So you’ve been acquired… or are about to be. Or maybe you’ve been divested and spun off. Whatever the nature of your specific corporate transaction, you’re transitioning from one company to a (kinda?) completely new one. There are bottom-line pressures, growth targets, all the stuff you’ve come to expect in any M&A deal… but where does your tech stack come into play?

It turns out that when a company weathers the complexities of transitioning out of a parent company’s systems (or emerging from an acquisition), a key to long-term success lies in developing flexible, scalable, and agile IT systems…. because your IT shouldn’t just maintain what you’re doing — it should actively drive future business growth.

So how do you do that?

At the heart of this transformation are foundational systems — like data warehousing, Enterprise Resource Planning (ERP), and integration capabilities — all of which will lay the groundwork for both operational stability and strategic flexibility.

Are you agile enough to adjust trajectory on the fly?

Agility After Closing: Moving Beyond the Transitional Service Agreement in Flexible IT

One of the most challenging shifts you’ll face after an acquisition or divestiture is moving beyond the Transitional Service Agreement (TSA). While the temporary support of a TSA offers a safety net, it also can greatly limit further development by keeping you tied to the parent’s systems and operations. Only once you’ve broken free of the constraints of the TSA can your company begin to take control of its own IT systems and start implementing strategies that will drive future growth.

However, your ability to pivot – whether to adjust to new business opportunities, acquire another company, or evolve your product offerings – depends heavily on the flexibility of the IT systems in place.

The first priority when moving beyond the TSA is ensuring that your IT systems are aligned with your company’s strategic goals. Do you want to expand your customer base? Launch new products? Explore international markets? These goals will inform your IT roadmap. The flexibility of your foundational systems will play a significant role in how quickly you can execute on these goals.

Moreover, IT should not just support your business; it should drive it. This means moving away from the restrictive mindset of simply maintaining systems, and instead focusing on how technology can enable growth. Your IT teams must be empowered to innovate, experiment with new technologies, and work closely with leadership to ensure that technology investments deliver real, measurable value.

The Importance of Flexible IT Foundations

When we talk about flexible IT systems, we’re referring to the foundational infrastructure that underpins your operations and facilitates the seamless flow of information across your business. The core systems that make up this infrastructure must be robust enough to support your company’s current needs, but adaptable enough to scale and evolve as your business grows, pivots, and adapts to changing circumstances.

• Data Warehousing: The more your business grows, the greater and greater amounts of data it’s likely to generate. A flexible data warehousing system is essential for organizing, storing, and analyzing that data. It enables you to make informed decisions based on real-time information, providing the ability to track key performance indicators (KPIs) across departments and adjust operations accordingly.
• ERP Systems: An ERP system is the backbone of your organization, managing everything from financials and supply chain to human resources and customer relations; however, not all ERP systems are created equal. Your ERP system must be adaptable and your business processes supported by ERP need to be easily configurable to meet changing needs without requiring a complete overhaul.
•  Integration Capabilities: Whether integrating with external business partners, cloud services, or other enterprise systems, your IT infrastructure must be able to communicate and share data seamlessly with other systems. Integration capabilities enable your company to remain agile, responding quickly to changes in the business environment – whether that’s new customer demands, a new acquisition, or a shift in market conditions.

The Power of IT Agility: Stay on Your Toes

To thrive in a post-acquisition world, you need to be able to pivot quickly and efficiently. Whether you need to integrate with a new partner, scale up operations, or respond to market changes, your IT infrastructure must be ready to support these shifts without hesitation or disruption. This is where flexibility truly comes into play.

Agility in IT means that your systems and processes aren’t rigidly defined, but rather are adaptable to new and changing business requirements. For example, you may find that your existing ERP system doesn’t fully support your new strategic direction, in which case, you’ll need an ERP system that can be reconfigured or integrated with new tools quickly and with minimal friction.

Built-in agility is also essential when it comes to innovation. In the post-acquisition phase, you may have the opportunity to rethink your product offerings, services, or business models. A flexible IT foundation ensures that as you shift direction, your technology can likewise shift and scale to meet new needs.

“Pivot! PIVOT!”

Like carrying a couch up a flight of stairs, the ability to pivot is crucial for long-term success. Building flexible foundational IT systems is essential for supporting business growth, adapting to new opportunities, and navigating the complexities of the post-acquisition landscape. By ensuring that core systems like data warehousing, ERP, and integration capabilities are flexible and scalable, you can position your company for success in an ever-changing market.

Ready to get agile? Give us a shout  — we’d love to help you and your company find your feet and be ready to gain a competitive advantage as you move beyond the TSA and take control of your IT infrastructure!