The interview chosen by me is taken to support the primary data collection from where major findings emerge. The research will be done based on interviewing and filling up questionnaires by a manager and his employees. It is to make the pigment rating on the list of the critical success factors. I will also conduct a questionnaire associated with qualitative or quantitative or it can be both of them in research. This will give the idea and will also cross check with theory and practical. (Saunders et al. 2007, p101). Graphs and charts will be used if necessary to support the primary research.My data collection will be explanatory or it can be descriptive depending on happening situation. Explanatory study is based on a search literature, interview experts in the subject and conducting digest group interviews. descriptive study is based on to portray an accurate profile of persons, events o r situations. (Robson, 2002, p59). Description in management and business research has a clear place. However it should be thought of as a means to an end rather than an end itself. (Saunders et al. 2007, pp 133 -134)DATA ANALYSISAccording to (Saunders et al. 2007, pg 473) quantitative data is based on meanings derived from numbers, the collection results in numerical and standardized data and analysis conducted through the use of diagrams. However, Qualitative data is based on meanings expressed through words, collection of results in non- standardized data requiring categorization into categories and analysing conducted through the use of conceptualization.The following data will be canvass as per the discussion that will be organized based on the findings from the both primary and the secondary data. The interviews will play a key role in doing the data analysis. Interviews and questionnaire will result in checking the widely distributed and valid analysis. The research will b e done based on interviewing and filling up questionnaires by two managers. The analysis is also focus on overview in critical success factors of State Bank of India as an advisory firm in mergers and acquisition projects. Above all will support which will present the detailed discussion with the questionnaire supported. To give the right way of the analysis the data will be presented along with my evaluation and judgments of findings.FORM OF PRESENTATIONThe concepts will be specific and related with the project. The research document will be in the written form. Black and albumen colours will be used for this research. Research will be printed. It will be in binded form. Various diagrams and graphs will be used for this research. Flow of the data will be coherent. All the related data will be presented which can help to grasp the ideas and the ideal conclusion can be drawn based on the reliability of the data. Research will start in the simple form of the introduction with the ind ustry and related issues. It will further discuss about the problem issues and different facts will be presented in a proper order.CONCLUSION by and by gathering all the information and data the researcher must pass by lot of time thoroughly reviewing and evaluating the findings. Once the study is evaluated conclusions must be drawn. With the help of interviews proper theories should be formed which should give an idea about the situations of mergers and acquisitions in banking and financial sector.ReferencesRichardson, P., Denton, D.K. (1996), Communication Change, Human Resource Management, Vol. 35 No.2. Catwright, S., Cooper, Cary, L. (1993) The psychological Impact of Mergers and Acquisition on the Individual A Study of building Society Managers, Human Relation Mar 93, Vol 46.Daniels, K. and Phillips, R.A. (2007) The Valuation Impact of monetary Advisors An empirical Analysis of REIT Mergers and Acquisition. Journal of Real Estate Research, January- March, 29(1), pp 57-74.Eur opean Central Bank, 2000. Mergers and Acquisitions involving the EU Banking Industry- Facts and Implications online. Available atwww.ecb.int/pub/pdf/other/eubkmergersen.pdf Accessed 1 July 2007Gaughan, P.A., (2002) Mergers, Acquisition and Corporate restructuring (3rd edition), John Wiley Sons, Inc, New York.Galpin,T.J. and Herndon, M. (2000) The complete guide to Mergers and Acquisitions, Jossey- Bass Publishers, San Francisco.Jagersma,P.K. (2005) Cross- rim Acquisitions of European Multinationals Journal of General Management 30(3), pp13-34.Picot,G. (2002) Handbook of International Mergers and Acquisitions Preparation, carrying into action and Integration, Palgrave Macmillan, New York.PEI(Private Equity Info) Services Ltd., (2006) Mergers and Acquisition, advisory firms online Available athttp//www.advisoryfirms.com/?type=1firmtype%5B%5d=Middle+Marketstate%5B%5D=anysearch.x=11search.y=12 Accessed 04 July 2008Sunders,M., Lewis, P., and Thornhill,A. (2003) Research Methods for Bu siness Students, Pearson Education Limited, England.Sudarsanam, P.S., (1995) The Essence of Merger and Acquisitions, Prentice Hall, Great Britain.Trautwein, F. (1990) Mergers Motives and Prescriptions Strategic Management Journal, 11(4), pp 283-295.Lim, C.S., and Mohamed, M.Z. (1999) Criteria of project success an explorative re- examination, International Journal of Project Management, 17(4), pp 243-248.