Integrating Theory and Practice of Banking M&A: Towards a Composite IT Integration Framework

This study integrates academic theory and extensive practitioner input to provide a comprehensive examination of post-merger IT integration practices within the banking sector. Leveraging the expertise of senior-level IT integration practitioners who collectively possess over 220 years of experience across 30 major banking M&A transactions, this dual approach offers a richer, more nuanced understanding of the complexities involved in IT integration during mergers and acquisitions within the industry. The research underscores the necessity for a flexible, risk-based approach to post-merger IT integrations that aligns business and IT objectives, ensuring that technology integration supports broader business transformations and synergies. It also delivers practical insights into prevalent technology-related issues and strategies to address them. The study identifies a critical gap: the absence of a publicly available comprehensive reference guide for post-merger IT integrations in banking and the prevailing preference in the practitioners' camp towards using elements of existing popular models or a comprehensive composite M&A IT integration framework built from such elements, tailored to specific integration scenarios. The study also lays the groundwork for developing this comprehensive composite M&A IT integration framework by identifying the overall approach, key specialist roles, decision-making areas and candidate popular models for reuse. This framework could serve as a valuable tool for both academic research and practical application, guiding senior decision-makers in the banking industry through successful post-merger IT integrations.