Our senior leadership team is fully aligned on our V/TO®, but we worry our middle managers are not ready for the scrutiny of a buyer's operational due diligence. How do we prepare our tier-two managers for the exit transition?

Question

Tyler Smith · Accepted Answer

A buyer does not just interview the founder and the leadership team. They will look deep into your organization to see if your operational culture actually runs throughout the company. If your middle managers cannot articulate the company's direction or explain how their departments hit their targets, the buyer will assume your systems are superficial.

To prepare your tier-two managers, you must push the EOS® tools down through the entire organization. Your middle managers must run their own Level 10 Meeting™ weekly and own their department Scorecards and Rocks. They need to understand how their daily efforts directly impact the high level numbers on the corporate Scorecard.

This alignment makes the business easier to run today and proves to a buyer that your operating system is deeply institutionalized. When a buyer interviews a department manager and hears them speak clearly about their metrics, processes, and Rocks, they see a highly professional organization that does not require micromanagement.

Use your exit runway to coach middle managers on accountability. Ensure they have clear roles on the departmental Accountability Chart and that they fully GWC™ their seats. By empowering this middle tier, you eliminate key person risk at the leadership level and build a resilient business that commands a premium multiple.