Customer Type: Private and Public Companies
Making Life Easy for Human Capital Leaders
BluWave understands the urgency and sensitivity around the work human capital executives perform. That’s why we provide a curated suite of resources specifically designed for HR leaders to drive unprecedented value in their organizations.
CASE STUDY: Diversifying Talent in a Digital-First Consumer Products Startup
Our Business Builders’ Network not only understands your unique challenges but also provides tailored, bespoke solutions for talent leadership.
CASE STUDY: Controller with Leadership Skills for Resilient Growth
From specialized recruitment that targets niche roles to interim leadership that ensures your business doesn’t miss a beat during transitions; from mid-level staffing strategies that fortify your organizational structure to outsourced HR services that let you focus on core business functions — BluWave already knows the third-party service provider or consultant you need.
You can learn more about these services in this one-pager we prepared for talent leaders.
Set up a scoping call with our resources and operations team, and they’ll connect you with a select list of exact-fit resources within a single business day.
Strategic Executive Search for SaaS Sales Leadership
Service Area: Human Capital – Recruiting
Client Type: Upper-Middle Market PE Firm
Service Provider Type: Executive Search Firm – Sales
Industry: Technology – SaaS
The Need
Dynamic Sales Leadership for Market Expansion
A SaaS company, focused on local and municipal government solutions, needed a chief revenue officer to enhance its sales function and spearhead geographical and product expansion.
The Challenge
Niche Leader in a Specialized Sector
The challenge was to find a CRO with proven experience in SaaS sales to local and municipal governments. This person also needed to be capable of transforming a small, technology-centric team into a robust sales force. For this, they would need a specialized recruiting firm.
How BluWave Helped
Expert Matching for Specialized Executive Recruitment
BluWave utilized its extensive network to connect the client with an executive search firm specializing in sales leadership recruitment within the government sector. This group had a deep understanding of the specific skills and experience required for the role and provided a strong short list of candidates.
The Result
Placement of Tailored Sales Leaders
The firm worked with the company to hire a chief revenue officer who matched the company’s specific needs. This strategic appointment set the foundation for significant sales growth and expansion in the government sector.
Interim CFO To Revolutionize Financial Forecasting for Construction Portco
Service Area: Human Capital
Client Type: Construction Services Portfolio Company
Service Provider Type: Interim CFO
Industry: Construction and Engineering
The Need
Advanced Financial Forecasting for Strategic Growth
A leading construction services portfolio company needed a sophisticated 13-week cash-flow model. This would help them implement an effective borrowing needs forecast, which was especially critical due to their transition to a non-bank lender and the ongoing integration of multiple add-ons.
The Challenge
Complex Integrations in Dynamic Environment
The challenge lay in integrating diverse business units, each requiring distinct operational and financial strategies. Establishing an efficient system for forecasting collections and payments, integrating add-on companies and maintaining centralized accounting was crucial, given the extensive pipeline of add-ons to be managed promptly.
How BluWave Helped
Expertise and Precision in Financial Management Solutions
BluWave identified a short list of industry specific interim finance leaders with specific expertise in the construction industry’s complex financial structures. The candidate the portco selected had experience creating 13-week financial models and was exactly what the client needed. BluWave’s fast connection led to the implementation of bespoke forecasting and budgeting methodologies, essential for the client’s aggressive growth and integration plans.
The Result
Achieving Financial Streamlining and Effective Growth Management
The interim CFO’s introduction facilitated a smooth transition to an effective 13-week cash flow model, custom-designed for the client’s business framework. This strategic move significantly improved the company’s ability to manage borrowing needs and effectively handle their considerable add-on pipeline, leading to more streamlined financial operations and paving the way for successful growth and integrations.
Jay Hernandez of Raymond James: M&A Process Best Practices
Jay Hernandez recently joined the Karma School of Business podcast, sharing his insights into the dynamic world of private equity.
In his discussion with host Sean Mooney, Hernandez, an investment banker focused on industrial technology, talked best practices in mergers and acquisitions.
He emphasized the importance or preparation, understanding buyer psyche and building trust and reputation.
Here are some insights from their conversation.
3 Takeaways from Jay
1. M&A Preparation
Hernandez emphasized the importance of thorough preparation before entering the market. This involves not just understanding one’s own business but also being ready for the intense scrutiny that comes with merger and acquisition processes.
“It’s never too early to prepare for that event,” Hernandez said. “You always have to be prepared.”
Mooney agreed: “The more you do that, the more luck you tend to have in business and life, but also M&A processes.”
