To deliver superior returns, Private Equity and Venture Capital (PE&VC) investors transform the companies they acquire and substantially improve their performance – Winning PE&VC strategies rest on fundamental business improvements.
The first six to twelve months after the deal is an important time for PE&VC backed businesses. During this time boards must rapidly form as a new team and identify and align objectives and agree a plan of transition.
At Crelos, we have a thorough understanding of the PE&VC markets and as a result we have designed services for firms which have decided that investment in developing their human capital will be a source of competitive advantage.
Using clear criteria and benchmarks we have developed over time, we show individual leaders and leadership teams how their current capability compares to leaders of high growth and high performing business units.
By using an innovative and often challenging environment we help generate new ideas and perspectives and give them the tools to develop, flourish and substantially enhance their performance as part of a high performing executive team.
To be successful boards must be experts at Integrated Thinking. In complex and competitive organisations the board must benefit from the diversity of its individual leaders each bringing critical and challenging thinking. The more diverse the thinking the more the opportunity for superior strategy to evolve. However, the challenge comes not just in the breadth of opinion and information but in the board’s ability to avoid sham conversations, Group Think and power dynamics.
Most boards need to be schooled in the behaviours required to affect proper strategic thinking. This requires them to truly understand the mental processes and necessary behaviours to maximise the intellectual horse-power of the team. A proportion of any board’s time should be committed to enhanced awareness of inadequacies, weaknesses and strengths.
Our senior consultants support leading teams by facilitating their interactions. Using our expertise in team dynamics and behaviour and drawing from the information generated during the assessment phase, we enable PE&VC firms to make use of the assessment information and leaders to train their boards to interact in a very efficient manner and turn the team into a high performing one.
'80% of the 1,000 plus VC-backed firms in the UK are still loss making, and 25% have no revenues. The financial crisis and historic under performance have caused investment in UK VC funds to dry up and the chief contributor to poor performance is, to one degree or another, the failure of the management teams of portfolio businesses.'