Interim Management After Acquisition of YOOCHOOSE by eZ Systems

Introduction

YOOCHOOSE is an e-commerce service company offering a SaaS solution that enables online shops to create a personalized shopping experience through individualized product recommendations, search results, and newsletters. eZ Systems is a Norwegian provider of CMS and DMX enterprise software. The eZ Platform Enterprise, based on the open-source software eZ Platform, can be used both as SaaS and on-premises.

The Challenge

Following the acquisition of YOOCHOOSE by eZ Systems, a post-merger and acquisition project needed to be initiated. The main objectives were:

• Integration of the Recommendation Engine: The recommendation engine developed by YOOCHOOSE was to be integrated into eZ Systems‘ future DXM (Digital Experience Management) portfolio.
• Transfer of SaaS Operations: The operation of the SaaS solution needed to be incorporated into eZ Systems‘ IT organization.
• Knowledge Transfer: Existing expertise in cloud operations was to be transferred to eZ Systems.
• Customer Integration: YOOCHOOSE’s existing customers were to be transitioned into eZ Systems‘ sales and support organization and developed into DXM customers.

Solution Approach

To successfully accomplish these tasks, an interim takeover of the CTO and Product Manager roles was conducted. This allowed for effective coordination and management of the various tasks. The primary goal was to adapt the recommendation engine so that it not only provided product recommendations but could also be used for content personalization. This required seamless access to the CMS content via an API.

Approach

1. Connecting the Recommendation Engine to the CMS: Technical foundations were established to link YOOCHOOSE’s recommendation engine to the API interfaces of eZ Systems‘ CMS. This enabled direct interaction between the engine and the content management system.
2. Transfer of Operations: Parallel to the technical integration, the operational management of the SaaS solution was handed over to eZ Systems‘ IT department. This included transferring knowledge and processes related to cloud operations.
3. Merging Developer Teams: YOOCHOOSE’s development team was merged with eZ Systems‘. This facilitated knowledge transfer and unified development processes.
4. Establishing a Stable Production Chain: Once integration and operations were stable, product development was handed over to eZ Systems‘ portfolio management. This ensured continuous development within the existing product portfolio.
5. Customer Transfer: The transfer of customer contacts was executed gradually and as needed. YOOCHOOSE customers were integrated into eZ Systems‘ sales and support structures and systematically transitioned to DXM products.

Results

• Successful Product Integration: A previously independent product was successfully incorporated into eZ Systems‘ existing portfolio, significantly contributing to the transition from the classic eZ CMS to the modern eZ DMX.
• Unified Operations and Knowledge Building: The transfer of operations and expertise made a substantial contribution to building cloud competencies within eZ Systems‘ IT department.
• Leveraged Synergies: Combining the customer bases from e-commerce and CMS sectors allowed for the exploitation of synergy effects. This led to acquiring initial DXM customers and uncovering new business opportunities.

Conclusion

The targeted interim management following the acquisition of YOOCHOOSE enabled smooth integration of technologies, teams, and customers into eZ Systems‘ structures. Adapting the recommendation engine for content personalization expanded the product portfolio and strengthened eZ Systems‘ position in the digital experience management market.

The successful knowledge transfer and unification of operations increased efficiency and improved internal cloud competencies. The strategic integration of the customer base opened new avenues for cross-selling and customer retention.

This case highlights the critical importance of effective post-merger management to fully realize the value of an acquisition and ensure sustainable success.