Integration

in-tih-GRAY-shun /ˌɪntɪˈɡreɪʃən/
nounB2GREGMATTOEFLIELTS
formalbusiness

The action or process of combining two or more things in an effective way, especially in business, the process of combining different parts of a business into a whole after a merger or acquisition.

This is the crucial post-M&A phase where operations, cultures, systems, and personnel are blended to realize the intended benefits (synergy) of the transaction.

The story behind the word. The word 'integration' comes from the Latin 'integrātiō,' meaning 'renewal' or 'restoration,' which itself stems from 'integrare,' meaning 'to make whole.' When companies undergo integration, they are literally striving to make two separate entities 'whole' again, blending their operations and cultures into a unified, functioning unit.

Word relationships

  • Unification: Bringing together into a single unit, often implying a more formal or political context.
  • Consolidation: Combining into a single, more effective whole, often used for financial statements or smaller entities.
  • Separation: The act of dividing or splitting apart.
  • Fragmentation: The process or state of breaking into small or separate parts.

Commonly confused with

  • Merger: A merger is the transaction of combining companies; integration is the process of making them work as one after the merger.

Word family

  • integrate (verb): To combine (one thing) with another so that they become a whole.
  • integrated (adj): With various parts linked or coordinated.

Collocations

  • post-merger integration
  • successful integration
  • cultural integration
  • system integration
  • seamless integration

Example sentences

  • "The success of the merger hinges on effective integration of the two companies' disparate IT systems and corporate cultures." Discussing post-merger challenges.
  • "The integration of new technologies into our workflow has significantly improved efficiency." In a general business context.

Memory hook

To 'INTEGRATE' is to make things 'INTO A GREAT' whole. INTEGRATE = make WHOLE.

When not to use

Do not use 'integration' for simply adding a new component without fully blending it into the existing structure. It implies a deep, systemic combination.

Fun facts

  • Cultural integration is often cited as one of the biggest challenges and reasons for M&A failure.

Related words

Merger, Acquisition, Synergy

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