Operators and investors, |
Digital transformation has become a buzzword for enhancing enterprise value, yet a staggering number of initiatives fail to deliver tangible results, leaving PE firms with expensive projects and no clear ROI. |
I recently reviewed a digital transformation initiative for a B2B SaaS company generating $75M ARR. They invested $1.2M over 18 months in a new CRM & ERP system, yet their sales conversion rates remained flat & operational efficiency gains were negligible. The majority end up over budget, behind schedule, & with negligible impact on ROI without a clear ownership model. |
These failures represent a systemic issue in how critical growth initiatives are approached & managed in portfolio companies. |
The blame game & lack of ownership |
Without a single, empowered owner accountable for both implementation & value realization, digital projects become everyone's responsibility but no one's priority. This operational ambiguity is a silent killer of value creation. |
Lack of clear sponsorship. I've seen projects where VPs from different departments "co-own" initiatives. The sales leader wants better reporting, marketing wants lead attribution, & finance wants cost consolidation. Everyone points fingers when the integration inevitably hits roadblocks. One specific case involved a $500K data warehouse project where six different senior leaders were nominally involved, resulting in conflicting requirements & a deliverable that pleased no one. Diffused accountability. When a committee "oversees" a project, no one takes true ownership for its success or failure. This leads to scope creep, budget overruns, & a lack of decisive action when problems arise. It's like having a driverless car where everyone has a hand on the wheel but no one is steering. Actionable recommendation. Designate a single, senior executive - ideally not the CIO - with explicit ownership for the entire digital transformation journey, from strategy to P&L impact. This person needs the authority to make decisions, allocate resources, & be held directly accountable for the ROI. Their compensation should even be tied to the success metrics. |
Silver bullet syndrome |
Many firms invest in trendy technologies without a clear problem statement or understanding of how they integrate with existing systems or strategic objectives. This is often driven by FOMO or vendor hype, not strategic necessity. |
Technology for technology's sake: I pushed back on a portfolio company wanting to implement an AI-powered content generation tool despite their core issue being a broken SEO strategy & lack of subject matter experts. They saw the "AI" buzzword & thought it was an instant fix. The tool would've cost $150K annually but wouldn't solve their fundamental content gap. Ignoring integration complexity: New systems rarely operate in a vacuum. Underestimating the effort & cost required to integrate new platforms with existing tech stacks, data sources, & workflows is a common Pitfall. I've seen this inflate project costs by 20-30% due to unforeseen integration challenges. Actionable recommendation: Before any tech investment, clearly define the problem statement & quantify its business impact. Map out the new solution's interaction with the existing tech landscape. Conduct a thorough "fit" analysis - not just features, but how it supports specific business processes & KPIs. If you can't articulate the why & how with clear metrics, don't buy the what. |
Tactical over strategic approach |
Focusing on tool implementation instead of process re-engineering & change management ultimately leads to expensive shelfware & disgruntled teams. Technology is an enabler, not a replacement, for sound processes & human alignment. |
Process neglect: A company I advised spent $250K on a new marketing automation platform, but their lead qualification process remained broken. The new tool just automated sending irrelevant emails faster. The underlying process was never fixed, so the tool provided zero uplift in qualified leads. Underestimating change management: Employees are often resistant to new systems & workflows, especially if they don't understand the "why" or aren't properly trained. Ignoring this human element guarantees low adoption & eventual project failure. Actionable recommendation: Prioritize process mapping & optimization before selecting technology. Involve end-users & key stakeholders in the design of new workflows. Allocate at least 20-30% of the project budget to change management, including comprehensive training, communication, & ongoing support. Focus on how the technology enables people & processes to be more effective, not just on the technology itself. |
This week, review one stalled digital transformation initiative in your portfolio. Identify the single individual explicitly accountable for its success & the specific 3 P&L metrics it's supposed to move. If you can't, fix it. |
Mario |
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💼 The skills of 2026 - most skills required at the workplace in 2026 were not broadly available in 2025, and most employees aren't prepared for jobs in the agentic era. Here's my write up on what career workers need to prepare for and study up on before shifting gears. |
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Market insights & opportunities |
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Stryker shows healthcare is now on the critical-infrastructure target list. Commentators expect more politically motivated attacks against Western healthcare and other critical sectors as geopolitical tensions rise. |
Partech Impact is filling Europe's growth-stage gap with PE-grade scaling support. €15-25M tickets for €7 to 10M revenue companies, plus operating systems, governance, and scale mechanics for international expansion. |
This deal is about breaking silos, not just buying Kafka. IBM is effectively productizing real-time architectures for supply chain, IoT, inventory, and ML ops-turning streaming into an enterprise operating model. |
Creative work gets its own "context OS". First Concepts raised $1M to sit above fragmented tools, keeping shared context and "taste" consistent across pitches and creative workflows. |
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KDP Publishing Brand: A 6-year-old Amazon KDP publishing business focused on exam content, supported by recurring demand and an automated funnel. Generating ~$7.6K in monthly profit at strong 72% margins with a 13K email list, it's priced at $96,000. |
AI Entertainment Marketplace (Partial Sale): An AI-powered SaaS marketplace with strong traction across 93K users and 2.3M contacts, plus partnerships with major studios. Generating ~$8.9K monthly profit at 69% margins, a 90% stake is available for $298,360. |
Education SaaS Platform: A 12-year-old digital education SaaS with a global footprint and play-based language learning model. Producing ~$11.4K monthly profit at 82% margins with 265 subscribers and low churn, it's listed at $675,170. |
FBA Food & Beverage Rollup: A 3-year-old Amazon FBA rollup in the food and consumables space, built for scale with financing options available. Generating over $108K in monthly profit with $4.1M annual revenue, it's offered at $2,750,000. |
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Working with me |
🌐 Scaling $30M - $100M+ mid-market companies with value creation through RevOps, data engineering, and WordPress. DevriX provides full RevOps consulting + delivery with GTM enablement for PE-backed portfolio companies, traditional tech, healthcare, finance, and professional service businesses pacing toward revenue growth initiatives. Our standard retainers between $10K and $60K include revenue lifecycle services for marketing and sales leaders, FP&A for financial teams, pipeline enrichment through websites and dozens of lead sources, automations and delivery integrations, CRO and ongoing testing, product delivery and platform integration solutions, and more through our consulting solutions. |
🚀 1:1 Consulting. At Growth Shuttle, I run two popular plans: Async Advisory ($3,500/mo) for $3M - $30M founders and executive teams and the smaller Strategic Growth Circle ($997/mo) for $100K - $500K entrepreneurs, agency founders, scale ups. My fractional executive plan is also available here. |
📈 Building US LLCs from Europe. I help European and Asian founders scale faster through doola and their "Business in a Box" model. Also suitable for US citizens (given their bookkeeping solution), but in very high demand across Europe. |
📊 Post-Merger Integration. We take on M&A initiatives with Flippa. Working closely on PMI retainers for PE companies and fast-growing startups integrating new companies within their portfolios, enabling data pipelines, and securing more deals through my personal network. |
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