Abstract

The extant research on post-acquisition IT integration analyzes how acquirers realize IT-based value in individual acquisitions. However, serial acquirers make 60% of acquisitions. These acquisitions are not isolated events, but are components in growth-by-acquisition programs. To explain how serial acquirers realize IT-based value, we develop three propositions on the sequential effects on post-acquisition IT integration in acquisition programs. Their combined explanation is that serial acquirers must have a growth-by-acquisition strategy that includes the capability to improve IT integration capabilities, to sustain high alignment across acquisitions and to maintain a scalable IT infrastructure with a flat or decreasing cost structure. We begin the process of validating the three propositions by investigating a longitudinal case study of a growth-by-acquisition program.

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