The future is coming: Automated M&A strategy
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This is a story about maximum automation. Imagine a tool called strategy bot working 24/7 on strategy, strategy improvements, proposes reaction to competition´s moves etc. BTW no fiction, this already exists.
Real-time M&A strategy
Consider the data used by strategy bot to be all data about the buyer and target company, its suppliers, its markets, products, customers and competitors. Strategy bot´s data are provided in realtime, and the functionality of M&ABot automates most of the tasks of the M&A strategy phase. Hence, it can provide evaluation and creation of strategies in real-time. It will provide updates of the strategic position of a company in real time and propose appropriate strategic actions to take based on realtime data of the company, its suppliers, customers, partners, competitors.
Determine the status quo of the buyer and getting ready for strategy planning.
Strategy Bot works based on a dataplane and creates an initial status of your company. It assembles, aligns and connects data from different data sources like the company´s ERP system, market data, data about competitors etc. to create a unified view of where the company stands. It also integrates data about customers, e.g. customer sentiment, and, of course, about similar potential customers out there in the market.
Drafting the growth strategy
You set a growth goal, e.g. a certain increase in revenue, say 45 percent, over the next two years. Strategy Bot analyses potential areas of growth and proposes areas to act upon based on data about the company, the customers, economic outlook data and competitors.
Based on the analysis of the scalability of the company´s business model, operational model and channels, Strategy bot knows the limits of organic growth and predicts the future growth.
And if the growth is planned to be higher than organic growth opportunities, M&ABot proposes an inorganic move.
Evaluating the inorganic growth strategy
Again, Strategy Bot leverages a large amount of data about companies, markets, competitors, supply chains, patents etc. as well as data about successful execution of strategic moves together with genetic algorithms and machine learning to select and detail out the strategy that is most likely to succeed.
In the next step this strategy is discussed with the managers empowered to take the decision.
Summary
Strategy bot is not a fiction anymore, the technology and data needed to create strategy bot exists. So, let us see who will step up and provide such functionality.
Now, continue to
