“Every deal is a snowflake, as we say. There are unique aspects to every deal. Are there things that need to be held confidential? Absolutely. There’s no doubt about that. There’s typically going to be a degree of secrecy. But that doesn’t mean procurement needs to be completely uninformed.” —Chris McCarney, Principal, Procurement and Outsourcing Advisory, KPMG, LLP
Procurement’s role in integrations and separations is often overlooked – and understandably so. Corporate development teams and M&A professionals are chartered with identifying, negotiating, and closing the deal. Execution on the investment thesis is paramount.
However, the untapped potential in procurement represents an opportunity to ‘sweeten the deal’. At its core, procurement is chartered with the management of third party spend and partner relationship oversight. The inherent supply base influence on profitability and risk is only magnified in a M&A environment. Thus, sidelining procurement in inorganic activities such as acquisitions or divestitures could mean missing the opportunity for deal upside and value acceleration.
This episode of the podcast is based on an AOP Live session with Chris McCarney and Marcos Cortes from KPMG, LLP.
Chris and Marcos joined host Philip Ideson to explore…
- Procurement’s role at each stage of the deal cycle
- Overlooked and under-estimated procurement opportunities in integrations and separations
- Pre-deal, post-deal, and no-deal elements to consider