The project management of BMI/BA is defined as a project combining or integrating the two legally and economically independent companies with different composition and structure of ownership in a business entity. As a result of this integration is formed or a new company or one of the companies have completely lost its independence, or ceases to exist, eliminated as a legal entity. Based on this definition, the purpose of merger and acquisition project is to create corporate, legal, economic, organizational, managerial and other systemic mechanisms that ensure the functioning of the joint fused or integrated companies, the use of shared resources, capabilities, capabilities, and also contributed to organizational and strategic goals of higher order.
BMI/BA Merger-Absorptions through Successful Project Management
In an emerging market it is often the usual organic growth of the company which is insufficient to meet the needs of business and ensure that the objectives set by shareholders are fulfilled according to the planned orientations in mergers and acquisitions. For this reason, many companies are examining their business models; make a choice in favor of the development through strategic mergers and acquisitions. That is why, since 2011, IAG had intended to establish intentions of acquiring BMI and making an integrated merger of BMI into BA. The desire for consolidation has been one of the defining trends of a number of segments of the establishment. Some companies acquire their competitors, while others opt for companies in the regions and niche market participants, and the largest holding companies are considering entering the international market. However, making acquisitions and mergers are not always successful if there is not proper implementation of efficient project management in the business.
The result of a merger or acquisition can be a significant increase in business value, but it needs to organize and conduct techniques of effective and efficient project management. The initial stage of effective and efficient project management includes making transactions in such a way as to ensure the success of each individual process from the evaluation facility and calculate the synergistic effect prior to the negotiation and closing of the transaction, which requires considerable expertise and professionalism. To achieve the strategic goals in the first place seek to identify opportunities of optimizing the project management and operations, and then implement them (Aldrich, 2011, pp. 30). Due to the fact that the services of BMI are present in many countries, establishing a strong link between all the operations includes measures of time and expansion, wherever the need arises. The transaction may be influenced by many factors - from the legal and regulatory constraints to the issues of taxation (Aldrich, 2011, pp. 30).
In addition, the initial stage requires a wide range of expertise in the project management, including all the aspects in regards to taxation, financial, audit, business activities and advisory services. Working in areas of setting the combination between the purchased assets, transactions involving private equity, strategic advice in relation to mergers and acquisitions, advising with respect to transactions, and partnerships are included in ...