CISCO Case Study – Essay Example
CISCO Case Study Table of Contents Analysis of the Case Study 3 Bibliography 4 Analysis of the Case Study The major challenge in acquiring Summa had been the fact that Summa Four was a very small company in comparison to the Cisco, which makes a huge difference. Another challenge for Cisco was the level of influence that Summa Four employees would be able to exert within the Cisco. Moreover it wasn’t clear as to what role Summa product would play among the Cisco offering. The biggest challenge would be sought after the post acquisition integration of Summa Four as the company is located in remote location which makes it complex for Cisco. Added to these Summa Four’s line of legacy products and its number of employees were the major challenges that would be faced by Cisco. Summa Four’s parts sole-sourcing can again be the biggest challenge as there would be suppliers’ risk as well as price risk.
Yes, Cisco process would definitely be able to address these challenges. Cisco’s process of integration is quite unique which provides greater flexibility to the acquired company. Its process entails that Cisco makes sure that the acquired company was a part of Cisco from the day the deal was closed. They also knew that the changes will have disruptive effects. Therefore it had an integration team who could tackle these tasks.
Cisco’s acquisition and selection can be improved by identifying the areas of deficiencies and then modifying the process. The missing part is that it has not followed proper steps that must be followed in acquisition. One factor that should be taken into consideration when acquiring such a small company is that of a face to face meeting with the management of the company which is to be acquired.
Harvard Business School. Cisco Systems, Inc.: Acquisition Integration for Manufacturing (A) Harvard Business School, 2000.