Research On Risk Management Of Enterprise Merger And Acquisition Integration

Enterprise merger and acquisition(M&A)is to seek sustainable competitive advantage.Effective M&A integration is the symbol of success of enterprise M&A.There are various risks in the M&A integration of enterprises,whether at the strategic level or at the operational,financial,human resources and other business levels.It is very important to carry out effective risk management in the M&A integration of enterprises.In this paper,through the study of the theory of M&A integration management and COSO-ERM risk management framework,combined with the analysis and research of the phenomenon and problems of company-A and its industry M&A cases,the necessity of M&A integration risk management is put forward.Taking the Company-A Merger and Acquisition Company-B as an example,this paper makes practical application of COSO-ERM risk management theory.Through five procedures of risk identification,risk assessment,risk ranking,risk response and risk monitoring,this paper demonstrates risk management examples from seven areas: strategic integration,management system integration,business integration,financial integration,human resources integration and information system integration.In the process of this discussion,the risk qualitative analysis based on expert scoring method and the risk quantitative analysis as supplemented by statistical inference analysis method are adopted.Finally,it discusses the integrated management method of M&A with performance commitment.Because the ownership and management rights of the target enterprises are still separated during the performance commitment period,this paper proposes a risk control-oriented integrated management method for the target enterprises to give priority to the control of medium and high level risk,makes the overall risk of M&A integration in a controllable range,so as to improve the success rate of M&A integration.