b'ILPA PRIVATE MARKETS EDGE Q2 20216 7TAKE ACTION - LP TECHNOLOGY TAKE ACTION - LP TECHNOLOGYThe TechnologyIntroducing the Technology Challenge Vendor Resource CenterWHAT IS THEAlthough private markets programs have benefited from GPs and portfolio companiesThemostcommonobstaclenotedbyLPsintheirconsolidation in recent years (e.g., BlackRock acquisition CHALLENGE? alike finding innovative ways to apply technology to drive better investment outcomes,assessmentofnewtechnologytoolswasashortageof eFront, Nasdaq acquisitions of eVestment and Solovis) most LP organizations are still searching for solutions to what many would view asoftimeand/ortheabsenceofinternalexpertise.The and most technology reviews begin on the back foot. relatively basic technological needs. This holds true regardless of organization size, type,average LP organization is thinly staffed and layering on anJustwhenanLPgetsitsarmsaroundtheuniverseof location or portfolio composition.additional set of responsibilities beyond core investmentprimary players, an interesting new firm springs up (e.g., According to the 2020 ILPA Industry Intelligence Report on LP Technology, nearly three- tasks represents a tall order. Add to this a dynamic andChronograph) or a compelling extension is added to an quartersofmemberrespondentsreportedbeinglessthanfullysatisfiedwiththeirever-evolving vendor landscapeeven after a wave ofestablished product.current suite of technology tools, and this was despite increasing spending levels; more than one-third allocate over 100K USD annually. While specific organizational challenges vary, most LPs have difficulty: NAVIGATING THEPowered byDefining ObjectivesMost underinvest in the upfront diagnosis of their issue(s),TECHNOLOGY LANDSCAPEfail to sufficiently consider the people and process elements of a technology shift and leave open or ill-defined the ultimate measures of successWith this issue of Edge, in partnership with PE Stack, ILPA UnderstandingChoicesKeepingpacewiththeever-evolvinguniverseofisreleasingourTechnologyVendorResourceCenter. vendors and solutions represents an uphill battle in the best of circumstancesComprisedofaninteractivevendordatabasewithin-and is nearly impossible when done in an ad-hoc fashion by investment teamsdepthinformationandstreamlinedPDFfactsheets,the that are already stretched to the limit Center covers a broad cross-section of the LP technology IntegratingTechnicalSystemsEvenafteridentifyingtherightsolution,space and also includes a vendor map that helps place assimilating new tools with legacy systems and data is one challenge thatofteneachproviderinthecontextofthecoreservicesthey brings integration to a halt and can undermine adoption provide. This resource should serve as an effective and efficient entry point for LPs seeking to map the universe ManagingChangeDesigningnewprocessesthatdovetailwithupgradedand start narrowing in on the options most likely to meet technology and building internal (or hiring in) new skill sets to take full advantagetheir individual needs. of system potential is often an afterthought and leads to realizing only a fraction of the expected value of the projectThe goal of this on-demand resource for LPs is to help ILPASAcriticalstepinbreakingthecycleofdisappointmentwithLPtechnologyliesinteams accelerate down the path of connecting with high RESPONSEdeconstructing the challenge into its component parts. Only then can LPs design anpotential providers and get to the questions that matter approach that speaks to the risks their organization is most likely to face. In collecting,more quickly.TO THEcategorizing and sharing the experiences of members, ILPA aims to shorten the learning CHALLENGE curve on a topic that may be episodic for most investment teams, but felt every day andVISIT THE critical to long-term success. Thisresourcemayalsogenerateinformation-sharingRESOURCE This issue of Private Markets Edge focuses on content and tools that elevate LPs abilityamongst LPs. Testing ideas and assumptions with peersCENTERto understand choices and anticipate challenges in the technology space. Read on forbefore launching into a major technology initiative, and ILPAs latest resource on technology vendors, hear from technology expert Ken Akoundilearningfromtheirexperience,materiallyincreasesthe of Cordatius LLC, register for an upcoming technology webcast and hear from memberschanceofsuccess.Forthatpurpose,ILPAencourages about their own journey to modernize.members to use ILPA Connect to reach out to fellow LPs.ILPAS CONTENT ON TECHNOLOGY HELPS LPS:SetappropriateobjectivesthattechnologymodernizationPrepare for challenges in integration and change management should seek to achieve by learning from the experience ofthrough discussions with like-minded and similarly orientedGET INVOLVEDfellow members and from experts industry peers Understand the universe of technology vendors and if theRegister for the LP Technology Vendor Landscape Webcast: June 22 11 AM EDTsolutions they offer are fit-for-purpose'