Value Creation Office
In a Box

If you're in the industry, you are likely already familiar with a VCO, but you may call it something else (e.g. Transformation Office). Many big name consulting firms as well as PE firms are already deploying this capability to rapidly change business results for their clients and portfolio companies. The common theme is a burning platform for change, concrete and ambitious financial goals (e.g. $10-$100M EBITDA improvement in 1-3 years), and often times recent change in ownership or investment in a company.

VC Offices play a vital role to tracking strategic initiatives from the C-Suite down to concrete initiatives with business cases, implementation timelines, goals, and execution tracking.

Things can get sideways when the VC Office is viewed as a "good news system", only reporting out favorable or selective views on initiatives instead of more realistic assessments. Also, watch out for firms who use their own 'proprietary' system as a means to justify "fees at risk" arrangements.

Fortunately, we have years of experience to ensure the VC Office drives results, relieves administrative burden, and incentivizes the right behaviors to make delivery results "the easy option".

Successful Value Creation efforts begin with a clear view of baseline financial performance, a diagnostic to determine the top-down timeline and aspiration, as well as prioritization of major workstreams for the program. Once this is is established, a basket of initiatives need to be created aligned to major workstreams. Each initiative is defined following a best practices framework, and tracked along a maturity funnel in a performance management solution that makes tracking, executing, and reporting on progress simple and automated. This creates a "bankable plan" that has the fidelity necessary for financial decision making. Finally, results are delivered by the VC Office and Initiative Owners who drive initiatives through the stage gates through to completion.