In every transition or carve-out, the success of the project depends on more than just the playbooks and timelines—it depends on the people at the table. Even the best-designed process can stall when a single individual creates roadblocks, delays decisions, or resists collaboration.

We’ve all seen it. A project that should move quickly suddenly slows down. A bottleneck forms because one person refuses to align, or simply lacks the structure and discipline required to manage complexity. Procurement and contract transitions, in particular, are highly vulnerable—where every week of delay translates into higher costs, missed savings, and frustrated stakeholders.

Why People Matter as Much as Process

That’s why the type of people executing a transition is just as important as the process itself. A structured, professional consultant brings something critical: the ability to cut through noise, keep the team aligned, and drive steady progress no matter how challenging the dynamics may be. Over time, this professionalism and consistency build trust—not only with the client’s executives, but also with the portfolio companies who experience the difference firsthand.

Jim Collins, in his classic book Good to Great, wrote about “getting the right people on the bus.” The same lesson applies in M&A transitions. The right people don’t just execute tasks—they set the tone for collaboration, bring clarity where there is uncertainty, and keep momentum when others hesitate. The wrong person, even if technically capable, can hold up an entire project.

Lessons from the Field: Big Firms vs. Boutique Specialists

Large consulting firms know this too. Bain & Company, for example, often emphasizes putting A-players on integration teams because they understand that speed and structure are as valuable as strategy.

Accenture offers another instructive case. On a complex carve-out, they stepped in with structured program managers who brought clarity and order where one internal stakeholder had been creating delays. The difference was immediate, momentum picked back up, milestones were met, and the client took notice. That structured approach earned Accenture more business in the long run, while the individual who had been blocking progress quietly exited. The lesson was clear: structured consultants create efficiency, and inefficiency eventually eliminates itself.

Boutique firms like In2edge deliver the same level of structure and execution discipline—but without the unnecessary cost or bureaucracy. That’s why private equity sponsors increasingly look to specialists who know how to move fast, scale resources up or down, and adapt to the dynamics of a live deal.

The Long-Term Payoff

At In2edge, we’ve seen it repeatedly: structured consultants who combine expertise with process discipline become the long-term partners our clients turn to deal after deal. Because when you have the right team in place, efficiency goes up, cost goes down, and results follow naturally.

It’s a reminder that in carve-outs and transitions, you don’t just need someone in the seat. You need the right person—someone who brings clarity instead of chaos, structure instead of delays, and partnership instead of politics.

Carve-outs are among the most compelling—yet risky—value opportunities in private equity. A deep dive into 25 carve-outs completed between 2013 and 2024 by Bain & Company revealed a striking insight: top-performing deals are those where the value-creation thesis is built into the operational structure of the new entity, not added as an afterthought. In other words, the most successful carve-outs intentionally align the strategic driver with the way the new company is designed.

The Cost of “Separate First, Fix Later”

Many carve-outs follow a common but flawed two-step model: first stand up the new entity, then worry about linking it to strategic outcomes. Bain warns this approach merely layers “complexity on top of complexity,” draining momentum, introducing misalignment, and putting value at risk.

In contrast, high-return sponsors embed value delivery into the structure itself:

• During due diligence, they define a value-creation plan (VCP) intertwined with operational requirements.
• They align document handoffs, contract assignments, and process blueprints around strategic moves—ensuring Day 1 readiness isn’t just operational, but strategic.

Strategic Structure Drives Better Outcomes

When structure echoes strategy, carve-out performance improves materially:

1. Strategic operational continuity – Critical contracts, vendor agreements, and systems transition coherently, minimizing service disruptions and compliance risk.
2. Faster time-to-value – Teams move from “keeping the lights on” to growth execution quickly, supported by governance, contract clarity, and compliance baked in.
3. Risk mitigation built-in – Thoughtful mapping of contracts (customer, supplier, licensed IP) ensures nothing falls through the cracks.

Bain reiterates: deals built this way don’t just “go live”—they thrive, backed by structural alignment to value.

What This Means for Operating Partners

If you’re guiding carve-outs, the imperative is clear: validate not just the deal thesis—but also how the new entity is structured to deliver on it.

Success requires frameworks that include:

• A contract triage process that preserves value and avoids renegotiation;
• Procurement frameworks separating legacy dependencies while supporting speed;
• Process and systems classifiers ensuring cash collection, invoicing, and payroll continue seamlessly;
• Blueprints for compliance and governance tied to strategic KPIs—not just legacy obligations.

