Results at a Glance
1 year
integration
0
reporting disruption
Client Background
A large publicly traded company acquired a privately held, early-stage business. The acquired company operated with informal processes, limited systems, and minimal financial controls.
The Challenge
- Compliance Gap: Acquired business lacked financial controls required for public company compliance (SOX, SEC reporting)
- Systems Integration: Legacy systems incompatible with parent ERP infrastructure
- Process Standardization: Informal processes needed formalization
- Data Consolidation: Financial data needed integration into consolidated reporting
- Timeline Pressure: Complete integration within one year without impacting reporting
- Cultural Integration: Merging entrepreneurial culture with structured environment
FlexTek Phased Approach
Phase 1: Assessment & Strategic Roadmap
FlexTek finance consultant embedded as integration leader from day one:
- Documented current-state finance processes, systems, and organization
- Identified gaps between current state and public company compliance requirements
- Assessed parent ERP system and integration requirements
- Mapped data flows and chart of accounts alignment
- Evaluated finance team skills and capacity
- Reviewed compliance requirements (SOX controls, reporting standards)
- Defined success criteria: on-time integration, zero impact to reporting, full compliance
Key Deliverables: Comprehensive Integration Plan, Target Finance Organization Design, Systems Integration Blueprint, Compliance Roadmap, Change Management Plan.
Phase 2: Execution
Our consultant led end-to-end integration across people, processes, systems, and data:
1. Systems & ERP Integration:
- Configured parent ERP for acquired business unit
- Migrated historical financial data with audit trail
- Established automated interfaces
- Executed cutover with minimal disruption
2. Process Standardization & Controls:
- Designed standardized finance processes
- Implemented SOX-compliant internal controls
- Created control narratives for auditors
- Established segregation of duties
3. Organization & Governance:
- Designed finance organizational structure
- Hired talent to fill capability gaps
- Established governance frameworks
- Implemented performance management
Outcome
- Completed full integration within one-year timeframe
- Achieved compliance with all public company requirements
- Zero impact to period-close timelines throughout integration
- Successfully passed first post-acquisition audit with no material findings
- Established scalable finance infrastructure
- Built capable finance team with appropriate skills
- Maintained business continuity with no operational disruption
Key Takeaways
- M&A Expertise: Deep experience in post-acquisition integration
- Compliance Focus: Successfully navigating public company compliance requirements
- End-to-End Ownership: Managed from assessment through sustainable operation
- Stakeholder Management: Managing relationships across corporate finance, IT, audit, legal
- Risk Mitigation: Comprehensive planning ensured no business disruption
