Many small- to medium-sized businesses across the world use the Entrepreneurial Operating System, or EOS for short. And, honestly, there are a lot of reasons to make the switch (spoiler alert, we did). But what exactly is EOS, and is it right for your business?
Let’s find out!
What is the Entrepreneurial Operating System?
Contrary to what you might initially think, EOS is not a computer system. It’s a transformative business framework centered around people to help you reach your goals. “[The creators] would tell you it’s a management system,” said Don Sauer, Teal Cofounder, CEO, and EOS Integrator. “A collection of processes and some tools that they’ve put together that you can use to effectively run and manage your business.”
Is EOS Right for My Small Business?
Do you have 10-250 employees? Have you reached a plateau? Want a more effective workforce? Want to be more profitable?
If you said yes to any of these questions, continue reading (and watch our video above) to learn more about the accelerating effects of the Entrepreneurial Operating System. We made the switch during the pandemic and have seen great success with it.
EOS Business Model Overview
According to EOS, 257,000+ companies use the business model, globally, to achieve success. It helps business owners and leaders get what they want from their companies.
“As you go through business you can hit plateaus, and you need to find a way to break through,” said Don. EOS helps you do just that by improving these three things:
- Vision: Getting everyone aligned on your goals and how you’ll get there.
- Traction: Creating a culture of accountability to ensure your vision is executed every day.
- Healthy: Becoming a more cohesive and functional leadership team.
Every company includes six (6) Key Components: vision, data, processes, traction, issues, and people. EOS promotes the strengthening of these key areas so you can accelerate your business.
The Benefits of EOS
There are many reasons why small- to medium-sized business leaders choose the Entrepreneurial Operating System. Leadership teams report some significant benefits of implementing EOS in your business, including:
- Efficiency
- Growth
- Scalability
- Profitability
- & more
The operating system makes this possible through proven business principles and real-world tools. Essentially, it’s an efficient way for your company to organize its human energy. It helps your leaders:
- Solve issues
- Plan
- Prioritize
- Follow processes
- Communicate
- Measure
- Structure
- Clarify roles
- Lead
- Manage
Because this is a people-centric model, all employees play a very active role in helping the organization get as close to 100% in all 6 Key Components as possible. This makes employees feel as though they have a voice and play an active part in achieving the company’s vision – which is important according to Gallup.
Gallup’s ongoing research consistently underscores the correlation between employee engagement and key performance outcomes. In 2020, they found that teams in the top and bottom quartiles had some clear differences in business outcomes, including:
- 81% in absenteeism
- 23% in profitability
- 18% in productivity (sales)
- 10% in customer loyalty/engagement
These stats make a convincing argument for creating a culture around encouraging employee engagement with EOS. It’s important to note that this data is across varied industries. So, many organizations can benefit from increased employee engagement.
Plus, there’s an employee retention component to consider. Engaged employees are less likely to look for new job opportunities. So, if your organization is experiencing a high turnover rate, EOS can help you reduce low engagement.
We could dig into many more of the benefits we’ve experienced from EOS. However, we encourage you to check out their site for more information if you’re interested. They have a lot of free tools and eBooks to help you grow your business.
If you’d like to learn more about our experience with EOS and how it’s helped us to grow our organization, feel free to contact us anytime.
