Lessons from Private Equity Any Company Can Use

Develop the Blueprint

At the end of strategic due diligence to assess a company’s full potential, as described in the previous section, the PE buyer has a good sense of “how high is up” and what few core initiatives will lead the way there.

Let’s assume that you have conducted a strategic due diligence on your own company. As a result, you now have a clear sense of your organization’s capabilities and potential. Like the PE buyer, you have identified a short list of the highest-potential initiatives in the company—the areas that deserve systematic investments and attention in the near and middle term, to ensure the highest possible return within three to five years.

Now the goal is to make that real. This is accomplished through the development ...