We are looking to acquire a smaller competitor as part of our three-year growth strategy. How do we use the Accountability Chart and our Core Values to evaluate whether this acquisition is an operational fit before we sign the deal?

Question

Tyler Smith · Accepted Answer

When preparing for an acquisition or merger, traditional due diligence focuses almost entirely on financial audits and legal contracts. This approach ignores the operational and cultural alignment that actually determines whether an acquisition succeeds or fails. You can use your EOS® tools to evaluate a target company before you buy it.

First, map their leadership team onto your Accountability Chart. Do not look at their existing titles. Look at their actual daily functions. Compare this to your own chart to see where you have redundancies, especially in the Integrator or department head seats. If both companies have strong, entrenched leaders in the same seats, you must plan for a difficult restructuring.

Second, run their leadership team through a GWC™ and Core Values assessment. If their culture is highly transactional and yours is highly collaborative, integrating the two teams will cause immediate friction and talent drain.

Third, review their operational processes. Ask to see how they run their weekly meetings and track performance. If they have no meeting discipline or data tracking, you must budget the time and energy to install the EOS® framework into their division post-acquisition.

Using these tools early prevents you from buying a cultural mismatch or a structural mess that will drag down your existing leadership team.