A key element of a successful corporate approach to transactions is training and developing the team. This is particularly relevant as:
- Many organisations do not have a formal mechanism to capture experiences and learn from past transactions
- Some make the same types of mistakes (repeatedly)
- Employee turnover means that corporate knowledge can be lost
- Deal and due diligence teams are often put together at relatively short notice, with little training on how to approach a transaction and what to look for
In my experience, this can lead to a lack of co-ordination and sharing of knowledge, with key issues not being considered thoroughly. The due diligence can also become bogged down in detail, fall between team gaps or just ask the wrong questions.
TCTM can assist with a tailored training program covering areas including:
- Understanding how transactions fit into the business strategic framework
- Valuation fundamentals, including methodology, development, scenario analysis
- Due diligence approach and analysis
- Financial modelling for transactions
- Working with advisers
- Assessing Risks and Opportunities in deals
- Transaction project management
- Review of strategic investments
- Synergy assessment
- Post deal knowledge capture