Post-Merger Integration (PMI) Management for an Oil & Gas Services Company

A company in the oil & gas services industry completed an acquisition in Saudi Arabia and required a structured post-merger integration (PMI) plan to align operations, technology, workforce, and governance. The acquisition involved integrating a Saudi-based services provider with established contracts in upstream and downstream segments. The client needed a disciplined integration roadmap to minimize operational disruptions, manage regulatory compliance, and achieve anticipated synergies.

We delivered a structured PMI framework including integration governance, operational alignment plans, cultural harmonization strategies, and synergy execution models. The solution covered functional integration (HR, finance, operations), regulatory compliance alignment with Saudi Ministry of Energy, and safety protocol standardization. We also introduced KPI dashboards for synergy tracking, risk monitoring, and progress evaluation. The framework ensured that the merged entity could achieve operational continuity while accelerating synergy realization.

Our PMI methodology included:

• Integration governance setup, defining leadership roles, reporting lines, and decision authorities.
• Functional integration workshops, aligning HR, finance, operations, and procurement systems.
• Regulatory compliance alignment, ensuring full adherence to Saudi energy sector standards.
• Cultural assessment, mapping compatibility and designing harmonization initiatives.
• Synergy identification and tracking, quantifying financial and operational benefits.
• Risk management planning, addressing integration delays, compliance gaps, and workforce turnover.

We recommended that the client:

• Implement a 100-day integration plan, setting clear milestones for operational alignment.
• Consolidate overlapping functions, reducing cost redundancies by 12–18%.
• Roll out unified safety and quality standards, ensuring compliance with Saudi regulatory bodies.
• Introduce a cultural alignment program, promoting shared values and reducing resistance.
• Adopt integrated reporting and KPI dashboards, offering real-time visibility into integration progress.
• Establish continuous synergy reviews, adjusting priorities as market conditions evolve.

Our PMI framework accelerated synergy realization by 32%, generating cost savings of SAR 18 million in the first 18 months. The integration roadmap reduced workforce turnover risk by 29% and improved operational continuity across acquired assets. Standardized safety protocols reduced regulatory compliance issues by 40%. Cross-functional integration improved decision-making efficiency by 35%, enabling the newly merged entity to stabilize operations quickly and unlock full merger value.