We are beginning to build our exit-ready superstructure, but some members of our leadership team are holding back information and working in silos because they are hyper-focused on how their individual departments will affect their personal payouts. How do we realign them?

Question

Tyler Smith · Accepted Answer

When a company begins preparing for an exit, it is common for leaders to become protective of their personal interests and departmental metrics. However, when your executives operate in silos to maximize their individual positions, they destroy the enterprise value you are trying to build. You must shift their focus from individual gain to collective success. To break these silos, you must realign the team around a single, shared vision. Revisit your V/TO® and ensure that every leader understands the ultimate goal of the business transition. Be open about how the exit will benefit everyone, including career growth, equity options, or transition bonuses. When leaders understand their future in the post-exit organization, their anxiety drops, and their willingness to collaborate increases. Next, reinforce that the leadership team is a unified body. Their primary responsibility is the health of the entire company, not just their individual departments. In your Level 10 Meeting™, ensure that your IDS® sessions focus on cross-functional issues that impact overall enterprise value. Encourage healthy conflict and hold each other accountable for company-wide Rocks rather than just departmental goals. Building a strong, unified leadership team is critical because buyers look closely at management cohesion during due diligence. If they detect political maneuvering or informational silos, they will see high investment risk and discount your valuation. By fostering healthy relationships and alignment within the leadership team, you reduce operational friction, accelerate results, and present a professional, united front that commands a premium valuation.