How private equity firms can make software implementation a cinch

July 19, 2023

Successful implementation of investment portfolio management software isn’t just some ideal-state dream. It’s a must-have tool for any competitive private capital manager. And with some basic understanding and advance planning, PE and VC teams can avoid common implementation pitfalls and enjoy the efficiencies of modern portfolio management.

As a provider of investment portfolio management software, Cobalt has helped PE and VC teams of every size prepare for and executive successful software implementations. Here’s a sampling of the best practices we’ve learned along the way:

  • Define the business objectives of implementation. What does your company aim to accomplish by adopting new systems? How will workflows improve? What does success look like? Without clear goals, implementation can miss the mark on strategic outcomes.
  • Cement a go-live date and stagger deadlines—and plan for workload surges. A detailed schedule with department-specific expectations will help you meet target dates. Recognize that extra effort will be required to get new systems off the ground—so consider allocating extra manpower during implementation to avoid overworked staff, missed deadlines, or both.
  • Outline your strategy for managing historical data. Existing data will need to be loaded into your new system. Determine which data will be transferred and identify the locations of all data you will need. To ensure nothing gets overlooked, assign responsibility for each element of data to a specific team member.
  • Inspire your team. Humans chafe at change: Some resistance to your implementation objectives is par for the course. Limit opposition by ensuring that all members of your team will truly benefit from investment portfolio management software—and then communicate those benefits. Make sure all parties know how this shift will make their jobs easier.

Approaching software implementation with intentionality and foresight allows private equity and venture capital firms to reap the benefits of investment portfolio management software—from advanced collaboration capabilities and sophisticated analytics to streamlined reporting and personalized dashboards—with minimal discomfort.

To learn more about typical pain points during software implementation and how to avoid them, download our white paper, “The Private Equity Firm’s Guide to Painless Software Implementation.