Entrepreneurial Operating System (EOS®) is a popular management framework designed to help businesses get organized and achieve their goals. By implementing EOS, businesses can benefit from a variety of advantages that can help take operations to the next level.

Some of the key benefits of implementing EOS are greater clarity and focus within the organization, improved communication and alignment, increased accountability, improved decision-making and greater scalability and growth.

“EOS is a business platform for operating and providing accountability and structure for your business,” said Mike Plasier CEO, Plumbing & Heating Wholesale Inc. “We became interested in it around 2015. Shortly after I took over as CEO, I wanted to grow the company but couldn’t the way we were managing it. Fortunately for me, I was serving on the IMARK Board of Directors and Wilson Teachey pulled me over and introduced me to EOS and the impetus behind it—to provide us with structure that would allow for growth within the company.”

To get started with the EOS process, a business should work with a certified EOS implementer and hold a 90-minute meeting. “The implementer sits down with a team of people from your organization and conducts exercises to determine if EOS would work for you,” Plasier said.

Getting Focused and Clarifying Vision

If a business decides to dive further into EOS after the initial meeting, leadership starts to develop an EOS structure, which includes:

The Focus Day: A day to empower your leadership team with tools for clarity, priority setting communication enhancement, issue resolution and tracking key metrics. They apply these tools over the next 30 days for tangible improvement.

Vision Building Day 1: Another session with your leadership team begins by refining Focus Day tools. Next, you’ll employ the Vision/Traction Organizer™ (V/TO™) to crystallize your vision, covering identity, purpose, mission, and direction. You’ll also receive a valuable tool for personnel evaluation. Over the next 30 days, your team will apply these tools for further enhancement. This spaced-learning method ensures rapid proficiency with the tools.

Vision Building Day 2: Another leadership session to refine Focus Day tools and advance with the V/TO tool to solidify your vision, streamline Marketing Strategy, establish 3-Year Picture™, 1-Year Plan and prioritize the next 90 days. With unified focus among leaders, you’ll implement these tools over the next 90 days for further progress.

Level 10 Meetings

As part of the EOS, the Level 10 Meeting (L10) creates a standard structure for productive meetings. Because Level 10 meetings operate at a repeatable, strategic level, they provide a solid framework covering material that matters. The L10 meeting agenda keeps a team focused and moving through a consistent process. Teams should hold L10 meetings at the same time on the same day each week. Most importantly, they need to start on time and end on time. Attendance is mandatory.

“We have a weekly meeting, an L-10, and we want each employee to be in an L-10,” Wilson Teachy, President, Hubbard Pipe & Supply, said. “Every person in the company attends an L-10 meeting every week; some are 90 minutes and some are 15 depending where you are in the company. They are held at the same time and in the same place every week and there are only two reasons you’re not there—either you are on vacation or you have been hit by a bus. That’s how important they are. The most coveted minutes of my week are when I am in front of my team face-to-face making sure we’re on track.”

The whole purpose of EOS is to give everyone in the organization a voice and opportunity to contribute to improving the company, according to Plasier.

Rocks

Setting quarterly goals is a crucial aspect of driving progress and achieving the company’s vision. These quarterly goals are often referred to as “rocks” within the EOS framework. By setting clear quarterly goals or rocks, businesses following the EOS framework can maintain focus, drive alignment and make meaningful progress toward their long-term objectives.

At Hubbard Pipe & Supply rocks include planting flowers to beautify the premises, straightening up the parking lot and rewriting the employee handbook. “When we go back and count how many rocks we’ve accomplished at the end of the year, it’s incredible to see the time, effort and work we’ve put into the company,” Teachey said.

Pittman has quarterly and annual Rocks. “Some quarterly ones would be to fully implement the ‘Fill it Now’ program from IMARK, develop the Pittman Proven Way with the sales team and implement and track job quotes from start to finish,” Scott Pittman, president, Pittman Supply said. “Additional rocks include identifying and documenting add-on sales, implementing SOPs at our new branch in Garland as well as fully labeling and locating all bin locations at both the Carrollton and Garland locations.”

Accountability

One of the fundamental principles of EOS is to create clarity and accountability throughout the organization, which often leads to a more empowered and capable team.

“Prior to EOS our accountability chart looked like one dot sitting above a long horizontal line,” Teachey said. “That one dot was our leader, our founder and then it was passed to me. I was individually responsible for every decision…and we hit a glass ceiling and couldn’t grow any further. The first thing we did was create an accountability chart and stretched it into something that looks like a Christmas tree. Now everyone has a seat in the company and every seat is important; defined by roles and responsibilities. We promote and give wage increases based on the accountability chart.”

