1 Define success criteria

Before you close a deal, you need to define what success looks like for you and your stakeholders. This means setting clear and measurable goals, objectives, and key performance indicators (KPIs) that align with your deal rationale and strategy. For example, you may want to track revenue growth, cost savings, market share, customer satisfaction, innovation, or social impact. You also need to establish a baseline for comparison, such as historical performance, industry benchmarks, or peer groups.

2 Establish a governance structure

Once you have defined your success criteria, you need to establish a governance structure that will oversee and manage the deal performance and impact. This may include a steering committee, a project management office, a integration team, or a dedicated function. The governance structure should have clear roles and responsibilities, decision-making authority, escalation procedures, and communication channels. It should also coordinate and align the activities and expectations of the different parties involved in the deal, such as the acquirer, the target, the advisors, the regulators, and the employees.

3 Collect and analyze data

To monitor and evaluate the deal performance and impact, you need to collect and analyze relevant and reliable data on a regular basis. This may involve using various sources and methods, such as financial statements, operational reports, surveys, interviews, audits, or dashboards. You should also use appropriate tools and techniques, such as data analytics, business intelligence, or artificial intelligence, to process and visualize the data and generate insights. The data analysis should help you assess the progress and results of the deal against your success criteria, identify any gaps or risks, and determine any corrective actions or opportunities.

4 Report and communicate

Another important aspect of deal monitoring and evaluation is to report and communicate your findings and recommendations to your stakeholders. This may include preparing and presenting periodic reports, dashboards, or scorecards that highlight the key metrics, achievements, challenges, and lessons learned from the deal. You should also communicate effectively and transparently with your internal and external stakeholders, such as senior management, board members, investors, customers, suppliers, employees, or regulators. You should use various channels and formats, such as meetings, emails, newsletters, or webinars, to inform, engage, and solicit feedback from your stakeholders.

5 Review and learn

Finally, you should review and learn from your deal monitoring and evaluation process and outcomes. This means conducting regular reviews and audits to evaluate the quality and effectiveness of your data collection, analysis, reporting, and communication practices. It also means capturing and sharing the best practices, lessons learned, and success stories from your deal. You should also celebrate and reward the achievements and contributions of your team and stakeholders. By doing so, you can foster a culture of continuous improvement and learning, and enhance your deal sourcing capabilities and performance.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?