Merger and acquisition expenditures exceeded $2.7 trillion worldwide in 2005
and are expected to grow through 2009. However, according to McKinsey and
Company, the big global strategy consultancy, "Half or more of the big
mergers fail to create significant shareholder value....
The sad conclusion is that an average corporate control
transaction...delivers little or no value in the return." The fact that such
astronomical levels of cash and equity are sunk into M&A activity when it can
put shareholders at risk is far from comforting.
Service Oriented Architecture (SOA) has become a common IT approach to bridge
the barriers of collaboration between business partners, customers,
suppliers, and different organizations in one company. The adoption of SOA to
connect dynamic b... (more)