The Problem Talent Sequencing Discovered:
Private equity investors have a host of advisors, consultants, and providers of all kinds of diligence for many risks an investor may take on when adding a company to their portfolio—earnings, insurance, legal liability, market or technology risk and more. Yet there has been precious little expertise available to diligence company executives in a quick but thorough and systematic way.
The Answer Talent Sequencing Developed: Quality of Team (QoT)
Developed by our professionals from 30+ years of recruiting experience, QoT is a deep yet efficient assessment of the quality of a company’s leadership team. All private equity investors are familiar with QofE reports as an essential part of private equity pre-deal diligence to re-affirm Quality of Earnings of an acquisition target. QoT (or QofT) performs the same diligence function—but rather than on a company’s earnings integrity—on the Quality of Team that makes up a company’s leadership assets.
QoT at ACG Boston 2020
- The QoT assesses executives both as individual performers, and as a team
- The QoT assessment includes psychometric (personality), values/motivators, and likely derailers when an individual or team is under pressure
- The QoT can assess likely executive team performance in different business contexts—from peacetime growth mode environments, to wartime survival and/or pivot scenarios
- The QoT also delivers a scouting report that can identify executive flight risk post-transaction.
- The QoT can also help identify false positives around teams that look cohesive and harmonious but may be simply acting the part and exhibiting “first-date behavior” until the transaction is completed and their paydays arrive