What Lies Ahead for Executive Search?
Heiner Rutt Mergers and acquisitions mean change, including in top management. The typical profile that portfolio companies of private equity firms look for includes an Anglo-Saxon/US management style, because the thinking involved in this sector lends itself to this type of management style; in depth financial skills and understanding; a detailed knowledge of business; strong organisational skills; entrepreneurial qualities; and an international/cosmopolitan outlook. The management style in private equity firms is intense; managers tend to review the figures rigorously, day and night, because their commitment is personal. Private equity is chiefly concerned with value. A traditional way of creating value was via multiple trading, which is valuable but rarely happens now. Value can be increased by either growing the business or cutting costs. Private equity people do not take dividends during the length of the deal; they leave the money in the company and focus on regeneration. A short
