The Challenge
In 2022, APi Group, a North American provider of safety and building-related services, acquired Chubb Fire & Security Ltd., a global fire safety and security solutions provider headquartered in the UK.
As part of the acquisition, APi Group negotiated an extensive set of transitional services agreements (TSAs) that covered technology, finance, tax, treasury, and HR services for an initial 12-month period.
To separate from Chubb’s parent company, the deployment required a greenfield tech estate and a new network that could accommodate Chubb’s geographically diverse organization.
To avoid TSA penalties and ensure timely fulfillment of the separation agreement, APi Group needed an implementation partner that had the technology and M&A expertise to hit the ground running, and fast.
Our Objective
With a significant incentive for timely completion, APi Group engaged with Deloitte based on previous experience with the firm.
The Deloitte team was tasked to:
- Rapidly create a technology blueprint to transition Chubb to a robust, standalone IT service model, encompassing networks, hosting and applications.
- Establish a secure, scalable, and modern global IT stack to enable Chubb's carve-out, leveraging modern and future proof technologies.
- Transition Chubb to a dedicated OCI ERP platform from its JDE shared solution.
- Develop and execute a robust TSA exit strategy, ensuring a smooth transition to Chubb's target operating model and effectively managing vendors, and risks.
- Leverage existing experience and accelerators to create a unified, synergistic IT landscape for Chubb's future growth.
To separate from Chubb’s previous shared services model, Deloitte helped APi Group build and migrate to a new global technology infrastructure from scratch in under a year.
Solution
To stand up a greenfield, end-to-end enterprise that unified their entire technology estate, APi Group and Chubb needed to design, build, and merge numerous technologies.
Uniting a global organization
To achieve a seamless tech estate, resources from both Deloitte US and Deloitte UK:
- Built a critical data bridge from the US to the UK between APi Group and Chubb
- Leveraged deep technology expertise to establish a separation program to steer all of Chubb’s global operations across 17 countries
- Aligned on separation priorities, including defining governance, working with key suppliers, sequencing the major bodies of work, establishing cost reporting, and managing steering committee dynamics
More than a lift and shift of data
Previously, Chubb relied on shared services, underpinned by several Microsoft technologies, from their former parent company. When combined with their diverse geographies, the company was saddled with multiple cloud providers, technology platforms, and on-prem technical debt.
In standing up a brand-new tech estate, Deloitte delivered seamless, end-to-end integrations that were aligned with industry best practices, as well as the TSA requirements. Throughout the journey, where possible Deloitte modernized their complex multicloud environment and standardized their Microsoft technologies through various data migrations.
Process
Deloitte expertise across multiple domains— including cyber, finance, HR, treasury, tax, legal, synergies, and cost reporting—contributed to the success of APi Group and Chubb’s technology implementation post-separation.
Managing M&A complexity
Within a few days of engaging Deloitte, practitioners met with APi Group and Chubb teams to conduct workshops. Because of the narrow TSA deadlines, navigating the project handover from an incumbent firm, and a limited ability to engage with the program ahead of time, Deloitte brought on board extensive M&A insight and practical knowledge to help steer both companies through the transition.
Technology design and separation
To keep up with the pace of M&A separation, Deloitte teams worked fast to:
- Deploy new corporate network to help serve as the foundation migrating sites, applications, software, employee records, and data
- Retain a team of up to 20 full-time Deloitte employees to complete transfers and migrations from various Microsoft data and application sources
- Establish the new ‘standalone’ IT environment, including Cybersecurity and Five global network hubs
Outcomes
In under 12 months, APi Group achieved a complete separation from Chubb’s previous technology estate in compliance with the TSA deadlines.
Chubb gained an entirely new standalone IT infrastructure that was based on Cloud first and ‘zero trust’ principles, as well as migrations of their Microsoft 365 products. Throughout this multi-faceted program, APi Group received continued support and guidance on M&A best practices, along with clear program sequencing, milestones, and an effective global program structure.
Through seamless cross-border collaboration between API Group, Deloitte’s US and UK member firms, Chubb is positioned for accelerated growth, restructuring initiatives, and further transformation efforts that can help propel the organization forward. Throughout the complex design, build, and migration phases, Chubb’s customers experienced minimal impact and business continuity objectives remained intact.
By the Numbers
500
Applications migrated and 190 applications retired
14k
Microsoft software installations
12k
Chubb employees migrated to Microsoft 365
13
Successful ERP cutovers
240
Global sites network separation
$3.1 BN
Transaction value
The breadth and depth of work required on this program was far greater than we initially anticipated. Deloitte brought in their top talent and, together with the APi team, worked tirelessly—often shoulder to shoulder—through every challenge and milestone. At no point did it feel like two separate organizations; rather, we truly operated as one extended family, navigating both the highs and lows together. This spirit of collaboration was a defining factor in our success.
- Rajesh Bhat, Chief Technology Officer, API Group
