How do our software companies maintain their autonomy?


October 21st, 2021


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Vesta Software Group

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Here at Vesta, our decentralised structure is one of the key elements that sets us apart from other firms. Together with our wider group, we have acquired hundreds of software companies and have never sought to take over the day-to-day operations. Instead, we trust that each of our companies are the best at what they do and have the best team to deliver on their potential.

We trust, encourage and support independence

A quote from Constellation Software’s (Vesta’s parent company) founder and CEO, Mark Leonard, is a great place to start on the importance of autonomy to us:

“Constellation Software’s strategy is to be a good owner of hundreds (and perhaps someday thousands) of growing autonomous small businesses. Our strategy is unusual. Most CEO’s of public companies would rather run a single big business – perhaps two or three big businesses, but rarely 200 business. They expect (or hope) to get above-average returns on capital by pursuing economies of scale and by crushing and acquiring their smaller competition.

We recognise that economies of scale, centralised management and world-class talent competing in large and growing markets can be a great business-building formula. But, it isn’t what we do. We seek out vertical market software businesses where motivated small teams composed of good people, can produce superior results in tiny markets.

What we offer BU Managers is autonomy, an environment that supports them in mastering vertical market software management skills, and the chance to build an enduring and competent team in a ‘human scale’ business. Our employees, and the customer relationships that those employees have built and fostered over many years, provide our competitive advantage.

– Mark Leonard, Founder & CEO, Constellation Software, Inc.

While we run and champion a decentralised structure, there are some elements, such as finances, that will change for a business, post-acquisition. However, all decisions regarding operations are left up to business itself. Rather than holding them back and stifling growth, we instead encourage and support all teams to plan and execute their own well-thought-out plans.

No company within the family is ever alone

Autonomy may be key to the daily running of our family of software companies, but no one is ever alone. We’ve developed an open culture of knowledge sharing and support amongst our like-minded software business leaders – many of whom encounter similar challenges – to ensure that effective and proven solutions or answers can be found.

Do you think Vesta Software Group could be a good fit for your business? If so, get in touch with our team today.