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Ep 19 Inside Procurement: Impact of M&A on Procurement – Part 1
In part 1 of our new feature on Inside Procurement, Omer Abdullah discusses the impact of mergers and acquisitions (M&A) on the procurement function.
2018 was an exceptional year for M&A activities, characterised by mega deals across almost all sectors. According to Bureau Van Dijk, the aggregate value of global M&A reached its highest level in 2018 since 2015, despite volume declining for the third consecutive year. In all, there were 97,709 deals worth a combined $ 5,303,713 million announced in the year under review.
Factors driving this growth were both time specific, as well as time honoured. In order to shed light on this increasingly prevalent phenomenon, we are going to discuss this topic from three angles:
- The overall impact of M&As and the synergies that can be expected
- The specific role procurement can and should play during M&A
- How procurement leaders can be better prepared to take advantage of this situation, and some tangibles roles CPOs can play during the M&A phase
Watch the full video to learn this and more.
In part 2, we will continue this conversation by looking at an often under-considered aspect of where procurement can deliver the real impact – revenue enhancement, along with discussing a 10-point checklist for CPOs to consider in order to realise procurement value through the merged entity.
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Omer is a co-founder of The Smart Cube and leads the firm’s business across The Americas. He works with Procurement and Strategy leaders at global organisations, transforming their teams to become value-driven and insight-led. Omer has more than 30 years of management consulting, global corporate and industry experience across North America, Europe and Asia. His prior roles include A.T. Kearney (North America), Warner Lambert (USA) and The Perrier Group (Asia-Pacific). Omer has an MBA from the University of Michigan at Ann Arbor, USA, and a BBA from the University of East Asia.