Focus, timing, and above all, a cool focused mind are crucial to a successful deal execution. Deal professionals with a high level of execution recognize miscommunications when they happen and clearly communicate complex concepts in writing, take note of details, resist the urge to omit complexities and, when necessary, exert a calming influence on the people surrounding them. This is not just because of their expertise in investing but also an array of specializations.
Deal execution is what converts an acquisition plan into a closed deal from identification and screening to final negotiations and integration. Investors need to be able to manage the entire process, which can include a gated investment approval, a multi-staged due diligence process, and a 100-day operating plan. Access to global capital markets is the key to enabling this but there is various other factors that constitute an effective execution toolkit including a clear strategy, appropriate resource allocation and incentive programs as well as a strong emphasis on culture and expertise.
Keep in mind that the other side is experiencing the same emotions that you are. It can be easy to let perceived annoyances and misunderstandings undermine negotiations. To avoid this it’s best to begin negotiations with an attitude that is open to the possibility of concessions – but always ensure that you offer something valuable in exchange. This could take the form of a new asset or a more flexible deadline, or even a commitment to working with each other for a long time.