The PE Operating Partner’s Guide to Driving Digital Transformation

Date: April 2025

Executive Summary

As private equity firms seek to accelerate value creation across increasingly complex portfolios, operating partners (OPs) have become central to execution. Today, digital transformation is one of the most critical and high-impact mandates an OP can lead. Yet few have a structured, repeatable methodology to identify, deploy, and measure digital strategy across diverse assets.

This white paper serves as a comprehensive, field-ready guide for operating partners tasked with leading digital initiatives. It offers frameworks, playbooks, governance structures, talent models, and digital KPIs tailored to the private equity lifecycle. With practical advice from industry benchmarks, it empowers OPs to become high-leverage drivers of digital maturity, top-line growth, and faster exits.

The Evolving Role of the Operating Partner

From finance to ops to digital, the operating partner role has evolved:

  • 2000s: Finance-focused support (working capital, audits)

  • 2010s: Lean ops, supply chain, SG&A cuts

  • 2020s: Growth, tech enablement, digital maturity

In a 2023 BCG survey, 72% of LPs cited digital execution as a top value creation priority, yet only 28% of firmshave a dedicated digital strategy team. The OP is uniquely positioned to bridge this gap.

Four Mandates for PE Operating Partners in Digital

  1. Assessment

    • Evaluate digital readiness pre- and post-close

    • Lead due diligence on digital, tech, and data

  2. Execution

    • Build and deploy the digital roadmap (CRM, marketing, automation)

    • Set and manage 100-day and Year 1 digital goals

  3. Capability Building

    • Hire digital leadership or embed fractional talent

    • Create shared resources and vendor relationships

  4. Governance

    • Track digital KPIs, drive quarterly digital reviews

    • Coach CEOs and founders through transformation

Phase-Based Framework for Digital Transformation

Phase 1: Post-Close Readiness (0–60 Days)

Goals: Assess digital maturity, build initial roadmap

Actions:

  • Digital maturity scorecard (1–5 scale across 6 pillars)

  • Conduct tech stack and CRM audits

  • Identify quick wins: lead forms, attribution, basic automation

Deliverables:

  • 100-day digital playbook

  • Assigned digital lead (internal or external)

  • Baseline KPIs: CAC, LTV, website traffic, email engagement

Phase 2: Build & Scale (3–18 Months)

Goals: Drive compounding digital impact

Actions:

  • Implement martech (HubSpot, Salesforce, Klaviyo)

  • Launch paid media campaigns with clear CAC/LTV tracking

  • Train portco staff on dashboards, tools, and workflows

Deliverables:

  • Working funnel with acquisition, nurturing, and conversion

  • Weekly/monthly KPI dashboards

  • Quarterly OKRs for digital initiatives

Phase 3: Institutionalization (18+ Months)

Goals: Make digital capabilities durable and scalable

Actions:

  • Create portco case studies and digital benchmarks

  • Package learnings into cross-portfolio templates

  • Roll out shared service model (agency, analytics, design)

Deliverables:

  • Digital playbook repository

  • Portfolio-wide digital KPI scorecard

  • Exit readiness documentation

The Six Digital Pillars to Own as an Operating Partner

  1. Customer Acquisition & Marketing

    • Paid media, SEO, email, CTV

    • ROAS, CPL, CAC metrics

  2. CRM & Lifecycle Management

    • Lead scoring, segmentation, marketing automation

  3. Analytics & Attribution

    • Funnel visibility, dashboarding, data governance

  4. Website & Conversion

    • CRO, landing pages, page speed, mobile UX

  5. Tech Stack & Systems

    • Integration, API, security, cost optimization

  6. People & Process

    • Talent hiring, playbook training, agile rituals

Digital KPIs Every OP Should Track

KPI

CAC

LTV:CAC

Website Conversion

CRM Adoption

Funnel Velocity

ROAS (Paid Media)

Churn Rate

NPS

Target Benchmark

<$1,200 B2B / <$250 B2C

>4:1

>15%

>80%

<7 days avg from MQL to SQL

>4x

<8%

>40

Operating Partner Playbook: Week-by-Week (First 90 Days)

Week 1–2: Digital audit + stakeholder interviews Week 3–4: Build 100-day roadmap + assign owners Week 5–6: Deploy CRM if absent, launch lead capture upgrades Week 7–8: Install dashboards + media channel setup Week 9–10: Evaluate agency/vendors + assign testing budget Week 11–12: Review KPI baselines, create OKRs for Year 1

Board & CEO Engagement

  • Align digital goals with VCP and budget at close

  • Present digital KPIs at quarterly board meetings

  • Translate marketing speak to financial outcomes

  • Manage risk perception: digital as investment, not overhead

Sample talking point: “We spent $220k on digital this year, yielding $1.2M in new ARR and improving CAC by 38%”

Real-World Examples

Example 1: Industrial Portco

  • Built first CRM and automated lead routing

  • Trained 12-person sales team on HubSpot

  • Result: 19% revenue uplift, 27% increase in win rate

Example 2: Consumer Services Platform

  • Launched multi-market CTV and local PPC campaigns

  • Centralized scheduling with automated SMS reminders

  • Result: CAC fell 42%, bookings increased 36%

Example 3: Healthcare Roll-Up

  • Integrated data stack across 7 clinics

  • Created shared analytics team and KPI templates

Result: Real-time NPS and churn dashboards; sold at 14.8x EBITDA

How to Scale Across the Portfolio

  • Create a central digital operating system: templates, tools, partners

  • Use quarterly OP summits to share wins, failures, and resources

  • Build dashboard visibility across the C-suite: CEOs, CFOs, CMOs

Shared initiatives to consider:

  • Shared Google Ads account with master governance

  • Pooled martech licensing (e.g., HubSpot, Unbounce)

Cross-portco content or SEO teams

Risks to Avoid

  • Overbuilding too early: Start with MVP, scale after validation

  • Lack of data discipline: Define KPIs clearly from day one

  • Change fatigue: Align changes with existing portco priorities

  • Agency lock-in: Keep control of data and media accounts

Conclusion

Digital is the single most scalable lever an operating partner can pull across a portfolio. By embedding digital rigor into assessments, execution, and governance, OPs become force multipliers who unlock accelerated revenue, margin expansion, and premium exit narratives.

Rather than seeing digital as a department, treat it as a system. With the right tools, KPIs, and partners, every OP can lead high-ROI digital transformation—without needing to be a technologist.

Sources

  • BCG: "The Evolving Role of the Operating Partner"

  • Bain: "Driving Digital Growth in the Middle Market"

  • McKinsey: "The Operating Model for Private Equity in the Digital Age"

  • EY: "Private Equity Value Creation Through Tech and Talent"

  • OpenView: "How to Build a Modern GTM Stack in a Portfolio Company"

Talent: Build, Borrow, or Buy?

Need

Interim CMO

Performance marketing

CRM/RevOps implementation

Data dashboard setup

Solution

Fractional executive

White-labeled agency

In-house or consultant

BI partner or analytics hire

Create a vetted partner bench and rotate across portcos. Avoid hiring full-time before digital roadmap clarity.