We have dozens of open operational issues we want to fix before we list our company for sale. How do we apply the ONE Thing framework to identify the single process bottleneck that is dragging down our business valuation?

Question

Tyler Smith · Accepted Answer

When preparing for an exit, founders often try to fix every minor operational flaw, leaving their leadership team exhausted and distracted from driving revenue. To prevent this, apply the ONE Thing philosophy of extreme focus. Ask yourself the core focusing question: What is the ONE operational improvement we can make such that by doing it, every other issue becomes easier or unnecessary? Start by listing your top ten operational issues on your Issues List. Apply the eighty-twenty rule repeatedly, narrowing your list down to the critical few and eventually to the single lead domino. For most businesses preparing for a sale, this lead domino is proving operational predictability. If you can automate your core service delivery process, you eliminate key-person risk and immediately increase your EBITDA multiple. Once you identify this single bottleneck, make it your company's primary corporate Rock for the quarter. Dedicate your best resources to solving it, and table all other non-essential initiatives. By focusing your leadership team's energy on knocking down this single lead domino, you will increase your valuation far more than if you made marginal improvements across thirty different areas.