By implementing EOS and establishing clear structures, processes and accountability mechanisms, Teachey has found that he no longer feels the need to have his thumb on everything. This newfound freedom allows him to step back from day-to-day operations and focus more on strategic leadership and working on the business as a whole. Rather than being bogged down by micromanagement or firefighting, he’s now able to spend his time more strategically, focusing on high-level initiatives that drive the business forward.

Not only do business owners’ behaviors and priorities shift, but team members’ expectations also change. They appreciate the clarity, direction and trust that EOS brings to the organization, and they may now look to management for strategic guidance and support rather than day-to-day operational involvement.

Benefits Abound

Overall, the transformative power of EOS enables business owners to shift from working “in” the business to working “on” the business. It’s a testament to the effectiveness of the EOS framework in driving organizational clarity, alignment and ultimately success.

“Communication is significantly better,” said Scott Williams, vice president, Maumee Supply. “Hiring has been easier. Onboarding has been easier. Both have processes. The day-to-day things that get repeated have gotten much better as well, such as streamlining our sales and marketing processes.”

Teachey said implementing EOS is a labor of love. “Implementing it was a journey that our leadership team embarked on to define and document who we are with a mission statement and core values,” Teachey said. “Those are our tenants. We hire based on those tenants to bring the right people on board.”

Emphasizing a company’s purpose and values during recruitment can indeed act as a magnet, attracting individuals who are not only skilled but also passionate about contributing to a meaningful cause and growing within the organization. Finding the right people for the right seats is undoubtedly crucial for the success and growth of any organ-ization. By aligning new hires with your company’s values and goals, a company sets the stage for a more cohesive and productive team.

Williams said he looked into EOS as his father and uncle want to retire and they needed additional support standardizing roles and the organizational structure of the family business. Williams sought to refine the company’s approach to onboarding and clarifying roles and responsibilities, particularly as he brings on a younger workforce. “As turnover occurs, EOS makes it easier for people to come to work for us because they know their roles and responsibilities and our expectations—what we’re working towards and what we stand for,” Williams said.

Pittman added, “EOS has helped us by establishing better lines of communication within our organization. It promotes clear lines

of responsibility and a better vision of where Pittman is headed in the future—from tomorrow to three years and five years down the road. We have created a value component that helps us hire better employees who fit who we are as a company. Our Core Focus statement helps us market ourselves to our specific niche in the market.”

Advice from Our Experts

Implementing EOS can be a transformative journey for your business.

“If you are in the distribution supply industry and would like to grow your company, I would plead with you to please interview an EOS coach in your territory and give them a chance to explain the system to you,” Teachey said. “EOS is a vehicle for successfully making growth happen in your company. If you are happy with the status quo and staying the same, EOS is not something you need to explore. EOS is like pouring gasoline on a fire.”

Continuously gather feedback from employees about their experience with EOS and be willing to adapt and refine your implementation based on their input. Flexibility and a willingness to iterate are essential for long-term success.

“If you want to grow and you are serious about it, put in the work,” Williams said. “Talk to other people who have gone through it, form a leadership team and don’t be afraid of turnover because it took us two years. Unless you have experience with something like this or someone at your company does work with an implementer for at least two years. It will be money well spent.”

As you make progress with implementing EOS and begin to see positive results, take the time to celebrate achievements and milestones. Recognizing and celebrating successes can help maintain momentum and morale within the organization.

“I think the best advice I can give is to be patient,” Plasier said. “EOS has a phrase—progress not perfection. We all know perfection is what we strive for but from a percentage basis, EOS looks for completion of projects. Completing more than 80% of those 90-day Rocks (projects) is a success.”

Rome wasn’t built in a day, and neither is a fully functioning EOS-powered organization. Stay committed to the process, even when faced with obstacles or setbacks. Consistency and persistence are key to realizing the full benefits of EOS.

“EOS is a commitment,” Teachey said. “It’s like being pregnant—it’s all or nothing. You can’t be half pregnant. You have to be 100% committed or I would advise you not to do it at all. You can’t pick out parts you like and ignore those that don’t feel comfortable.”

Pittman added, “The advice I would give to others is to get on the EOS train now. I thought I was a very transparent leader and was shocked that my vision for the company wasn’t being relayed to my team clearly. After EOS, the management team documented the vision and we all started heading in the same direction with one core focus in mind. With EOS, we are all more transparent, both internally and externally. Our five core values are: Team Player, Growth Minded, Service-Oriented, Humbly Confident and Do the Right Thing.”

By following these pieces of advice and staying committed to the EOS process, you can position your organization for sustainable growth and success.