Case Study: Carve-out Integration

Challenges Faced

Challenge 1: Carve-out of NewCo coming over with no systems and a weak workforce required the Acquirer to quickly come up to speed on systems and the process needs of NewCo.

Challenge 2: TSA contract had a short duration and pressured NewCo to be completely off Parent IT systems in 6 months or less.

Challenge 3: Knowledge transfer not only in IT but also in other functions from the Parent to the Acquirer.

Solution Provided

Our team had previously worked closely with the management team and CIO at Stir Foods and we had the complete background knowledge of the software, hardware, and team capabilities of Stir IT. We had a collaborative approach with the Stir IT team, taking the lead on workstreams where the team had less bandwidth or expertise and letting them handle aspects where they had in-house strengths. By collaborating with the management, we created an IT TSA Exit plan, got the budget approved, and proceeded to execute. Since Stir had a set of operational IT systems, it was a natural choice to integrate the carve-out business onto Stir’s existing platforms. In four short months, the carve-out business was operating fully on Stir systems, people were trained on new processes, and the integration was successfully complete.