The Role of HR/CHROs in Private Equity-Backed Companies


Martina Lambeck looks back on 20+ years in Human Resources and Business Transformation roles. She started in recruiting and people/talent development before she moved to international mobility and expatriate management.

Since 2009, she has been Global HR Leader and Group CHRO for companies ranging up to 20.000 staff. The topic of business transformation has been a leitmotif throughout her professional life. While she very much enjoys working in family owned businesses and listed companies, she spent a considerable portion of her career in companies that were Private Equity owned.

The expectation to HR to act as a business function matches her own understanding of HR in that it needs to bring added value to the business and make a strong contribution to increasing the company`s success.

Martina, you’ve worked in three different companies owned by private equity firms. What attracted you to this environment?

I’ve always loved working in a very ambitious place. I’m someone who not only defines HR strategies but also implements them – I’m a doer. That’s exactly what a PE-owned company demands. It’s a place where you can prove your value through the results of your work. For me, that creates a lot of the appeal. You’re judged by your performance and your performance only.

Of course, this also means you can’t fall back on past achievements. But if you’re a performer, if you enjoy the challenge, then this is the right place for you. I’ve always led business transformation projects in HR—and transformation is central in PE-owned companies. That’s what I enjoy most.

Do you see any commonalities across the PE owned companies you’ve worked with?

People often talk about “the PE experience,” but actually, there is no one PE experience. Each private equity firm has its own culture just like any other company. Still, there are some similarities. Portfolio companies are usually working toward a transaction, so there’s always a clear vision and clear goals. The business case is often very transparent, as are expectations towards the leaders. If that suits your personality, you’ll appreciate that clarity.

Because of the defined timeframe, there’s a strong sense of urgency to drive change. In many other companies, change is discussed but never really implemented. In a PE-owned business, change happens because it has to. That intensity isn’t – as it’s often called – pressure, in my view it’s what makes the work so fulfilling. You have to make decisions quickly and be ready to lead. If you want to make an impact, it’s a great environment to grow.

What does it take to be successful as a CHRO in a PE-backed company?

Top leaders in any company should think and act like entrepreneurs, aiming to increase the company’s value. PE-backed companies are one of the few places where HR is explicitly expected to show that entrepreneurial spirit. I think that’s fantastic. 

Every function including HR must contribute to the business. You need all hands on deck and collaboration across functions is essential. Leaders must engage not just in their own fields, but in commercial and operational topics as well. You really start thinking like an owner and for me, that’s been incredibly fulfilling. 

But more important than perfect functional skills is mindset. You have to enjoy working in an intense, demanding, high-paced environment. You’re constantly dealing with ambiguity and conflicting priorities and you need to be okay with that. It’s not about your functional background primarily, it’s about whether you align with the way things are done in a PE-owned company. 

Does HR play a leading role in culture change?

Culture change is often seen as a “soft” HR topic, but it can’t be led by HR alone. I’ve helped lead a successful culture transformation in a PE-backed company but that was possible only because it was a shared responsibility among all senior leaders. Local and HQ leadership pushed for it together. Even then, changing mindsets and ways of working is incredibly hard.

Culture change isn’t always required during the time of PE ownership, but when it is like during post-integration, it’s critical that HR teams on both sides collaborate. You have to build bridges, foster understanding, and guide people toward embracing the new cultural concepts 

It sounds like it requires strong team alignment.

Yes. Some of my most powerful teamwork experiences were in PE-backed companies. There’s a shared vision, a tight timeframe, and that means everyone needs to pull together. You can’t succeed alone.

In HR, for example, you might be expected to deliver high-quality data at short notice without having the perfect systems in place. That’s when the strength of your team becomes essential. And you need to be hands-on yourself. Seniority doesn’t exempt you leaders are expected to roll up their sleeves and get involved.

What role do the PE owners play in motivating and retaining talent?

I think good storytelling is essential. When the PE firm and company leadership together can paint a compelling picture of the future and show how every individual can contribute to that journey, this has a huge impact on motivation.

It also helps reduce the uncertainty some people might feel about working under private equity ownership. If the direction is clear and people understand the “why,” they’re much more likely to stay engaged.

Which HR processes or tools are particularly important in a PE environment?

Let me focus on one: recruiting. I’ve seen highly qualified people fail in this environment, not because they lack expertise, but because they didn’t have the right mindset. 

I do think that in a PE-owned company, mindset matters more than functional perfection. You have to be transparent in the recruiting process about the intensity and pace. And you have to evaluate whether the candidate is truly prepared for that. Otherwise, it won’t work.  

What does effective incentivization look like in PE-owned companies?

The sense of urgency often helps speed up change including in how we design rewards. For example, instead of rigid annual targets, you can use monthly goals especially in sales to keep momentum high. People who thrive in this environment want to see immediate results and be rewarded based on their performance now, not 12 months from now.

I also became a fan of company-wide goals rather than individual ones. If we believe that everyone contributes to the company’s success, then let’s reward collective outcomes.

We even once piloted incentives for frontline employees tied to their direct impact on revenue. That was an ambitious and complex project, but it showed appreciation to everyone’s contribution and reinforced a performance mindset.  

And of course, equity plays a central role. It’s a powerful way to create a sense of ownership. But that sense of ownership shouldn’t be limited to top leadership – it should extend to as many employees as possible through suitable incentive tools. 

What’s your outlook for HR and PE-backed companies?

One of the most powerful experiences for me has been working in cross-functional leadership teams that act like co-owners. That`s what the PE environment enables. You don’t have to fight for a seat at the table. HR is expected to lead and deliver. 

But you also need to perform. That’s the tradeoff. It’s intense, but it’s a place where you can grow not only as a professional, but as a person. It stretches your boundaries, expands your view, and shows you what you’re capable of. I’ve always greatly enjoyed that. 


Interview by Annett Zippel

Annett ZippelAnnett specializes in executive search and leadership advisory within the life sciences industry. She works with biotech, pharmaceutical, and healthcare companies to build strong leadership teams that drive innovation and growth. With a deep understanding of industry dynamics, she helps organizations navigate change, align talent with strategy, and foster high-performing teams. Passionate about connecting people and ideas, Annett is committed to shaping the future of life sciences through impactful leadership.