SK Capital does not take a uniform approach to business improvement but rather targets the specific opportunities and addresses the individual challenges faced by each portfolio company. The SK Capital “playbook” includes a number of business improvement initiatives that can be incorporated into what ultimately become customized strategies and objectives that, if executed successfully, will build better and more sustainable businesses over the long term.
We believe having the right talent in place is critical to achieving significant business improvement. We work collaboratively with management to identify, develop and appropriately resource the initiatives that will drive sustained value creation. We assist their efforts in talent assessment, recruiting and selection, organizational design and establishing a high performance culture. In addition, we think it is critical to closely align the leadership team’s capabilities with the business and investment objectives.
Strategy & Growth
Our goal is to develop and refine strategies to accelerate organic growth by identifying and prioritizing resources. We evaluate the potential to make accretive investments in technologies, capabilities and capacity. We also seek to bolster growth through add-on acquisitions and joint ventures in an effort to enhance business offerings, market opportunity and share.
Our extensive operating experience enables us to assist a management team in growing margin dollars through enhancements to capacity productivity, yields, uptime, throughput and on-time delivery rates. Cost efficiencies can also be achieved by leveraging the SK portfolio to, for example, improve both direct and indirect procurement.
Cash Generation & Risk Mitigation
SK Capital seeks to drive efficiencies in cash management. This includes more efficient use of working capital through the improvement of terms, processes and the execution of other supply chain efficiencies. We also evaluate the potential to enhance value by divesting non-strategic assets and product lines. Finally, we seek to de-risk our investments through customer and product line diversification as well as address any legacy issues.