Page 8 - Cannabis News Florida July 2022

Cover Story: Ask These Questions Before You Pursue an M&A Transaction

Continued from page 1
model for the combined company (e.g., measure it? Do you have any operational imperatives
• Does your strategy for the transaction degree of integration)? Are you prepared • Do you have a clear sense of your com- for the buyer (e.g., do you want a soft land-
align with your overall corporate strategy? to provide your integration teams a pany’s value? ing for your employees, how will you max-
• How much risk are you willing to take roadmap to facilitate integration planning? • Is the potential buyer the right fit? imize customer retention during the trans-
on? • Have you defined an integration man- • What is the expected impact on share- action, what is the buyer’s corporate cul-
• Have you been realistic about your agement structure to support the integra- holders, employees and patients? ture, etc.)?
ability to do the transaction in terms of tion and synergy capture planning and • How will the transaction impact the • Are there any strategic, revenue
access to resources? execution process? company’s reputation: positively or nega- enhancing and cost reduction initiatives
• Do you have a good understanding of tively? that have been identified or are already in-
Due Diligence the concerns that your stakeholders (e.g., • When and how will the deal be process that could increase the company’s
• What is the reputation of the company employees, customers, partners, etc.) may announced? valuation at exit? What is the status of
you’d like to acquire? have about the transaction? Have you those initiatives? Should you continue in-
• Have you completed diligence related developed a communications and reten- Due Diligence process initiatives?
to: tion strategy to address your stakeholder • Is your organization prepared to go • If you are divesting a business that will
- Synergies – Deal value drivers concerns? through a robust due diligence process need to be carved out, how entangled is
- People – Compensation strategy, cul- • What will it take to integrate the that encompasses legal, financial, opera- the business with the rest of your opera-
ture acquisition into your company’s culture? tional and compliance concerns? tions? Have you developed carve-out
- Technology – IT systems, 3rd-party Are the cultures aligned, and are they a • Who can management tap to support financials and defined the standalone costs
solutions good fit? the due diligence process? for the business? Have you determined
- Finances – Quality of Earnings (QOE) • How will employee roles and responsi- • How resilient are processes and sys- what transition services you are willing to
analyses bilities change with the deal? Have you tems throughout your organization? Is any provide the buyer? What will it take to
- Operations – SG&A, supply chain taken steps to ensure the right people will infrastructure single-person-dependent? operationally carve-out the business by
- Regulatory Compliance be in the right roles? • Have you completed a sell-side QOE transaction close?
- Go to Market Strategy • Are your technology systems compati- report? • What will it take to integrate with the
- Do the results of your due diligence ble? What support will be needed to inte- • Have you had an independent party do buyer’s operations?
investigations match with the information grate the technology systems, and what is diligence on your company? Have you
you were provided? the timeline for doing so? proactively addressed issues they identi- Alexander Binelo, Partner, The BDO Center
• Are there any outstanding issues with • What cyber and patient data privacy fied? for Healthcare Excellence & Innovation, can
the company that you need to be aware of? risks will come with the integration be reached at abinelo@bdo.com
If so, what steps has the company taken to process? Do you have a plan to address Operations or (786) 477-5418.
address them? and mitigate them? • Has the transaction perimeter or
“what’s in and what’s out” been defined? Contact:
Integration Strategy Which executives, key employees, cus- Alfredo Cepero, Managing Partner
• Have you defined the integration goals • Why are you selling your company? tomers and assets will be part of the trans- (305) 420-8006 / acepero@bdo.com
and priorities? Are they aligned with your • What are you looking to achieve from action?
transaction rationale and deal value driv- the transaction? Have you clearly defined • What are your criteria for a buyer? Angelo Pirozzi, Partner
ers? what success looks like and how you will Would you prefer a strategic or PE buyer? (646) 520-2870 / apirozzi@bdo.com
• Have you defined the target operating

