Amid economic uncertainty, rising borrowing costs, AI disruption and extended hold periods, operating partners need a refreshed set of skills and attributes. The archetype of an operating partner – someone with broad industry experience and extensive connections, who gets installed as chair of a portfolio company’s board to cast a watchful eye and to mentor the CEO – is looking more and more outdated. After all, these days operating teams need to demonstrate that their efforts really do fire up portfolio company growth, create value and ultimately deliver the returns LPs expect, all in an economic environment that’s far less forgiving than private equity has long been used to.
Source: PE International · Summarized by HeadlinesBriefing