MAST013

Broad Target Pipeline vs Screening Efficiency

Business ContextA broad target pipeline increases the probability of identifying attractive opportunities, but evaluating too many companies can consume corporate-development resources and reduce screening quality. Excessive narrowing, however, can cause valuable targets to be overlooked.

Mergers and Acquisitions TRIZ ResolutionUse progressive screening layers rather than applying full evaluation to every target. Automated data filters and predefined strategic criteria can eliminate low-priority candidates early while increasingly detailed analysis is reserved for targets that pass each stage.

Applicable TRIZ Principles

Principle 1 – Segmentation divides target screening into progressively deeper stages.

Principle 10 – Prior Action establishes screening criteria before building the pipeline.

Principle 23 – Feedback continuously improves screening criteria using transaction experience.

Expected Outcome

Broader opportunity coverage

Faster target screening

Better analytical resource allocation

Higher-quality acquisition pipelines

Decision IndicatorsEarly indicators that this contradiction is limiting M&A performance include:

Large numbers of targets remain under active review.

Analysts repeatedly perform detailed work on low-priority companies.

Screening time increases as the pipeline expands.

Attractive targets are discovered late despite extensive sourcing activity.

Acquisition teams cannot explain why certain targets remain in the pipeline.

Monitoring these indicators helps maintain broad market coverage without overwhelming screening capacity.