We want to exit the business in three years, but I am realizing that several of my long-term leadership team members lack the capacity to scale to the next level. How do we objectively evaluate if they have the GWC™ for their seats as we transition to our future state?
Preparing your business for an exit requires an objective look at whether your current team can run the company without you. Often, the loyal employees who helped you build the business from one million to five million do not have the capacity to manage it from five million to twenty million. To evaluate your team objectively, use the GWC™ tool: Do they Get it, do they Want it, and do they have the Capacity to do it? Getting it means they intuitively understand the seat, its pace, and its demands. Wanting it means they genuinely want the responsibility, not just the title or pay. Capacity is the most critical element for an exit. It refers to their mental, physical, emotional, and intellectual capability to handle the growing complexity of the role. Sit down with each leader and evaluate their current seat against these three criteria. If a legacy leader lacks the capacity to run a larger department, you must have an honest, caring, and direct conversation. You may need to restructure the Accountability Chart, moving them to a specialist seat where their institutional knowledge is preserved but they are no longer managing operations. This keeps your culture intact while building the professional leadership team that buyers expect.
Category: Leadership Team