READ MORE: Why Mergers and Acquisitions Fail
Hernandez also stressed the importance of talking to key players early in the process.
“Engage your advisors, engage your experts well in advance. And it could be even a year or two in advance,” Hernandez said.
Mooney said that doing so can ensure that all aspects of the business are aligned and ready for the sale process.
“You should probably be talking with an investment banker right now so that when that light is green, you’re getting an early start,” he said.
2. Understanding Buyer Psyche
Hernandez also pointed out the increased depth and detail in buyers’ inquiries within M&As.
“The psyche of the participants has changed, and particularly on the buyers, and where that’s changed a lot is the areas that they’re digging into and the depth of which they’re digging into,” he said.
Mooney underscored the need for sellers to understand and anticipate the buyer’s perspective. He highlighted the diligence PE firms conduct in preparing for M&A processes.
“Private equity firms are spending more time making sure things are absolutely buttoned up so that they’re prepared to move as quickly as possible through an M&A process,” he said.
READ MORE: Merger Planning & Integration: Best Practices for Private Equity Firms
3. Building Trust and Reputation
Finally, Hernandez emphasized the necessity for buyers to maintain integrity and straightforwardness during the M&A process.
“You need to make sure that you’re doing it right for the company that you’re looking at, because at the same time, you’re going to be their partner going forward,” he said.
Mooney cautioned about the fragility of reputation.
“It takes a lifetime to build a reputation and literally 30 seconds to ruin it,” he said.
Hernandez added that “99.999 percent of the groups that we deal with and the buyers that we deal with are straight shooters and do exactly what they’re going to say.”
READ MORE: Post-Merger Integration: Framework, Keys to Success
Hernandez’s entire conversation with Mooney offers unique insight into the world of mergers and acquisitions from an investment banking perspective. (Stay tuned until the end for a time- and stress-saving life hack about cooking the perfect steak.)
When you’re done listening, head to the main BluWave podcast page for more conversations with business leaders.
Jay Hernandez, Raymond James | M&A Market Dynamics: Essential Preparations for Buyers and Sellers
Revolutionizing Healthcare: Roles of AI, Machine Learning
The integration of artificial intelligence (AI) and machine learning in healthcare is poised to revolutionize the industry by enhancing efficiency, transforming medical education and augmenting the role of healthcare professionals.
The latest Private Equity Insights Report from BluWave shows strong interest in AI data analytics as well as robust activity in the healthcare industry.
LISTEN: The Window of Opportunity: Healthcare and PE Insights
Scott Becker, founder of Becker’s Healthcare and Partner at McGuireWoods, discussed these topics with BluWave CEO and Founder Sean Mooney on the Karma School of Business podcast.
Efficiency in Healthcare Processes
Becker’s insights into the role of AI in healthcare reveal a significant shift toward efficiency, particularly in areas like revenue cycle management.
He spoke to the remarkable reduction in workforce requirements.
“You’ve got places that have 1,500 employees. They can get down to 1,000 employees with using AI,” he said.
READ MORE: Healthcare Compliance: Due Diligence Checklist
This reduction is not about diminishing the human element but rather reallocating it. By automating routine and repetitive tasks, AI allows healthcare professionals to focus their expertise on more complex and nuanced cases.
This shift is not just a matter of numbers; it represents a fundamental change in how healthcare operations are managed. Becker elaborated on the challenges faced in staffing these roles.
“A lot of those jobs are relatively lower-wage jobs where the turnover was tremendous,” he added.
This also speaks to the importance of AI in creating a more stable and focused workforce.
READ MORE: How To Extract Data from ERP Systems
Transformation of Medical Education
Becker also said that the medical education system is in dire need of an update.
“Medical school is still designed pre-internet,” he said. “A specialist isn’t out of school until they’re in their early thirties.”
This not only prolongs the training period but also imposes significant financial and mental burdens on aspiring medical professionals.
READ MORE: Professional Healthcare Recruiters: Specialized Human Capital Resources
“You’ve got this horribly inefficient medical school program and residency training program,” he added.
By leveraging artificial intelligence for educational purposes, the learning process can be significantly streamlined, reducing both time and cost for students.
Augmentation of Medical Professional Roles
There are many use cases for existing medical professionals as well. Mooney offered one example.
“They’re going to have these amazing copilots that will help do all those kind of brain sequences,” he said.
READ MORE: AI Data Analytics: Business Intelligence Tools
Mooney views AI as a tool to assist, rather than replace, human expertise. AI’s ability to process vast amounts of data and identify patterns can significantly enhance the diagnostic process, allowing medical professionals to focus on critical decision-making and patient care.
