The operational tempo driving private equity CIOs

Private equity has long held a certain appeal for enterprise CIOs. For technology leaders operating inside large organizations, the prospect of clearer alignment to enterprise value, outsized equity upside, and a defined liquidity horizon can be compelling. For those in transition, it can represent a more concentrated chapter of impact.

The hesitation is rarely about technical competence. Most seasoned CIOs are confident they can lead a technology function. The more important question is structural. What actually changes inside a PE-backed company, and how does the leadership mandate differ from a traditional enterprise environment?

Rusty Kennington has navigated that transition multiple times. Now CIO of Denali Water Solutions, a US based specialty waste and environmental services company backed by TPG Growth, he’s in his fourth private equity CIO role. He previously led technology organizations at Oldcastle BuildingEnvelope, Henry Company, and Corsicana Mattress Company through successful liquidity events. Having also operated in more traditional corporate environments, he brings perspective across both models.

While each firm and portfolio company is unique, there are consistent dynamics CIOs should understand before making the move.

The mandate is familiar, the time horizon is different

At a foundational level, CIO responsibilities remain intact under PE ownership. “All CIOs are driving change and are measured by business outcomes,” says Kennington. “And they all achieve results through their teams.” Modernizing platforms, managing risk, strengthening cybersecurity, building talent, and aligning tech investments to strategy remain core elements of the role.

What changes is the intensity and compression under which those responsibilities are executed. “In PE, the degree of change being marshalled is more dramatic across the company, and everything is under significantly more pressure,” he says. “The clock was already ticking before you joined the company. It began when the deal team built their thesis, so you’re already behind.”

That observation captures one of the defining characteristics of PE environments. The investment thesis predates the CIO. The company has been acquired against specific value creation levers such as EBITDA expansion, M&A integration, operational efficiency, and digital enablement. Those levers are modeled into a financial case tied to a defined exit timeline. The CIO isn’t shaping an open ended modernization journey but rather accelerating a value creation plan that’s already in motion.

Decision velocity and enterprise value alignment

A defined exit horizon changes how decisions are made. Capital allocation is evaluated explicitly through its impact on enterprise value, and missed commitments have visible financial implications. “There’s no time or room for politics,” Kennington says. “Nobody’s bigger than the team goal.”

In many large enterprises, extended consensus building can slow decision cycles. In a PE-backed company, alignment is typically anchored around the deal thesis, which accelerates prioritization and execution. “The entire leadership team is aligned on the same goal, and decisions are usually made very quickly,” he adds.

Kennington describes the pace as class 6 rapids to reflect both urgency and accountability. “Most people shouldn’t be on the water,” he says. “Everyone in the boat has a job to do, and the mission is bigger than each person in the boat.” The speed can be liberating for leaders who thrive on clarity and urgency. It can also be unforgiving for those accustomed to longer transformation arcs.

Executing against the investment thesis

For Kennington, execution begins with disciplined clarity around the investment thesis and his mission starts with understanding it the best he can, pushing for alignment during the interview process, and reconfirming it upon joining. Early assessment spans technology debt, process maturity, financial discipline, leadership capability, and cultural trust.

“You’re turning a battleship,” he says, describing the scale of change often required. So leadership alignment comes first, followed by resetting performance expectations. “You’ll have to raise the bar,” he continues. “It’s one of the most effective ways to strengthen without adding headcount.” That performance orientation is operationalized through structured talent evaluation and explicit accountability. In a private equity environment, involvement is insufficient. Commitment is expected.

Also, transformation isn’t driven by abstract aspirations to be best in class. It’s anchored in building the capabilities that directly enable the deal thesis within the hold period. “You have to show how the roadmap impacts value as perceived by a buyer,” Kennington says. “It’s part of the equity story.” That requirement demands financial fluency, and decisions around sourcing, capital structure, integration architecture, and cost optimization are evaluated through their contribution to valuation. Early in the lifecycle, effectiveness may take precedence over efficiency. Reducing risk, eliminating technical obsolescence, and enabling growth often come first, with cost optimization following once core value levers are activated.

The same discipline applies to data and digital ambitions. “Data is produced by processes,” Kennington says. “If processes aren’t mature enough to capture what you need, your value levers get challenged quickly.” In compressed timelines, process immaturity isn’t theoretical. It directly constrains valuation potential and requires coordinated intervention across the executive team.

Do your personal diligence

For CIOs considering a move into private equity, the most important diligence may be personal rather than technical. “Invest the time and soul searching to understand your lane — what you like and dislike, and what you’re great at,” Kennington says.

Private equity environments amplify leadership tendencies. CIOs who thrive in ambiguity, and are comfortable making decisions with imperfect information, and motivated by measurable enterprise value impact often find the experience energizing. Those who prefer extended consensus building or longer transformation cycles may find the compression relentless. “Life is too short and days too long to spend it on something you don’t like,” he says.

But private equity isn’t a shortcut to prestige, nor a guaranteed financial outcome. It’s a concentrated test of whether a CIO can translate tech leadership into enterprise value within a defined window. For some leaders, that concentration sharpens impact and accelerates growth. For others, it clarifies that their strengths are better suited to more drawn out environments. The key is understanding which context best aligns with how you lead before making the first step.