Financing will take you a long way, but at the end of the day, people are the key to a successful business.
The Predictive Index, which develops cognitive and behavioral assessments of employees, has raised a $ 50 million round of growth-stage capital from venture capital firm General Catalyst to help companies select the right talent.
Kirk Arnold, an Executive in Residence at General Catalyst and the new board member of Predictive Index, led the deal for the VC signing, which says the round is the first largest check a company has ever written. Predictive index refused to disclose the valuation.
The workplace analytics service was founded in 1955, making it slightly older than your typical growth stage business. Current CEO Mike Zani (pictured right) acquired the company in 2014 with President and CEO of Predictive Index Daniel Muzquiz (pictured left). Before the acquisition, the two were clients of the business.
With the infusion of venture capital funds, Zani said he will double the number of employees, create a playbook on how to “successfully design, hire and inspire winning teams” and create a talent optimization industry conference, between other great plans.
“Most companies are losing the talent war, and not because of lack of fighting, but because strategic talent strategies do not exist or are broken,” Zani told TechCrunch. “The irony is that talent is one of the only lasting differentiators in business today. Most of the tools on the market help with the process or the tactical aspects of the people and ignore the strategic. TO [Predictive Index] “We bring the strategic discipline of talent, or talent optimization, into the hands of those who want to use talent as a lever for business performance.”
Based in Boston, Predictive Index says it has about 7,000 customers in 142 countries, including Nissan, DocuSign and Blue Cross Blue Shield.
“This year, low unemployment and high turnover will further magnify the importance of talent,” Arnold said in a statement. “Having a talent strategy that aligns with and supports the business strategy is a requirement for any business to be successful.”