“I don’t think you could ever turn them over to the robots, at least in our visible future,” Mooney added.
The integration of AI promises to elevate the quality of healthcare, making it more precise, personalized and effective.
While the potential of AI in healthcare is immense, challenges such as resistance to change and vested interests could impede its adoption. Its future prospects, however, are promising.
The integration of AI and machine learning in healthcare represents a significant shift toward more efficient, effective and personalized care.
The invite-only Business Builders’ Network is full of AI experts who work with healthcare businesses on a regular basis.
Connect with our research and operations team, and they’ll provide a short list of tailor-made resources within 24 hours.
Listen to all the episodes from the KSOB podcast.
Why Private Equity Invests in People for Growth
Human capital is a driving force for growth in private equity. A recent BluWave-hosted webinar delved into three leading trends in this service area:
- The rise in human capital investments
- The importance of specialized recruiters
- The value of interim executives
Here are some insights into these topics from from Head of Client Coverage Rena Frackt, Account Executive Evan Garoutte and Research and Operations Consultant Taylor Lee.
Human Capital Emphasis
The trend of investing in people for growth continues to gain traction.
READ MORE: Why Hire an Interim CFO
“Human capital activity has been steadily growing and reached an all-time high in Q3 of this year, accounting for 49 percent of all activity coming through the BluWave network,” Garoutte said. “It’s the number one trend in the industry.”
This reflects a 20 percent increase year-over-year, underscoring the importance of investing in talent for organizational growth and value creation.
Using Specialized Recruiters
Engaging specialized recruiters is crucial for efficiently filling both executive and non-executive positions, particularly during growth phases.
“They stay up to date on market trends, salary range and emerging skill sets, which is extremely valuable,” Frackt said. “The knowledge allows them to identify and attract top talent who possess the right qualifications and of course, and most important would be a cultural fit to the organization.”
READ MORE: Why Hire an Interim Chief Executive Officer
Value of Interim Executives
Interim executives, especially in pivotal roles like CFOs, CEOs and CHROs, provide stability and continuity during transition periods, crisis management and special projects.
“PE firms have found value in being able to try before they buy. And we’ve seen interims convert to full-time employees about a third of the time internally,” Lee said. “There’s just value in confirming that this person can positively see our portfolio companies in the right direction as well as confirm that they’re a culture fit.”
READ MORE: Why Hire an Interim CTO
The discussion underscored the critical role of human capital in driving growth, indicating the various strategies that private equity firms and their portfolio companies can employ.
BluWave’s invite-only network of human capital resources works with PE firms daily to fill needs related to human capital, as well as a wide array of other service areas.
Contact our research and operations team for your next project and they’ll provide a short list of exact-fit service providers within 24 hours.
Scott Estill of Lancor: Human Capital’s Evolving Role in Private Equity
Scott Estill recently joined the Karma School of Business podcast, sharing his insights into the dynamic world of private equity, with a focus on human capital.
In a captivating discussion with host Sean Mooney, Estill, a seasoned professional with a wealth of experience in executive search and private equity, discussed the transformative trends shaping the landscape of talent acquisition and management.
He emphasized the essence of human relationships, the mutual selection process in recruitment and the necessity of navigating technological changes with agility and adaptability.
Here are some pivotal insights from their conversation.
3 Takeaways from Scott
1. The Importance of Human Capital in Private Equity
Private equity’s approach to human capital has evolved, placing a stronger emphasis on the value of talent and human relationships in driving business success.
READ MORE: Hire an Interim CHRO
Estill articulated this evolution, emphasizing that the real value lies in the talent that propels the business forward.
“What matters more is what’s your right to win. It’s not necessarily about picking the right weighted average cost of capital or whatever it is for the inputs of the model and how much debt to put on a business. It’s the people,” Estill said.
Mooney also highlighted the industry’s shift toward a more human-centric approach.
“This whole idea of this openness to get a candidate to be wanting to be with you and saying, ‘Call anyone you want.’ That’s something that is relatively new in private equity, but incredibly important,” he added.
2. The Shift in Approach: From Assessment to Mutual Selection
The recruitment process in private equity is transforming into a mutual selection process where both parties assess each other.
“You do need to show the human side. That’s sort of why operating partners exist. And we do a ton of operating partner work because you need the EQ-IQ combination,” Estill said. “But I think painting with a wide brush, if PE firms can be more and more human about what it is to work with them and why they value that talent, it makes the talent of course feel good and it differentiates them from the competitors.”
