One of my favorite areas of discussion with Private Equity Operating Partners is how they use their past experiences to add value to portfolio companies when they may not be an industry expert. I recently had a chance to have a conversation with Dave Logan who has been an Operating Partner for the last 10 years working with both the Cleveland based Riverside Company and the Boston based Fort Point Capital Partners. Chief Outsiders has had the opportunity to work with Dave on portfolio companies owned by both of these firms.  

How can you get the founder and family of the company that you just acquired to change their way of thinking?  Your private equity firm has just bought this great little company with the plan to turn it into this great big company.  You can do that because you and your firm can bring assets to bare that you know will drive this company like it has never been driven before.  The only problem is that people driving the bus have never driven like that. 

One of the challenges that all Operating Partners face is finding the balance between being a representative of the Private Equity “owners” and helping the portfolio company leadership team get stuff done.  This can be particularly difficult when the area the company needs help in relates to things like sales leadership or sales management.

The former President of Nielsen Holding joins the Chicago-based private equity firm to help source and develop opportunities in data and business analytics.

Madison Dearborn Partners recently announced that John Lewis, the former Global President of Nielsen Holdings, will join the firm as an Executive Partner to help find and manage information services opportunities.