Member Thought Leadership
In private equity, replacing the leadership team post-acquisition is often seen as standard operating procedure. The assumption? New ownership requires new direction, and that begins at the top. But in their rush to transform, many PE firms fall into a familiar trap: misjudging the leadership potential already in place.
Rather than objectively assessing what the current team might achieve under new conditions, they rely on shortcuts and biases. Many firms default to familiar faces or high-urgency profiles without adequately assessing cultural alignment or long-term capability.
This article covers why private equity firms consistently misidentify leadership potential, and how it quietly undermines long-term value creation. Topics include:
- The Myth of the “Playbook Executive”
- The Urge to Signal Control
- The Due Dilligence Distortion
- A Smarter Way to Assess Executive Talent
- And more!
