Source page: McKinsey & Company
Commentary
Good data are hard to find at most private-equity-owned companies
Analytics | Private equity | C-Suite
August 31, 2020 – Nearly 50 percent of CFOs at portfolio companies owned by private-equity firms said data fragmentation was their top challenge. Because those CFOs typically aren’t company insiders when they start, they need a reliable fact base to identify opportunities.
To read the article, see “The PE company CFO: Essentials for success,” May 1, 2020.
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Visual form
Horizontal bar chart.
Layout / body structure
The chart is a single ranked comparison chart. Read from the longest bar at the top downward through the remaining challenge categories.
What is being compared
The chart compares the top challenges named by CFOs at private-equity portfolio companies, covering data fragmentation, alignment with the top team, communication with investors and board members, finance-team talent management, and other issues.
Measurement system
The measure is percent of respondents, with a sample size of 50. The bars represent the share of CFOs selecting each challenge category.
Visible structure inside the graphic
Five labeled bars are arranged from highest to lowest response share. Each bar pairs a text label with a percentage value, making the ranking legible at a glance and separating the leading problem from the rest of the field.
Main takeaway from the visual
Data fragmentation is not just one challenge among many; it is the clear dominant problem. The longest bar is much larger than every other category, which makes the gap visually obvious before the reader even gets to the numbers.
Key standout values or extremes
Data fragmentation and enterprise-resource-planning or other systems leads at 48 percent. Aligning with the rest of the top team on business priorities and communicating with investors and board members are tied at 20 percent each, while acquiring and managing talent in the finance team is 8 percent and other challenges are 4 percent.
Controls / sequence, when applicable
This is a static chart image with no in-chart controls to operate.
Companion media, when applicable
There is no separate companion audio or video; the chart image is the full visual on this page.