Business Capabilities can serve as the structuring element to uncover redundancies in IT. Instead of getting lost in uncertainties, “this application worked for us previously, so it should work going forward,” the teams can sit down with a Business Capability map to structure the entire post-merger integration.Ī Business Capability model helps to discuss the areas of strategic invest or divest. Being familiar with their prospective applications, and affected by their previous organizational structures, how can teams objectively choose the best fit application for the new company going forward? The teams have to decide which applications can be used in the future, and which should be phased out. During the M&A process, both teams sit down and take an assessment of their supporting applications. Imagine a multinational insurance company that has recently acquired a local insurance player. This overarching view of applications together with SaaS discovery and their business value makes it possible to assess redundancies and gaps in IT support in both dimensions - functional and usable. Capability maps provide both groups with the basis to structure a merger in a beneficial way, even if the organizational structures and processes of the two companies are very different from each other.Ĭapability maps assign applications to user groups and Business Capabilities. Since Business Capabilities structure a company according to its activities, Capability maps are a crucial tool in setting up highly strategic M&As. Manage mergers, assess risk, and prepare for innovative endeavors.Accurately define roles within the business.Carry out highly organized mergers & acquisitions.Involve the appropriate stakeholders that define the strategy.
Provide a common basis for discussion and planning.Define “what” a business does, rather than “how” it does it.Encapsulate what a business is doing right now and what needs to be done to meet current and future challenges.Application Modernization & Cloud Migration.LeanIX Continuous Transformation Platform®.
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