Organizations looking to merge today face an enormously complex process that comprises many individual tasks. Due diligence is among the more well-known of these, yet most executives see this area as primarily comprising financial and legal due diligence. In fact, there’s a third component called “strategic due diligence” that is critically important to deal success. It explores whether the potential of the transaction is realistic – or not.

Strategic due diligence, which tests the strategic rationale for a proposed transaction, is one of the M&A topics examined in a new book by Booz & Company titled The Whole Deal: Fulfilling the Promise of Acquisitions and Mergers.

The Whole Deal spans the entire transaction timeline, from pre-deal issues to post merger integration. It was developed by Booz & Company mergers and restructuring experts, who over the past 5 years have supported more than 600 acquisitions and restructurings. It draws from Booz & Company’s hands-on efforts in post merger integration, M&A due diligence and post-deal restructuring.

“Even when an organization recognizes the need to undertake strategic due diligence, its work is far from over. Strategic due diligence is not a one-size-fits-all program. Managers need to figure out exactly where to focus their efforts. Examining both the degree of overlap and the difference in size between target and acquirer will guide due diligence teams to those areas of the organization that face the greatest integration risk. Armed with this information, the teams can fully analyze whether their proposed transaction should truly meet its promise,” says Gerald Adolph, senior partner and leader of Booz & Company’s mergers and restructuring work.

The Whole Deal is edited by writer Michael Sisk and Andrew Sambrook, Booz & Company director. The book, published by strategy+business Books, comprises 20 distinct articles, some produced exclusively for this compilation and others updated for this volume.

A sampling of The Whole Deal’s contents:

• “Strategic Due Diligence: A Foundation for M&A Success,” by Gerald Adolph, Simon Gillies and Joerg Krings
• “Delivering on the Promise: 10 Merger Imperatives,” by Gerald Adolph, J. Neely and Karla Elrod
• “Tandem or Solo: Selecting an Ownership Approach in China,” by Edward Tse
• “Latin America: The Consolidation Race Continues,” by Alonso Martinez and Ignacio Pulido
• “Hearts and Minds: The Key to Successful Mergers,” by Tim Jackson and Liza Spence

Select articles from The Whole Deal can be downloaded free of charge, or the complete book can be purchased online.