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An Integrated Model on the Determinants of Successful Post-M&A Information Systems Integration: A Comparative Case Study of Two Financial Firms in Korea  

Lee, Chang-Jin (Graduate School of Information, Yonsei University)
Lee, Jung-Hoon (Graduate School of Information, Yonsei University)
Publication Information
Information Systems Review / v.11, no.2, 2009 , pp. 45-66 More about this Journal
Abstract
A number of companies are considering for merger and acquisition (M&A) as one of business strategies for their growth and survival. However, many of them do not create the synergy they had sought, and failed M&A, often result in negative outcomes in terms of productivity, market share, profitability and turnover of qualified employees. There have been numerous research studies conducted to analyze the factors that determine the success and failure of M&A, and it has been found that with the increasing dependence of many companies on information systems, post-M&A IS (information systems) integration success has a critical effect on the success of M&A. However, there have been very few studies on post-M&A IS integration success, and most have been restricted to integration of IS organizations or physical information systems. In order to conduct a comprehensive research on the factors that affect the success of post-M&A IS integration, this study surveyed preceding researches on not only information systems but also strategic management, economics, finance, HRM (human resource management) and organization management. Based on the findings, a comprehensive and integrated model of the influential factors on post-M&A IS integration has been proposed. The proposed model categorizes the factors into perspectives of M&A, strategy, organization, HRM and IS, and provides an empirical evaluation of each factor on the success of IS integration based on comparative case studies.
Keywords
Merger and Acquisition(M&A); Post-M&A Integration; Information Systems Integration;
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