Private equity firms are snapping up brand-name companies and assembling
portfolios that make them immense global conglomerates. They're often
able to maximize investor value far more successfully than traditional
public companies.
How do PE firms become such powerhouses? Learn how, in Lessons from
Private Equity Any Company Can Use. Bain chairman Orit Gadiesh and
partner Hugh MacArthur use the concise, actionable format of a memo to
lay out the five disciplines that PE firms use to attain their edge:
- Invest with a thesis using a specific, appropriate 3-5-year goal
- Create a blueprint for change--a road map for initiatives that will
generate the most value for your company within that time frame
- Measure only what matters--such as cash, key market intelligence, and
critical operating data
- Hire, motivate, and retain hungry managers--people who think like
owners
- Make equity sweat--by making cash scarce, and forcing managers to
redeploy underperforming capital in productive directions
This is the PE formulate for unleashing a company's true potential.