Interim Executive Hiring and Private Equity – Market Outlook

Glen Johnson, Head of Odgers Interim’s US industrial practice, explains how we identify executive candidates with the right skills and mentality to deliver crucial portfolio company roles for our Private Equity clients.

I’ve observed that our client mix has grown in support of private equity firms. The appetite for an agile executive solution to support buy side due diligence, and portfolio company talent transformation is gaining ground.

Odgers Interim has successfully placed many great candidates with PE portfolio companies globally. Hardly a surprise, considering we work across more sectors than any other interim provider in EMEA, with deep in-country networks and offices in 19 countries, and have an established US presence to support our global clients and US domestic businesses too.

We have built our global reputation on the back of functional and sector experts skilled at providing change, transformation, and gap management interim resource solutions at very short notice. That infrastructure will remain, and the time is ripe to put an even sharper focus on the particular demands of senior interim positions in PE portfolio companies, whether that be a Houston-based green-manufacturing company head of SCM, the CEO of a retailer in Pittsburgh, or the CFO of a Zurich-based life sciences business. Or nearly any combination of senior role and global location you care to imagine.

We understand that the PE world has its own pressures and timeframes, often driven by the demands of an exit strategy. This calls for senior talent able to deliver transformational change, carve outs, scale ups, M&A activity, and more, at pace.

Candidates able to thrive in such challenging circumstances possess not only the appropriate skill set but also a suitable mindset. We form deep relationships with these accomplished interim executives who have a strong track record. Our global outreach is enabled by advanced technology and collaboration with our Odgers Berndtson Partners across continents to ensure we identify and recommend candidates who have what it takes.

Candidates who perform well in PE portfolio companies relish challenges and are comfortable with change. They have a different mindset from executives who prefer the stability of permanent roles. I often say our talent “parachutes into chaos and crisis” and solves challenging transformational needs. They need to be resilient and must have good people skills.

Although the economic situation remains challenging, this is an exciting time for many portfolio companies with investments across the US in different sectors. Optimism is more widespread than some might assume. Management consultancy Roland Berger’s European Private Equity Outlook 2023 finds that almost 60% of private equity experts expect the financing environment to ease in the medium term and investment activity to pick up.

In a fast-changing world, having the right talent in place can make all the difference. Corporate Leadership Council High-Potential Management Survey data shows that only 29% of high performers are able to be successful when faced with new/different challenges, while the Odgers Berndtson Leadership Confidence Index finds that only 14-17% of respondents are confident they can manage disruption successfully.

Were that research to be conducted among a global pool of interim leaders, confidence levels would, I am certain, be far higher. Why? Because interim executives are typically brought in to deal with messy situations and thrive on adding instant value during periods of transformation and change.

Odgers Interim has a deep understanding of interim candidate mindset, and we are in a unique position to support PE organizations due to our size, market knowledge, and ability to accelerate positive outcomes. If you are interested in learning more about our interim executive solutions, please contact me directly to schedule an informational conversation. glen.johnson@odgers.com