Background and Challenge

L.E.K. Consulting was engaged by a major power generator retailer to manage the integration of one of Australia’s largest power stations and an accompanying mine. The acquisition, valued at more than $3B, was a core component of the client’s portfolio development strategy.

Approach and Recommendations

We established an Integration Management Office (IMO) and developed a suite of program and process management tools to help 12 functional work streams complete the transition.  Numerous ‘day one readiness’ initiatives were identified and successfully delivered, including several dedicated processes established to navigate the complex requirements posed by the tax and regulatory environment. Subsequent to the deal-close, we led the development and prioritization of more than 60 additional strategic initiatives targeted at effectively positioning the new asset within the client’s energy portfolio and driving performance improvement across several core business processes.

Results

We provided our client with a strong integration architecture, including the required training for the integration office personnel to manage the delivery of strategic changes on an ongoing basis. Our management of the IMO and transition program assisted in a successful transition with minimal business disruption pre- and post-acquisition. Our client successfully realized its synergy targets.

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