tyler-smith.com · Questions & Answers

Since we announced our two-year timeline for a clean exit, my leadership team has engaged in subtle political jockeying to position themselves as the logical post-acquisition CEO, which is distracting from our current Rocks. How do we use the Accountability Chart and LMA to neutralize this political posturing?

When a clean exit is on the horizon, leadership teams often descend into political posturing as individuals try to secure their future roles. This self-orientation distracts from daily execution and threatens your transaction value.

To neutralize this political jockeying, you must bring absolute clarity to the transition process. First, address the elephant in the room. During your next quarterly meeting, state clearly that buyers are looking for a highly aligned, stable management team that executes consistently. Any internal politics or drop in performance will directly reduce the company's valuation and threaten the deal.

Use your Accountability Chart to keep everyone focused on their current seats. Remind the team that their eligibility for future leadership roles depends entirely on their current performance and how well they lead, manage, and hold their teams accountable (LMA).

Tie their focus back to the V/TO® and your current Rocks. Ensure that your retention bonuses or exit incentives are structured to reward collective execution, rather than individual achievement.

If a team member continues to play political games or build alliances, address it immediately in your one-on-one sessions. Force them to focus outward on the success of the company rather than inward on their personal status. This maintains a clean, transparent operating environment that buyers will find highly attractive.

Category: Leadership Team

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