
Looking Back, Looking Forward: What 2025 Taught PE-Backed Manufacturers About Executive Hiring and What Comes Next
Discover how leadership quality has become essential for PE-backed manufacturers. Explore key insights from 2025 and prepare for a successful 2026.
As 2025 comes to a close, one theme has become unmistakably clear for PE-backed manufacturers: leadership quality has moved from a strategic advantage to a structural requirement.
Over the past year, market volatility, policy uncertainty, supply chain fragility, and accelerating digital investment have exposed a simple truth. The difference between firms that preserved value and those that quietly lost it was rarely access to capital or technology. It was the caliber and calibration of their leadership teams.
At Kersten Talent Capital, our most-read and most-shared content in 2025 reflects this shift. Readers gravitated toward work that cut through abstractions and examined how executive hiring decisions play out in practice: under pressure, across transitions, and amid competing stakeholder demands.
What follows is a look back at five essential blogs from this past year, paired with fresh context and new questions to help you extract even more value from them. We close with a forward-looking synthesis: what these lessons suggest PE-backed manufacturers should be prioritizing as they prepare for 2026.
Breaking the Supply Chain Spiral: Why PE-Backed Industrial Equipment Manufacturers Need Logistics-Savvy Leaders
This piece resonated because it challenged a lingering misconception: that supply chain disruption is primarily an external problem. In reality, many of the most damaging downstream effects—missed deliveries, margin erosion, customer churn—are leadership failures disguised as operational issues.
The blog explored how industrial equipment manufacturers, in particular, suffer when senior leaders lack firsthand logistics fluency. Without executives who understand inventory risk, supplier concentration, and lead-time dynamics, organizations remain reactive even after the immediate crisis passes.
As you revisit this piece, consider:
- How much real decision-making authority does your leadership team grant to supply chain functions today?
- Are logistics leaders invited into strategic conversations early or only when problems escalate?
- Would your current executives recognize a structural supply chain risk before it appears on a dashboard?
These questions matter because supply chains have not “normalized.” They’ve simply become more complex. The leaders who thrive going forward will be those who treat logistics as a strategic capability, not a back-office function.
The First 100 Days: What PE Firms Should Expect from a Newly Recruited Manufacturing CEO
Few topics generated as much engagement in 2025 as CEO transitions. This blog struck a nerve by reframing the first 100 days not as a ceremonial onboarding period, but as a high-risk, high-leverage window that often determines the trajectory of the entire hold period.
Rather than offering a generic checklist, the piece examined how PE-backed manufacturing CEOs must balance credibility-building, diagnosis, and decisive action, often simultaneously. It also addressed a less comfortable reality: many sponsors unintentionally undermine new leaders by failing to align expectations internally.
When rereading this blog, it’s worth asking:
- Are your expectations for a new CEO explicit or assumed?
- Do operating partners, board members, and functional leaders agree on what “early success” looks like?
- How much latitude does a new CEO truly have to challenge legacy assumptions?
The first 100 days don’t just shape momentum. They reveal whether the organization—and its owners—are prepared to support meaningful change.
From Data-Poor to Digitally Fluent: Finding Leaders Who Can Turn Manufacturing 4.0 into ROI
Digital transformation remained a dominant topic in 2025, but this blog stood out by focusing less on technology and more on leadership capability. Many manufacturers have invested heavily in Manufacturing 4.0 initiatives, yet struggle to convert those investments into measurable returns.
The article explored why this gap persists: leaders who can approve capital expenditures but lack the fluency to integrate data into decision-making, workforce design, and operating models.
As you revisit this piece, consider:
- Do your executives understand where data should change behavior—not just reporting?
- Is digital accountability clearly owned at the leadership level?
- Are transformation initiatives tied to operational KPIs leaders actually control?
Digital maturity is no longer about adoption. It’s about translation: turning insight into action. That translation lives or dies with leadership.
Leading Through Regulatory Whiplash: How PE-Backed Manufacturers Can Hire Executives Who Thrive Under Policy Volatility
This blog captured a growing anxiety among sponsors and operators alike: policy volatility has become a permanent operating condition. Trade policy, environmental regulation, labor standards, and geopolitical realignment are now intersecting in ways that directly affect manufacturing strategy.
Rather than framing regulation as a compliance issue, the piece argued that regulatory fluency is a leadership competency, one that enables faster adaptation and better risk management.
As you read or reread this article, ask yourself:
- Do your leaders anticipate regulatory change, or merely react to it?
- How often are regulatory considerations incorporated into growth and investment decisions?
- Are you hiring executives who have navigated uncertainty before—or only stable environments?
In 2026 and beyond, the ability to operate confidently amid ambiguity will separate resilient organizations from brittle ones.
From Fragmented to Future-Ready: Recruiting for Digital Transformation in Industrial Manufacturing
If there was one meta-theme across 2025, it was fragmentation: of roles, of expectations, and of hiring processes themselves. This blog addressed how outdated recruiting models actively undermine transformation by prioritizing functional silos over integrated leadership capability.
The piece made the case that future-ready manufacturing leaders must bridge domains: operations and IT, strategy and execution, people and technology. Recruiting for yesterday’s org charts simply won’t produce tomorrow’s results.
As you revisit it, consider:
- Are your executive roles designed around the future state of the business or its past?
- Does your hiring process evaluate cross-functional influence, or just domain expertise?
- How often do you revisit leadership profiles once a transformation is underway?
Future-ready recruiting is less about filling seats and more about architecting leadership systems that can evolve.
Looking Ahead to 2026: What These Lessons Add Up To
Taken together, these five pieces point to a larger conclusion: the next era of value creation in PE-backed manufacturing will be leadership-led, not leverage-led.
In 2026, the most successful organizations will be those that:
- Hire executives with real operating judgment under uncertainty
- Align leadership expectations early and explicitly
- Treat digital, regulatory, and supply chain complexity as strategic inputs
- Design leadership roles for integration, not insulation
Perhaps most importantly, they will recognize that hiring is no longer a discrete event. It is an ongoing strategy, one that shapes how organizations respond to volatility, capture opportunity, and compound value over time.
If 2025 taught us anything, it’s this: the cost of getting leadership wrong is no longer theoretical. The upside of getting it right, however, has never been greater.
As you plan for the year ahead, the question isn’t whether leadership matters. It’s whether your approach to hiring reflects the reality you’re stepping into.
The gap between leadership capability and operating reality is where value is won or lost. Connect with Kersten Talent Capital to ensure your next hire strengthens—not strains—your 2026 plan.
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