Continuum has significant successful experience in partnering with investors and investee management to undertake human capital due diligence, and thereafter to develop the commercial and leadership excellence that underpins the growth of an ‘invested-in’ company.
‘All success, but also all risk, walks on two feet’.
Ultimately the performance of any venture is determined by its people.
Therefore the capability to understand, analyse, harness and develop this ‘human capital’ is critical to creating success and driving the rapid creation of value.
However, research consistently demonstrates that while investors intuitively know that human competence and potential are fundamental to business success, accessing expert data in this area is a real challenge
|
|
Typically, investors’ requirements are for:
- Meaningful, objective and accurate expert human capital data
- Relevant to the specific venture and its context
- Clear pragmatic feedback and action plans
prophet Solution
Continuum has combined extensive research and comprehensive human capital expertise to create prophet – a methodology for determining human capital within any organisation, at any level.
Individuals and teams are expertly profiled and mapped against the expectations of the venture business plan, with clear indications given of current capability, growth potential, team dynamics and any human risks to success. This creates the fundamental platform for subsequent feedback and development activities.
In simple terms, prophet measures both the competence and the potential of the people in a business – within the context of what the business is aiming to achieve (its business plan).
Typical Diligence Assignment
In a typical assignment, for example undertaking human capital diligence for a potential investment, investors’ requirements often comprise:
- A review of selected executives (eg Chair, CEO, CTO etc) and/or NEDs
- A commentary on immediate and potential risks and opportunities
- A plan for the ongoing development of the top team to secure achievement of (or over over-achievement of) the plan.
The following sections describe the process in a typical deployment.
Deployment
Most of Continuum’s activities are delivered face-to-face, at an appropriate local location.
Findings are analysed by Continuum and feedback is provided to all stakeholders.
Core Activities
The table below indicates the key sequence of activities:
| Sequence & Activities | |
| Investor Briefing |
|
| Deployment |
|
| Analysis |
|
| Feedback |
|
Brief descriptions of the deployment activities appear below:
Psychometrics
Up to three questionnaires will be distributed in advance of a visit so individuals can complete questionnaires at times that suit them.
Questionnaires are used only as a piece of the assessment ‘jigsaw’, and are cross-referenced through interviews. No conclusions are ever reached on the basis of questionnaire input alone.
Interviews
Each selected member of the team has two separate face-to-face structured interviews with Continuum consultants. These cover individual’s backgrounds, approaches, judgements, styles and skills.
Other Interventions
Other assessment interventions may be undertaken, dependant on the circumstances. These could range from observation/shadowing of meetings to staff focus groups.
Deployment Style
Continuum consultants are experienced assessors and understand that people react differently to the assessment process.
Taking this knowledge into account, Continuum’s style is to deploy an expert process which whilst being by necessity challenging and probing, is also dignified and respectful.
The commitment to provide feedback to those involved in the process further underpins the ambition to be as open, transparent and helpful as possible given the circumstances. The process should be viewed as the crucial starting point for development and success for all stakeholders
Feedback
Feedback is a crucial stage in the Continuum process, and can encompass all stakeholders and participants in the process as required.
All measurements and judgements are made in relation to an ability to deliver the plan for the business.
Feedback Sequence
Feedback and reporting will occur in the following sequence:
- Investor
- Investee leader(s) (eg CEO/Founder/Project leader)
- Other investee personnel as appropriate
For investees, feedback is often a combination of collective and individual discussions.
Feedback Content
Each project will have a series of outputs which identify key findings and considerations.
These provide the feedback, planning and implementation of the skills and knowledge required to achieve the venture business plan, working on
strengths and risks identified in the assessment.
Investor Feedback
Investor feedback is as comprehensive as required, and based on the context of the venture’s business plan. Typically, investor feedback includes:
- A ‘scorecard’ for individual competence in current role (example below)
- A ‘scorecard’ for individual future potential (example below)
- An individual’s core strengths
- The risks identified from each individual
- An individual development plan with actions
- A set of wider organisational considerations (including team dynamics)
Investee Feedback
Wherever possible, feedback is delivered face-to-face.
Continuum’s preference is to be open and honest in providing feedback – focussing on areas to improve effectiveness and create further value.
Much of the focus is around understanding the development plans and actions.
Continuum consultants have immense experience in handling the feedback process sensitively and with absolute discretion.
Deployment Timescales
Typically, the process will take around ten days from initial briefing to investor feedback.
However, the process is flexible to time pressures – with many deployments completed in 48 hours, and occasionally in 24 hours
Continuum Team
We build a strong team to work on a client assignment – one that combines expert knowledge with commercial talent.
To qualify as part of a member of a prophet team, an individual must demonstrate either significant successful experience as a business leader, or exceptional specialist knowledge, or both.
Examples of these talents include: leaders and entrepreneurs with a track record of growth and success (Board-level operators such as Chairman, CEOs, COOs and NEDs), and subject matter experts (human capital, psychology, leadership development).
We welcome the strength that come from having very different people working in a team, and so specifically plan to include a high degree of diversity.
Any client engagement is led by a Continuum principal, ensuring the highest levels of attention and experience.
Call us now to discuss your Human Capital Due Diligence Needs on 0871 2411495………
