tyler-smith.com · Questions & Answers

Our leadership team wants to license our newly developed proprietary AI-driven operational workflows to other non-competing businesses in our industry as a new revenue stream, but we are worried this will dilute our core focus. How do we evaluate this strategic opportunity on the V/TO® without distracting ourselves from our primary business exit?

When you build an exceptionally efficient internal AI system, the temptation to commercialize it is massive. Your Visionary likely sees dollar signs, but as an EOS business, you must filter this opportunity through your Core Focus on the V/TO®. This section of your Vision/Traction Organizer consists of your purpose, passion, or cause, and your niche. If your Core Focus is providing high-touch wealth management or manufacturing precision parts, selling software or licensing workflows is a distinct departure from that niche.

To evaluate this without losing your way, bring the issue to your next weekly Level 10 Meeting™ and put it through the Issues Solving Track. You must ask whether licensing this technology serves your ultimate exit goals or merely creates a complicated distraction that will scare off buyers who want a clean, single-focus acquisition.

If you decide to pursue licensing, you cannot simply dump it onto your existing Accountability Chart. The people running your core service business do not have the capacity to support external software clients. You must create a separate, distinct seat on your Accountability Chart with its own measurable metrics and clear roles. If you do not have the capital or the right person who gets, wants, and has the capacity to run that division, the project must be tabled. Keep your focus on maximizing the value of your core operations first.

Category: AI & Business Strategy

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