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Our Portfolio Management Programme (PMP) is a proprietary programme designed to drive operational value in our portfolio companies. PMP supports our investment teams, operational resources and portfolio company management in the development and implementation of our value creation plans. As we evaluate investment opportunities and support our management teams, we apply the knowledge we have gained through investing in over 240 companies over the last twenty years and share best practices across our combined portfolio.
Path to Value
Prior to investing in a company and immediately post-investment our team of professionals work with company management to develop and implement a value creation plan that will allow us to meet or exceed our investment objectives. We work hand-in-hand with management teams to develop a shared view of the company’s highest impact priorities and critical business metrics. We then work with company management to achieve these objectives through:
- 90-day plans
- 3- to 5-year strategic blueprints
- Procurement aggregation
- Business and financial tracking tools
Sharing Best Practices
With our global footprint, smaller company focus and sector orientation; we see the world a bit differently than our private equity peers. Having invested in over 240 companies we have seen what works and what doesn’t work, and we actively share these best practices with our portfolio companies. Our PMP team has developed best practices for global supply chain management, financial reporting, corporate governance, talent management, global sales and marketing, risk management and offshoring.
Smaller Companies Going Global
Managing a global supply chain and supporting a global customer base can be a daunting proposition
for smaller companies. We make this possible through PMP. PMP works closely with our Baird Asia
resources and portfolio company management to identify and harness opportunities created
by globalization.
Procurement Aggregation
In addition, PMP uses the consolidated purchasing power of the portfolio to achieve cost savings and enhance service for our companies. Group purchasing and strategic sourcing often represents an important but unappreciated opportunity for smaller companies. We leverage the size of the portfolio to develop competitive and portable agreements with leading suppliers and service providers. We have implemented shared procurement programmes in all non-strategic materials/supply areas including:
- Insurance
- Transportation and logistics
- IT and telecommunications
- Indirect materials and services
Portfolio Monitoring and Analysis
We compliment monthly Board reporting with a disciplined quarterly portfolio review process to
proactively review our companies and understand the key value creation levers. The PMP team works
with company management and the investment team to track, evaluate and respond to the needs of
our portfolio companies. |
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