Mooney said private equity has always been, appropriately, private in the way it operates. But that is shifting.
“One of the biggest evolutions that I think private equity is going through right now is the first word in private equity has always been private. It’s all about kind of holding your cards tight and trying to be this kind of vessel and it’ll drive great outcomes,” he said. “Increasingly, there’s things going on like brand formation. … There’s heads of human capital or HR that are not only looking outwardly but inwardly.”
3. Embracing Technological Changes
In an era marked by rapid technological advancements, the ability to adapt and evolve is crucial. Estill underscored the necessity of embracing these changes.
“The only thing that’s consistent is change. So it’s going to happen. And so as much as we think we’re so smart and we’re trying to get ahead of the curve, we’re already dinosaurs,” he said.
Mooney emphasized the transformative potential of technology in reshaping the industry.
“If you lean into it and embrace it, it can be a good thing,” he said. “But it’s scary in the meantime.”
Estill’s insights illuminate the evolving landscape of private equity, underscoring the pivotal role of human capital, the transformative nature of the recruitment process and the imperative of adaptability in the face of technological advancements.
The entire conversation with Mooney offers nuanced perspectives essential for navigating the complexities of private equity in a human-centric manner.
When you’re done listening, head to the main BluWave podcast page for more conversations with business leaders.
Andrew Greenberg of GVC: Specialization, AI, Adaptability in Investment Banking
Andrew Greenberg recently joined the Karma School of Business podcast, sharing his insights into the ever-evolving world of investment banking.
In a discussion with host Sean Mooney, Greenberg – Chief Executive Officer of Greenberg Variations Capital – delved deep into the transformative trends shaping the landscape of investment banking and capital markets. He articulated the significance of specialization, the revolutionary impact of artificial intelligence (AI) and the timeless essence of adaptability in navigating the industry’s dynamic terrains.
Here are some pivotal insights gleaned from their enriching dialogue.
3 Takeaways from Andrew
1. Specialization and Efficiency in Investment Banking
The investment baking industry has witnessed a paradigm shift, transitioning from a broader approach to a nuanced strategy emphasizing specialization and efficiency.
Greenberg discussed this evolution, highlighting the emergence of a new era where the focus is on being exceptional at fewer things to drive insightful outcomes.
“I think that directionally, the process of selling businesses will continue to evolve in the direction of applying expertise to prospective buyers, the company and the value proposition as opposed to the brute force of the marketing exercise,” Greenberg said.
Mooney agreed with Greenberg’s point on expertise.
“I think what you really appropriately pointed out is we’re in this new era and now it’s about specialization,” he said, “and it’s about being better at fewer things and really driving insights to drive outcomes.”
2. The Impact of Artificial Intelligence (AI)
Artificial intelligence stands at the forefront of this transformation, heralded as a monumental efficiency enhancer. Both Mooney and Greenberg agree on its pivotal role in propelling the market toward unprecedented levels of efficiency, aligning seamlessly with the principles of efficient market theory.
“Artificial intelligence has become a big part of the discussion, and I think you and I agree that there’s both steak and sizzle there,” Greenberg said.
BluWave recently published a white paper discussing the crucial steps businesses must take before implementing new AI tools. Mooney believes it’s primed to be the world’s next revolutionary broad-access tool.
“With the advent of AI, this is going to be the greatest efficiency enhancer in my mind since the advent of the modern internet in 1995 with Netscape,” Mooney said. “I 100 percent agree that the world is going to be playing this game and it’s going to be, like anything else, harder and harder to find alpha. But it’s still going to be really good compared to most other things.”
3. The Importance of Adaptability
Navigating the dynamic realms of investment banking necessitates a spirit of adaptability and openness to diverse opportunities. Greenberg advocated for embracing various experiences and being open to different possibilities.
“As things cross your field of vision, have a disposition to try different things,” Greenberg said. “My advice for younger people would be where possible, try to say yes.
Mooney said he could relate to the power of adaptability.
“You think about the things that we do, they require a lot of time. It’s a lot of effort,” Mooney said. “One of the things that I’m always thinking about as I’ve gained a little bit of perspective is, how do I find little life hacks that are not only even just business, but just things that make my life a little easier?”
Greenberg’s insights underscore the pivotal role of specialization, the transformative potential of artificial intelligence and the enduring value of adaptability in navigating the industry’s multifaceted landscape.
