As the economy continues to recover and grow, so has the number of mergers and acquisitions. 2015 showed a nearly 40% increase in dollar value over 2014 and 2016 is already strong – some experts project that M&As will hit 5 trillion.
Whether your company is on the dominant side of the merger or the one being absorbed, creating a systematic plan for security and data breach prevention is essential. From the initial approach to regulatory reviews conducted before closing to post-merger IT integration, every area of potential data breach must be evaluated and a responding action implemented. Developing a strategy for ensuring data privacy and security within the business plan is essential, including each of the following key elements:
Regulations: Is the merger prepared for new compliance issues as well as marketing and tracking options – especially in the following situations?
- Does the merger include expansion into either new geographic regions for the existing market or even into new industries?
- Will new products, services, or technologies, or consumer demographics be added?
- Does the merger involve markets with intense regulation, such as finance or healthcare?
Information security policies: Has documentation been established for security design and implementation involving the following?
- Managing access – What systems are currently in use for each company and which will be established as the standard for the merger?
- Customer data – From encryption to authentication to established limits of access, what customer privacy protection plans will be implemented?
- Domestic and international laws and regulations – Are you clear on which ones apply to the collection of consumer information? How will consumers’ personal information be collected, used, stored, disclosed, managed and discarded according to the strategic direction of the company?
From the practical application of business functions to specific areas of proprietary information and data privacy for consumers, clients, employees, etc., building a solid, trustworthy wall of security protection is a primary pillar to any successful merger. Don’t leave it to chance. You place a high priority on hiring top talent for all your C-level management; it is equally crucial to engage top-tier IT talent to implement and secure all systems involved during a merger and acquisition.
Cynergies Solutions is your best choice for obtaining top-tier IT talent. The vendor of choice for Fortune 500 companies across the US, Cynergies Solutions had earned a reputation in the IT industry as the firm that attracts, hires, and retains, the best and brightest IT professionals. When security matters – and it always does – we deliver tailored solutions to help our clients maximize the value of their investments – including M&A. Contact Cynergies Solutions today.