Recently, I attended a session titled "From CMO to Operating Partners" organised by Rowan Fisk at 3Search. The panellists were Rachael Smith, David Kirby, and Charlie Cannell, the event took place at The RAF Club and went into the intricacies of this transition, offering invaluable insights and great nuggets of wisdom.

The session was a great eye-opener, shedding light on the implications of the role and the journey of transitioning from a Chief Marketing Officer (CMO) to an Operating Partner. Here are some key takeaways from this session:

- Differentiation: The importance of standing out by being yourself and offering distinctive value propositions. Authenticity is key in a world filled with vanilla.

- Flexibility: Roles in the corporate landscape change rapidly, often leading individuals to stumble into new opportunities unexpectedly. Flexibility and adaptability are essential traits for navigating these transitions successfully.

- Networking: Building connections within private equity circles can open doors to great opportunities. Building a robust network is invaluable in getting hold of chances for growth.

- Adaptability: The recruitment process for operating partner roles can be complex and unpredictable. Being able to roll with the changes and adjust one's approach accordingly is crucial for success.

- Value Proposition: Show investors how you can simplify their lives and enhance their profits. Being ready to articulate a compelling value proposition to gain traction.

- Pressure Management: Learn to assess assets under pressure to deliver results. 

- Role Dynamics: Operating partners have a diverse range of responsibilities, from engaging in CEO-level discussions to hands-on operational tasks. Flexibility and humility are key in adapting to these varying dynamics.

- Influence: Despite lacking formal management authority, operating partners have significant influence in shaping company performance. The ability to drive change and effect meaningful outcomes is unique.

- Humility: Operating behind the scenes, building relationships, and focusing on long-term impact are must components of the role. 

- Advice: Moving to an operating partner role is not for everyone. Patience, perseverance, and a commitment to relationship-building are essential.

In addition to these insights, it's crucial to be prepared to flex between being very tactical, delivering quick wins, and focusing on long-term value creation. Familiarising yourself with the business model of an investment firm, understanding the challenges they face in raising funds, and aligning your efforts with the growth goals of portfolio companies are also key steps. Learning on how compensation works, including aspects like carry and co-investing, as well as understanding vesting schedules, is essential for success in this role.

Transitioning to an operating partner role is similar to embarking on an entrepreneurial journey. It requires a significant investment of time, energy, and effort, with the potential for both disempowerment and empowerment. Ultimately, it's a role that demands resilience, strategic thinking, and a relentless pursuit of excellence. While not suitable for everyone, for those who dare to tread this path, the rewards can be immeasurable.

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