McKinsey partners: you need to protect successful new ventures from the core business
Fortune Jorge Grieve
McKinsey argues that CEOs should protect scaling new ventures from core-business governance, teams, and controls as AI makes building and scaling faster. Successful ventures now reach $10 million in revenue within 31 months on average, down from 38 months previously, and break even with 40% less capital. CEOs are advised to choose where the venture sits relative to the core, run a portfolio of multiple bets, fund based on customer/commercial evidence, and prevent premature corporatization so the venture can contribute a larger share of enterprise revenue.
Why it matters
The more successful a venture becomes the harder it is to protect.
