The Integrity of the Deal: Why Integration is the Ultimate AEC Growth Multiplier
In AEC, structural integrity is non-negotiable. We build systems designed to withstand pressure, environmental shifts, and the test of time. But what happens when we apply that same structural lens to a merger? Too often, firms focus on the “architecture” of the deal, such as the multiples and the contracts, while neglecting the “foundation” of the people and the culture.
The reality is that AEC M&A post-acquisition integration is where deal value is either multiplied or lost. To explore what a world-class integration looks like, I sat down with Sandy Matthews, Director of Integration at Salas O’Brien, for the latest episode of AEC Unscripted: M&A Edition.
Sandy’s journey is a masterclass in the “One Team” philosophy. A structural engineer by trade, she transitioned into leadership after her firm merged with Salas O’Brien in 2020. Today, she leads integration for one of the most acquisitive and successful firms in our space, having navigated over 20 deals since early 2024.
Defining Success: Aligning “Hearts and Minds”
In engineering, success is a building that stands. In M&A, I believe success is a unified team that collaborates seamlessly across offices. Sandy emphasized that integration is not just a checklist of IT tickets; it is about making people feel like they are part of something bigger.
“It’s not about the success of one piece; it’s about the whole,” Sandy shared during our talk. This “One Team” vision ensures that acquired firms are not just service pillars, but integral parts of a cohesive, high-performing culture. For firms looking to scale like Salas O’Brien, this level of alignment is rarely accidental; it requires a robust Strategy Planning framework that begins long before the letter of intent is signed.
The “E-Bike” Lesson: Listening for the True “Why”
One of the most profound takeaways from our conversation was Sandy’s “E-Bike” analogy. When her son asked for an e-bike, she listened to the “why” behind the request. He was not just looking for a bike; he was looking for freedom and connection with friends.
In an M&A context, sellers often have “must-haves” that go beyond the financial offer. By listening to learn, rather than just to respond, buyers can identify these core motivations. Whether it is preserving a design legacy or providing better growth opportunities for emerging leaders, addressing the true “why” builds a foundation of trust that no contract can replicate.
Diagnosing the Right Fit: The Beer Test vs. The Dinner Test
In a previous episode with the leaders of Delawie, we discussed the importance of the “Beer Test,” a simple yet vital assessment of whether you can have a meaningful conversation about something other than the deal. For Salas O’Brien, this concept evolves into the “Dinner Test.” Their litmus test is even more intentional: Do I want to take this person and their spouse to dinner?
While the setting might change, the objective is the same: diagnosing cultural alignment before the deal closes. A successful partnership depends on finding leaders who are not just looking for an exit strategy but are seeking a platform to scale their local business and invest in their people. A major red flag is a seller who is purely focused on the transaction rather than the transition. The most successful integrations involve firms that want to remain in the business, leveraging the new partnership to provide their employees with better resources and clear pathways to leadership. When a seller prioritizes the professional growth of their team, the operational integration follows much more naturally.
The Power of the Strategic Pause: Solving the “Square Peg” Tech Problem
A common misconception I encounter is that speed equals success. While Salas O’Brien moves with incredible velocity, they are also masters of the Strategic Pause.
Sandy and I discussed the importance of a tailored playbook. When integrating a specialized team, such as a forensic engineering group, into a standard project-based ERP, it can be like fitting a square peg into a round hole. Forcing a technology transition too early can lead to data loss and operational burnout.
This is where the intersection of M&A and technology becomes critical. At SN, we help firms evaluate their ERP Solutions and Data Solutions to ensure that the back-office transition supports, rather than hinders, project delivery. Protecting a firm’s unique niche or market reputation often means hitting the pause button on branding or system transitions to ensure operational stability.
Practical Advice for the Integration Journey
Whether you are a buyer building an internal integration team or a seller preparing for Day 1, the Navy SEAL mantra applies: “Slow is smooth, and smooth is fast.”
- Invest in an Integration Team. Do not leave post-deal success to chance. Dedicated resources ensure a programmatic, repeatable process, especially if you plan to be highly acquisitive.
- Open the doors, let prospective partners talk to previous acquisitions. Transparency regarding the good, the bad, and the ugly is the best way to build credibility.
- Focus on the ripples. Every change has a ripple effect. Look at the whole experience of the team, not just a single system migration. Effective integration requires a comprehensive view of your talent retention to keep your most valuable assets engaged long after the contract is signed.
Listen to the Full Conversation
Integration is where the “magic” happens in M&A. To hear Sandy’s full insights on the Salas O’Brien way and how to build a “One Team” culture, I invite you to listen to the complete discussion below.
Ready to discuss your M&A strategy? From deal sourcing to post-closing value creation, our M&A Advisory team provides a continuum of services to support your business before, during, and after the transaction.
