
Private equity is shifting toward an era of "roll-up-your-sleeves" operational value creation, where success depends on deep, hands-on management rather than simple financial engineering. Anuj Ranjan, CEO of Brookfield’s private equity business, emphasizes that long-term patience and leveraging a broad corporate platform are essential for navigating cyclical markets. By targeting "unloved" corporate carve-outs, firms can unlock value through pricing optimization, footprint rationalization, and the integration of advanced technologies. While traditional industrial businesses have historically underinvested in digital infrastructure, the current execution phase of AI offers transformative potential. Predictive maintenance and physical AI, including future humanoid robotics, promise to significantly boost productivity in asset-heavy sectors. Ultimately, the most effective strategy involves retrofitting these essential industrial businesses with modern AI tools, managed by leaders who prioritize hiring top-tier technical talent to drive efficiency.
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