Carve-out – The Horror Show?!

Yesterday we climbed down into the chamber of horrors of carve-out disasters with some particularly brave participants. What did we see and experience there? Read on...

#PMIspective – the PMI expert talk

Carve-out: The most bone-chilling blunders in corporate splitting

Welcome to today's episode from the chamber of horrors of M&A processes. The title of the show: Carve-out. A process that at first glance looks like a walk through a gloomy park, but can quickly turn out to be a cursed maze.

Anyone can carve out - or can't they?

You may have heard the saying: “Carve-out? We can do that! The real art is post-merger integration.” Really? Is carving out a functioning unit that easy? Well, that's probably the biggest mistake since Frankenstein thought he could just build a monster and everything would be fine.

The first disaster: Unclear strategy

Horror level one: You want to split up a company, but don't even know what exactly should be sold or carved out. Great idea, right? A clear plan at the start? Who needs that? The buyer's expectations will be clarified somehow... on the way... when the chaos has long since broken out.

The IT scare

Oh, and then comes IT - the real demon in any carve-out story. No one knows what systems are being used, what licenses exist, and who even needs what. Have you ever tried to clone an IT structure? It's quick, but the bill comes later. The scariest detail? You only realize how much this little mistake has cost you when the horror has long since become reality.

TSAs: Your saving thread out of the labyrinth

You think the transition of employees according to §613a is the easy part? Wrong. If you tackle it early and without transparency, you'll turn loyal employees into frightened souls. Attractive talent will run away from you and the level of complexity will rise like the tension in a horror movie. In the end, you're the one left out in the cold.

The workforce - curse or blessing?

You think the transition of employees according to §613a is the easy part? Wrong. If you tackle it early and without transparency, you'll turn loyal employees into frightened souls. Attractive talent will run away from you and the level of complexity will rise like the tension in a horror movie. In the end, you're the one left out in the cold.

The absolute nightmare: it becomes a horror trip

Carve-out is not for the faint-hearted. If you think it's easy, this could be your worst misjudgment. Try to keep both parts viable after the “operation” - if you can do that, consider yourself lucky. Otherwise, you'll quickly find out you're in the middle of a horror movie, and there's no easy way out.

Missed the drama? Don't worry, the next session is already scheduled for November 20th - Deferred Integration. See you there, if you dare....

The Hardt Group GmbH – The #Transformation Agents

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