We help you develop and execute
a post-industrial transformation strategy

Situation

Faced with increasing decentralization and technology disruption, private equity firms are aiming to continue creating investor value through disciplined analysis and execution. They are assessing threats to and opportunities for portfolio companies, transforming them as necessary, and hiring tech talent to do so. The most advanced practitioners are proactively leveraging industry disruption for value creation.

To adapt to the changing landscape, PE firms are appointing Chief Digital Officers, and leveraging support from external consulting partners in addition to in-house talent. They are also more actively considering technology as part of due diligence and value creation thesis development.

PE firms now face a number of difficult challenges. They must compete with Big Tech, startups, large corporations, and other PE firms when hiring technology talent. In-house technology literacy may be lacking, and portfolio companies often suffer from the same problem. Finding adequate consultants  and advisors can be a difficult.  Young innovators now also expect more autonomy in the workplace, which is not necessarily compatible with the top-down execution discipline that is characteristic of PE-owned firms.

We help funds develop and execute a post-industrial transformation strategy, including:

• Workshops for PE partners and portfolio company executives
• Assessment of disruption threat/opportunities
• Advisory services to update structure, processes, and practices
• Addressing cultural obstacles to change

A post-industrial strategy will:

• Help protect portfolio value
• Reduce the risk of technology disruption
• Positioned portfolio companies to exploit disruptive technologies
• Achieve market dominance
• Attract innovators
• Increase portfolio performance
• Defend (or cement) the firm’s role as a frontrunner

Relevant papers

Private Equity in the Post-Industrial Transition