The conversation with Mooney is a trove of wisdom, offering nuanced perspectives that are essential for navigating the complexities of investment banking and capital markets.
When you’re done listening, head to the main BluWave podcast page for more conversations with business leaders.
Decoding Q3 Insights: Harnessing People Power and Growth Opportunities in an Improving Market
Interim Executive Best Practices: Trends in Short-Term Leadership Roles
Why should a business use an interim executive?
It can be a great way to bridge the gap between full-time hires, give a potential long-term hire a “tryout,” train up less experienced candidates, guide a company through a crisis or even prepare a business for sale.
Whatever the case, interim CFOs, CMOs, CHROs, COOs and the like can be money well invested.
To get the most out of these temporary executives, though, businesses need to have a plan.
BluWave’s Richmond Donnelly discussed the best practices of using interim C-suite talent on a webinar with Mark Steenhoek, Managing Director, Operations, of The Stephens Group and Bryan West, Managing Director, Talent at Resurgens Technology Partners.
Here are some of the actionable insights you can apply to your business’s interim executive strategy.
When, How To Work with Interim Executives
While there are many situations in which an interim executive might be a good fit, the panelists outlined the most common ones their firms face.
“There’s good reasons and bad reasons that we would hire. I’d say that we find ourselves more in the camp with the bad reasons, and I’d describe those as two,” Steenhoek said. “It’s a crisis situation. Somebody leaves…or it’s a situation where we started looking in this a little bit more post-COVID in that we would have an open CFO role and then it takes nine to 12 months to fill it just because the market was so tight and difficult to find that perfect fit.”
West added that he is a big fan of the “try before you buy” approach. He said he’s encouraged by the number of his peers who are like-minded.
“That was actually reassuring,” he said. “That’s a great way to build a relationship and we’re always open to that.”
Top Interim CXO Use Cases
Whatever the use case, interim leadership is consistently one of the most-used services in the Business Builders’ Network, according to BluWave’s quarterly insights.
Based on the proprietary data collected from working with hundreds of private equity firms and thousands of leading businesses, the two most-used interim executives are CFOs and CHROs.
Read more about how each of these crucial roles is used:
Based on a live poll of webinar attendees, most PE firms fill multiple interim executive roles per year, taking 3-6 months to do so.
At BluWave, however, we connect you with a short list of exact-fit candidates within a single business day of your initial scoping call.
Why Hire an Interim Executive?
Beyond broader use cases, PE firms and their businesses usually have a specific set of tasks they need this temporary hire to complete.
“We’re able to go in and very specifically orient to on a project basis like, ‘Hey, does this person have experience or the skills to knock out kind of a more tactical list of things?’” West said.
He said that while the overall goal may be the same as when you bring in a full-time C-suite hire, the selection criteria is “quite different” based on what needs to get done.
Echoing BluWave data, Steenhoek said interim CFOs are their most common interim executive hires. The tasks each one is expected to accomplish tend to be the same, with variations depending on the company’s industry.
Interim Executive Criteria, Selection
Moving beyond the to-do list of items to accomplish, what is it that the world’s top PE firms and businesses look for in interim executives themselves?
West said that having done so many hirings in the past makes it easier to pick up on red flags in candidates. Beyond that, he relies on experience to choose the right person.
“We need somebody that’s been there, done that,” he said. “We don’t want to burn six months of time or three to six months of time on building a function.”
Steenhoek agreed, saying that is his top priority, too.
“I think the second would be, especially if it’s a leadership thing…radical transparency,” he said. “You’re just going to be able to really work together hand-in-hand, which equates to low-ego. They know what they’re there for.”
Setting Interim Executives Up for Success
Once someone is in the seat, the team that hired the individual plays a significant role in their success. How do these leaders set their interim hires up to get the job done?
“There is the team integration and the business integration [and] the CEO is the primary quarterback there, assuming it’s a direct report to the CEO,” he said. “But as far as project-managing the task list…that more often than not happens at our level.”
Steenhoek added two things that he believes are essential in these situations.
“I think really clear communication around what you need and alignment that they’re oriented and really focused on what you tasked them to do,” Steenhoek said. “The second is just being really clear on alignment related to, Are they interim? Are they permanent?”
BluWave is here to connect you with best-in-class, niche-specific interim executives to help with crisis management, leadership transitions, “try before you buy” and other relevant scenarios.
“Reach out to us at any point if we can ever be supportive with anything you all need,” Donnelly said. “We’re here to help you win.”
Contact our research and operations team to scope your needs and get quickly connected with the service provider you need in less than one business day.