IT DUE DILIGENCE
Uncover the key technology risks of your investment
WHAT IS IT (TECHNOLOGY) DUE DILIGENCE
Investment in a tech company can bring exciting new opportunities, but it certainly poses a risk if not carefully done. There are great number of cases when the acquirer and the target company do have a synergy in their strategy and financials, but fail to meet their growth ambitions, due to unexpected complexity to integrate and scale the technology and operations. One of the reasons is giving too little importance to IT during the acquisition process.
Today more than ever businesses' success rely on the success of their software products. Therefore, critical review of the outlook of the investment from technology point of view becomes an essential part of almost every acquisition process.
This is what IT Due Diligence aims for. IT Due Diligence is an assessment process of the IT maturity of the target organisation with the goal to
Identify any technology risks of the target company.
Understand the technology value of the target company.
Gain insight in the the future outlook of the target company and its potential to scale.
We evaluate various aspects of the target company's product development, covering all areas - strategy, people, processes and technology. Our goal is to answer the following questions:
Effectiveness: Is there an effective, scalable product strategy and an execution that follows this strategy.
Efficiency: Are processes optimised (e.g. standardised or automated) to allow scaling the development.
Quality: Are the products future proof and of high quality to support the future business needs.
Profitability: What is the financial benefit of the products developed and the financial future outlook.
A typical engagement takes three to four weeks, but it can be adjusted depending on the timelines available and the scope of the work.
Every case is unique, and we decide together with our customer how to conduct the assessment in the most cost-effective way. Depending on the growth stage in with the target company, or the type of technology, we advise which areas require extensive or just high-level investigation.
IT Due Diligence Quick Scan
When only an initial high-level impression of the potential acquisition is needed to make any further decision, and IT Due Diligence Quick Scan can be the right solution. We commit to get maximal value within short timelines and with limited effort.
We start with understanding the strategic objectives of the investment, and agree on a cost-effective approach to conduct the evaluation.
The outcome is an in-depth report highlighting the technology risks of the investment, the potential of the target company to scale accompanied with advice on improvement in case of a go decision.