While our executive leadership team is highly capable, our middle managers and frontline supervisors still rely heavily on direct guidance for daily operational problems. How do we develop this middle-management tier on our exit runway so buyers do not see our operations as fragile?

Question

Tyler Smith · Accepted Answer

A business that depends on a few key executives to solve every frontline issue is fragile and difficult to scale. To de-risk this operational layer, you must systematically build the leadership capabilities of your middle managers.

Start by ensuring every middle manager has a clear understanding of their role on the Accountability Chart. They must know exactly what results they are responsible for achieving and what metrics they need to track.

Next, cascade the EOS tools down to the departmental level. Implement departmental Level 10 Meetings where middle managers run their own agendas, track their own scorecards, and solve their own issues using the IDS process. This training prevents them from escalating every minor problem to the executive team.

Encourage your executive leaders to step back and allow their managers to manage. When a supervisor brings a problem to an executive, the executive should ask how the supervisor plans to solve it, rather than taking over the task. By developing a strong middle-management layer, you prove to prospective buyers that your business has the operational depth to run smoothly and scale after you exit.