Bringing It Home: In2Edge’s Strategic Edge

At In2Edge, we turn theory into execution. We build carve-outs not as stand-alone projects, but as purpose-built structures aligned to value thesis and operational clarity.

• We map and prioritize contract flows, identifying which agreements need rewrite, realignment, or seamless assignment for continued performance.
• We enable procurement continuity, isolating legacy sourcing funnels and standing up independent vendor relationships without delay.
• We integrate compliance protocols early, embedding DPAs, privacy obligations, and metadata governance proactively—not reactively.

In short, we don’t just manage carve-outs—we design and build them to win.

Final Thought

If you’ve been operating under the assumption that carve-outs succeed based on price or agility alone—think again.

As Bain’s research shows, value isn’t unlocked post-operational setup—it’s baked into it. A rigid structure aligned to strategic drivers is the only way to ensure carve-outs don’t just survive—but become high-performing portfolio companies.

Click here for the full Bain Article

In2Edge at a Glance

In2Edge builds carve-outs that mirror your value-creation plan—by designing contracts, procurement, governance, and execution from Day 0. We don’t just deliver model after carve-out. We deliver operational success that lasts.

Carve-outs are high-stakes, high-speed events. Every operating partner knows this. But while most firms focus heavily on due diligence and deal close, the true value creation—or erosion—happens in the messy, complex middle: the transition.

That’s where we live.

At In2Edge, we’ve spent years in the trenches of post-close transitions, embedded directly into carve-outs across industries. And here’s what we’ve learned: the difference between a struggling carve-out and a thriving portfolio company isn’t just leadership or capital. It’s execution infrastructure.

The Problem with the Traditional Model

In the typical carve-out scenario, there’s a flurry of activity to stand up a new business:

• Contracts must be assigned or recreated
• Privacy and compliance obligations must be documented and mapped
• Procurement has to separate from shared systems and build a standalone vendor ecosystem
• Business units are scrambling to meet TSA deadlines without breaking continuity

And yet, too often, this transition work is treated as administrative. It’s handed to internal teams already stretched thin—or worse, farmed out to law firms that are excellent at drafting, but not at driving outcomes.

This is where deals stumble.

Embedded Execution Is the Advantage

What we’ve seen firsthand is that carve-outs succeed when they treat transition not as a burden, but as a strategic accelerator.

When you embed specialized operators from day one—experts in contracts, legal operations, procurement frameworks, and privacy compliance—you don’t just check the boxes. You create a foundation for performance.

Here’s what that looks like in practice:

• Customer and vendor contracts are triaged, transitioned, and streamlined with consistent clause positioning—reducing risk and renegotiation.
• Procurement playbooks and “starter” policies are created for newly independent teams—so sourcing doesn’t grind to a halt.
• Privacy compliance is embedded early with DPA and PIA protocols, often before the portfolio company even builds its legal team.
• Executive teams receive clean reporting, simplified dashboards, and visibility across contract status and critical obligations.
• And when applicable, AI-ready metadata is structured from the beginning—paving the way for smarter portfolio governance.

It’s not magic. It’s a repeatable process, born from working across carve-outs of all shapes and sizes.

The Proof Is in the Portfolio

We’ve now supported numerous carve-outs where the portfolio company is not only surviving—but thriving. Not one failure. Not one fire drill six months post-close. Just solid, functional businesses that are growing from a strong operational core.

When that pattern repeats across deals, it’s not luck. It’s structure.

Why Operating Partners Should Care

If you’re an operating partner looking across your pipeline, you might be asking:

• How do we shorten the time to standalone?
• How can we reduce the legal and operational noise so management can focus on growth?
• How do we prepare for AI, audit, and exit readiness from day one?

The answer is embedded execution.

It’s faster, more cost-effective, and often far more scalable than internalizing every function or hiring Big Law to backfill what portfolio companies can’t yet do. It’s also why some firms are now standardizing this approach as part of their post-close playbook.

Looking Ahead: Beyond the Transition

What’s also exciting is that firms are now expanding beyond the carve-out phase, asking us to support:

• Customer agreement reviews to enable faster GTM motions
• Procurement 101 toolkits to mature sourcing at speed
• Use cases for AI that go beyond buzzwords—think contract analysis, DPA flagging, and supplier trend detection

That’s the future of value creation. Transition is just the starting line.

Final Thought

If your firm is managing carve-outs—or planning for one—ask yourself this:

“Do we have an execution partner that brings structure, scale, and embedded accountability on Day 1?”

If the answer is no, the opportunity cost might be greater than you think.

At In2Edge, we’re not just building processes. We’re helping build successful companies.

Let’s talk.