Our very first employee has been our loyal Director of Operations for eight years, but as we scale toward an exit, the seat has grown too complex. He fits our core values perfectly, but he clearly does not GWC the seat at this new scale. How do we make this tough right-person-right-seat call without destroying our company culture or looking ungrateful?

Question

Tyler Smith · Accepted Answer

This is one of the hardest decisions an owner will face, but keeping someone in a seat they do not GWC™ out of loyalty is actually a disservice to both the employee and the business. As you prepare for an exit, buyers will scrutinize your leadership team. If they see a leader who is overwhelmed, it signals risk and lowers your valuation.

Start by separating the person from the seat. Use the GWC™ tool to evaluate them objectively. They clearly fit your core values, meaning they are the right person. But do they truly get, want, and have the capacity for this larger operational seat? Capacity is not just about hours; it is about intellectual, emotional, and physical capability to lead at this new scale.

Have a candid, compassionate conversation. Share the future-state Accountability Chart and explain how the seat has evolved. Most of the time, an overwhelmed employee already knows they are struggling and feels the stress. Ask them if they still want the pressure of this evolved seat.

Your goal is to find a seat where they do GWC™ and can thrive. This might mean moving them into a highly specialized individual contributor seat or a focused division manager seat. If no such seat exists, you must help them transition out of the company with dignity and a generous severance. Keeping them in the wrong seat will eventually lead to frustration, underperformance, and damage to the very culture you are trying to protect.