tyler-smith.com · Questions & Answers

I want to exit the business in thirty-six months, but my leadership team is too reliant on my daily input for critical decisions, meaning we lack the operational independence a buyer will demand. How do we run the leadership team without me?

If a potential buyer senses that your company cannot run without your daily involvement, your valuation will tank, or you will be locked into a painful, multi-year earn-out. To achieve a clean exit, you must transition from being the central decision-maker to letting your leadership team fully own their seats on the Accountability Chart.

You must systematically enforce the EOS framework to build this operational independence. Start with the Level 10 Meeting. If your leadership team is still bringing every issue to you for final approval, you are enabling their dependence. When an issue is raised during IDS, actively resist the urge to provide the solution. Instead, ask the team what they recommend and force them to debate and solve the issue peer-to-peer.

Next, ensure every leader has clear, measurable metrics on the Scorecard and highly defined quarterly Rocks. If they GWC their seats, they should have total ownership over how they achieve those numbers and complete those projects.

Implement a strict delegation protocol. For thirty days, challenge yourself to be completely unavailable for non-emergency decisions. Let your Integrator run the daily operations and manage the department heads. This self-imposed absence will quickly expose any gaps in your Accountability Chart and show you exactly where your team lacks the confidence or capability to lead, allowing you to fix those operational weaknesses long before due diligence begins.

Category: Leadership Team

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