London
The Private Equity Case: Strengthened Exchange through a Board Chairs Forum
How a targeted cross-portfolio program boosted board effectiveness and unlocked new strategic value.
The Challenge
A globally engaged investment holding company with assets under management exceeding USD 100 billion aspired to become a more active, value-adding owner. However, the boards of its mid- to large-cap portfolio companies operated in silos, sharing minimal insights or best practices. Consequently, each board frequently addressed similar issues—ranging from CEO succession planning to digital disruption—without leveraging the collective expertise found within the broader investment ecosystem. This lack of coordination hindered strategic agility, slowed decision-making, and limited the pace of innovation across the portfolio.
Moreover, rapid developments in emerging technologies, shifting market conditions, and evolving consumer demands underscored the urgency of boosting collaboration. Management needed boards to align on high-level strategic priorities and empower CEOs to navigate fast-changing market dynamics. The holding company’s leadership recognized that robust interaction among its board chairs could become a decisive driver of portfolio-wide value creation—yet they lacked a structured channel to bring these experienced leaders together.
Our Impact
Following a thorough assessment of each board’s effectiveness and the holding company’s broader governance structures, we identified a critical need: cross-portfolio collaboration. To meet this need, we designed, launched, and continue to guide a “Board Chairs Forum,” a dedicated platform where chairs regularly exchange experiences, ideas, and solutions on pivotal topics such as digital transformation, global expansion, talent management, and CEO performance.
By instituting a structured venue—complete with both in-person and virtual sessions—we ensured that knowledge sharing became systematic, purposeful, and outcomes-driven. We not only developed the concept and facilitated the Forum’s initial rollout, but we also remain closely involved to moderate discussions, provide external insights, and help board chairs apply the insights to their own companies.
Key elements of this initiative included:
- Exchange of Best Practices: Chairs compared approaches to CEO evaluation and sparring, aiming for the right balance between operational oversight and strategic guidance.
- Targeted Roundtables & Workshops: Beyond regular meetings, specialized roundtables for specific topics—such as ESG, post-merger integration, or talent retention—allowed board chairs to dive deeper into shared challenges. These targeted sessions fostered rapid knowledge transfer and more agile decision-making.
- Cross-Portfolio Benchmarking: By systematically comparing performance metrics (e.g., cost structures, operational KPIs, and digital maturity) across different portfolio companies, chairs gained tangible benchmarks to inform strategic decisions. This data-driven approach helped identify both hidden risks and untapped opportunities.
- Collaborative Approach to Disruption: By identifying and addressing challenges in areas such as AI, cybersecurity, data analytics, and geopolitical shifts, chairs accelerated innovation initiatives across the portfolio.
- Strategic Scenario Planning: To address fast-emerging macro and geopolitical risks, the Forum introduced scenario-planning exercises led by our experts. These sessions helped board chairs quickly adapt strategies and align on priorities across the portfolio, particularly in times of market volatility.
- Unified Vision: Alignment around the holding company’s overarching strategic objectives was strengthened, allowing for quicker consensus on investment, divestment, and expansion decisions.
- Standardized Board Review: We introduced a performance review process evaluating both board chairs and CEOs in tandem, thus increasing accountability and alignment at the highest levels.
The Results
Within a year of establishing the Board Chairs Forum, the investment holding company recorded measurable improvements in financial and operational performance across its portfolio. Top-line growth accelerated in key businesses, EBITDA margins expanded, and digital transformation initiatives gained momentum—driving stronger valuations and higher IRRs. Chairs adopted more proactive governance practices, while CEO teams benefited from consistent performance evaluations and clearer strategic priorities.
By harnessing the collective expertise of its board chairs—and by maintaining our ongoing facilitation and strategic support—the firm strengthened its reputation as a forward-thinking owner, ultimately delivering both short-term returns and long-term portfolio growth. Today, our continued involvement ensures that the Board Chairs Forum remains a cornerstone of the holding company’s governance approach, sustaining dynamic knowledge-sharing and strategic alignment in an ever-evolving market landscape.
