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Transitioning between PE operations (PE ops) and big tech can be influenced by several factors, including your skill set, experience, and the specific roles you're targeting. Here's what you need to know:

  1. PE Ops to Big Tech:

    • Moving from PE ops to big tech is possible, especially if you have experience in strategy, operations, or portfolio management. Big tech companies value individuals who can bring a strong operational and strategic mindset, particularly for roles in business operations, strategy, or corporate development.
    • Highlighting your ability to drive value creation, manage cross-functional teams, and execute operational improvements in portfolio companies can make you an attractive candidate for tech roles.
    • Consider roles in areas like strategy, business development, or operations within tech companies, as these align well with PE ops experience.
  2. Big Tech to PE Ops:

    • Transitioning from big tech to PE ops can be more challenging unless you have a background in consulting, finance, or a strong operational track record in scaling businesses.
    • PE firms often look for candidates with experience in driving operational efficiencies, managing P&L, or leading transformations. If your big tech role involves these aspects, it could position you well for a move into PE ops.
    • Networking and leveraging connections within the PE space can be crucial for making this transition.
  3. Key Considerations:

    • Skill Alignment: Both transitions require showcasing transferable skills. For PE ops to big tech, emphasize your strategic and operational expertise. For big tech to PE ops, focus on your ability to drive measurable outcomes and manage complex projects.
    • Risk Tolerance: PE ops roles often involve working with smaller, high-growth companies, which can be riskier compared to the stability of big tech. Assess your risk appetite before making a move.
    • Long-Term Goals: Consider where you see yourself in the long term. PE ops can lead to roles in portfolio management or even C-level positions, while big tech offers opportunities in scaling large organizations and working on cutting-edge innovations.

If you're still exploring, roles at PE portfolio companies in tech-related industries could serve as a bridge, giving you exposure to both worlds.

Sources: Transition from Big 4 Consulting to PE - Advice needed, PE to Tech Advice, Q&A: BB M&A Banking to PE Associate and then a Pivot to a Tech VC / Growth Equity, Moving from Asset Management into IB / PE, MBA prospects - Big 4 consulting to tech ops

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There ultimately aren't all that many PE ops seats at the junior/mid-level (i.e., those who have never been C-suite executives), so the 'n' is going to be really low on assessing what's possible and which order is preferred.

I'd suggest doing more research and calls within your network to nail down which role interests you more as these two paths are very different, albeit not nearly as rigid as consulting >> PE (investment team).

I'm inclined to say that if you're interested in a junior/mid-level PE ops generalist role, go there first. If you'd rather enter PE ops more senior and/or more specialized, go to big tech and build a skillset that PE firms will value and seek out (e.g., go-to-market leadership).

 

Thanks, this is very helpful!

A follow up if I may ask - I am currently a sr manager in consulting with 10+ YOE and the opportunities would be either a L6 role in big tech (Amazon) or VP/director role in MM PE value creation or a functional Director at a client (with strong leadership sponsorship)

So I am kinda mid-senior level now - will this context change any decision criteria as compared to more junior roles? Thanks!

Or will it be a no brainer if I can get a Director role in PE value creation.

 

Add on to this -

Where I come from is I really don’t know what it looks like for these paths, so I want to evaluate the risk level - is it possible for me to easily pivot to the other option if I realized that is not the path for me - PE or Big tech. Will the choice broaden or narrow my career path going forward. Thanks!

 
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This does change things as you're more senior than I realized. In this case, I'd caution you to consider that upward mobility in PE ops can be hard without operating experience.

To expand, if you join in a VP/Director capacity, you probably won't unlock "Operating Partner" or "Operating Executive" gigs (which offer more pay/carry and nice lifestyle) without actual operating experience, ideally in a senior or even c-suite capacity.

Without working at an actual company, upward trajectory is probably limited to PE ops COO type roles (where you'll help shape strategy and hire/manage Operating Executives on behalf of a PE firm), but job security is inherently a little lower and seats are limited. Just a watchout.

Conversely, if you're good with trying your hand at PE ops, recognizing that you may end up pivoting to work at a portfolio company thereafter or take on some sort of more traditional tech ops role outside your firm, go for it.

 

Thank you very much for your instant response!

I have 6 years operator experience in the industry before consulting, not C-suite but more junior manager roles not leading teams - will that qualify as “operating exp” in PE.

Also how is the flow across different size of PEs - is it easy for me to transit from MM to MF or hard given the very different conditions of portcos.

Thanks!

 

That’ll earn you street cred with portfolio companies and help in interviews but unfortunately is unlikely to unlock those senior roles which are often for CEOs looking for a bridge to retirement.

Re: size, I think ops is more fluid than investment side. I’ve anecdotally seen MM to MF moves on multiple occasions. I’m no expert though coming from the investment team perspective with only a few datapoints. 

 

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