CASE STUDY: Private Equity’s New Proving Ground: Operations and Supply Chain

Economic conditions are extending the time that private equity (PE) firms own their portfolio acquisitions.
Their primary focus has been shifting from financial engineering to value creation. Because of these changes,
purchasing and supply chain management activities have become prime proving grounds for PE company managers
who expect higher levels of profitability and liquidity from their portfolio companies. This article illustrates how and why that is being done, using an in-depth case example from the portfolio of one PE company.