Cover Story: ImageFIRST Partners with Clients

Continued from page 1 customers and to each other in delivering ognize how patients, visitors, and staff More Than a Vendor …
about how their ‘bedside manner’ impacts on our pledge to exceed client expecta- experience each aspect of a medical facil- A Partner
their success in connecting and establish- tions,” Juffre said. ity, their programs are designed to solve Finally, Juffre tips his hat to the for-
ing trust with patients, ImageFIRST steps “One of the notable changes post pan- common challenges, such as attrition ward thinking of ImageFIRST even in
in to help staff have that time to connect demic is that hospitals have begun to con- and product loss, fluctuating patient cen- the midst of the crisis. “We looked
with patients instead of looking for an iso- tact us, so we can support their linen sus, managing multiple contacts, and beyond the immediate crisis and set up
lation gown, traipsing to the hospital laun- needs within the four walls of the hospital more. nimble staffing and inventory procedures
dry to find clean scrubs, dealing with a to help them deliver inpatient care,” he “In fact, during the COVID crisis we to accommodate the next stage of when
patient’s discomfort due to an uncomfort- said, “prompting us to double-down on increased our associate head count by we predicted that providers would expe-
able or dirty gown, or worrying if the standard operating procedures.” approximately 25%; expanded our foot- rience a tidal wave of delayed, yet vital,
gowns or linens are sanitary. For example, ImageFIRST has increased print, acquiring several other companies elective procedures to schedule for their
Juffre outlined their 5-point product their management of safety and hygiene and processing facilities nationwide; and patients. We anticipated a future of high
quality metric. “Our clients receive a best practice programs, including cubicle accelerated our manufacturing of new demand for continuing worry-free assur-
‘Clean You Can Count On’ quality assur- curtain laundering schedules. They are products to combat supply chain ance of quality linens and staff and
ance process, ensuring that they get premi- also professionally monitoring scrub pro- delays,” Juffre summarized. patient apparel delivery, with the ulti-
um products, tested for quality and dura- grams, restocked on-site with UHF-RFID In marketing terms, the ImageFIRST mate focus being in maintaining safety
bility; the highest sanitizing standards, chip technology to track inventory and brand represents quality products and and cleaning procedures supporting
meeting company’s bright white standard; account for who, when, and for how long services which, in turn, is rewarded with a recovery,” Juffre asserted.
hand inspected, plastic-wrapped linens scrubs, mops, towels and linens are in use. year-after-year earned customer loyalty of When safety measures allowed, clients
and gowns and uniforms that are fresh and Customer Advocates can also more effi- 97.5% retention level. Their performance started to experience new demands to
clean. And, all our cleaning processes ciently handle and monitor needs through excellence is achieved as a result of an not only schedule expanded capacity for
must pass strict independent laboratory the innovative ScrubVAULT® System, increased focus on improving the human increased census, but also to attract and
testing,” he explained. which utilizes chip technology for experience within the customers’ facilities persuade the public that cleanliness,
Additionally, they manage client inven- enhanced trackability. – from the patients, to staff, and visitors. safety, and comfort awaited them for
tory according to hospital needs on an on- Sanitized scrubs and lab coats are In addition to keeping abreast of state- their hospital experience.
going basis by assessing both peak census always on hand – with a quick QR access of-the-art technology and operations, he “We are here to double-down on a
and slower time frames. Clients have a code – and customers can get automated credits the importance of ImageFIRST course of action to partner with our
dedicated Customer Advocate who pro- tracking for accurate reporting, thanks to culture for brand loyalty. clients in planning and implementation
vides on-site inventory management, the RFID chips in scrubs, curtains, “We made our plants safe; we ensure of operations which enhances the human
delivers and organizes clean linen and uni- microfiber and other products. our associates are not only safe but also experience in their practices, heightens
forms, and picks up soiled products. feel safe, so they come to work in spite of patient and staff satisfaction and sup-
A linen and laundry Customer Advocate Quality Brand Yields weather, environmental or other outside ports positive patient outcomes,” Juffre
can’t perform surgery, but ImageFIRST Customer Loyalty influences because they recognize the concluded.
staff can monitor and help sanitize and ImageFIRST specializes in the health- individual value they add to our cus-
eliminate 99.999% of pathogens on tex- care industry, giving them a unique under- tomers,” he explained. For more information, visit
tiles that could contribute to a negative standing of their clients’ requirements, “Our culture was tested during the past www.ImageFIRST.com
outcome. “Our team is dedicated to their needs, and challenges. Because they rec- two years … and we passed,” Juffre said. or call (800) 368-3676.

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South Florida Hospital News southfloridahospitalnews.com July 2022 21