Mike Paton has helped thousands of business owners achieve their vision through simplifying their operating systems. In his recent Fridays with Vistage Webinar, “Six Keys to Better Strategic Execution,” he explained how his Entrepreneurial Operating System® (EOS) improves strategic execution and vision.
In general, there are two types of companies: Those that are frustrated with poor strategic execution, and those that set goals, are balanced, operate faster and smoother and have better results. You can move your company from one to the other by mastering the six key components of the Entrepreneurial Operating System®. Mastering the following components allows
you to be in control of the pace of your company, generate better results, and consistently beat your competition.
The first key is to get your leadership team on the same page and make your vision accessible to everyone else. First, create the vision. Get your leadership team in the same room and agree on a simple strategic plan, core values, and your ten year and three year targets. Then, over communicate. Make that agreed upon vision accessible to everyone in the company and constantly remind your staff of it, so that everyone is on the same page all the time.
When you have the “right people” in the “right seats,” it creates the right accountability and flow in your company. To identify the “right people,” rate everyone in your company – how often do they exhibit your core values? Then, set the bar – what is the level at which people stay or go? Constantly evaluate and provide feedback to your employees. To understand who is in the “right seats,” imagine that you “fired” all your employees and then reevaluated where they best fit. Who is your idea person? Who is best with sales, marketing, operations, and finance? Make sure your employees are wired for their roles and they will shine and work within your vision easily.
Determine what key numbers really matter. What are the five to fifteen metrics key to your survival? Pick activities-based indicators, not trailing ones – you need to be able to measure quickly. Start with the leadership team and assign an “owner” to each metric – someone responsible for keeping it on track. Then, create key metrics for each department team – down to individual measurables – to the point where each individual is specifically responsible for keeping one metric on track.
This component is all about the art and science of solving your own problems as they arise. Understand what the key issues for your company are – they’re the same as the things you used to define your vision component. Then, break those down for each department, team and individual. Encourage your teams to “identify, discuss, and solve” for each issue.
Process is about getting the most important things done the right and best way. Having the right processes in place creates consistency, scalability, profit, and most importantly, fun . Leaders should agree on core processes, and then document each with a concise checklist to train your employees and create consistency.
Traction is about bringing your vision down to the ground, executing every day, focusing on the right things, and instilling discipline and accountability. Execute in a “90 day world” – keeping your goals accessible and fresh. Have weekly meetings with a “meeting pulse” – always on the same day and time with the same agenda. Constantly evaluate your meeting process to see if there is room for improvement.
To get started on improving strategic execution in your own company, don’t try to do everything at once – identify the one component that you feel needs the most work and focus on strengthening that component in the first 90 days. By doing this, you will quickly regain a grip on your business and get your strategic execution on track.
For more information on Mike Paton and the Entrepreneurial Operating System®, please visit eosworldwide.com.