Ch. 2 How Does EOS Work?

Chapter 2 – How Does EOS Work? page 9.

The Vision Component

Have you ever been given direction from your manager only to be told something different by a leader from a different department?
- This stems from a lack of organizational alignment.
- Each manager or department has different priorities and different modes of operation.
- As a result, employees get pulled in different directions, wasting a lot of energy.
Now imagine all the people in an organization are 100% aligned around just a few goals and each department and employee knows the role that they are playing to help achieve those goals.
That’s being 100% strong in the Vision Component
Fewer frustrations, fewer mistakes; more done in less time.
The EOS tool used to strengthen the Vision component is called the Vision/Traction Organizer (V/TO).
The V/TO ensures everyone in the organization has the same answers to 8 simple questions (see Ch. 3).

The People Component

The People Component helps build great teams. It puts the Right People in the Right Seats.
The Right People means:
- People who just fit.
- People you like to work with.
- People who want to accomplish something every day.
- People who sacrifice so the team can win.
- People who act according to your company’s Core Values.
The Right Seat Means:
- Getting everyone in a role where they can best contribute.
- Getting everyone into a job where they can be successful.
- A clearly defined, necessary job that the organization needs.
Now imagine a company with 100% Right People in the Right Seats:
- Work is done more efficiently.
- There are fewer fires to put out.
- Mistakes are rare.
- Communication is better.
- The company is growing, creating more opportunities for everyone.
For the People Component, companies use two EOS tools:
- Accountability Chart (see Ch. 4).
- People Analyzer (see Ch. 4).

The Data Component

Would you ever get on a plane with no control panel? No gauges, and no radar? Probably not.
The Data Component is designed to help you objectively see where you are going – both as an individual and as a company.
It eliminates assumptions, subjective opinions, emotions, and egos.
The two EOS tools that will help your company become 100% strong in the Data Component are Scorecards and Measurables.
Scorecards:
- A handful of numbers that, at a glance, tell you how you are doing and where you are going.
- Reviewed by your leadership team weekly, providing them a pulse on the business, and allowing them to identify issues early.
- Your department or team should also have a Scorecard with Measurables:
  - Measurables are numbers for which someone is accountable.
  - Every employee in the company should have a measurable and goal for that number.
- Measurables let employees:
  - Objectively know how they are doing (good or bad).
  - Identify small problems before they become major crises.
Your role to is look objectively at your job and department and come up with the most important numbers to use as measurables.
By using Scorecards and Measurables, you’ll know if you’re on track to achieve your goals.

The Issues Component

By now you’ve probably thought of a few things that need to be improved, fixed, or changed to make your company better.
These are called issues. They include anything unresolved that needs to be discussed, such as problems, opportunities, or new and better ways to do things.
Many companies discuss issues…and discuss them…and then discuss them some more…but never solve them.
The Issues Component is designed to help your organization bring issues to the surface and to solve them, once and for all.
The two EOS tools that strengthen the Issues Component are the Issues List and the Issues Solving Track.
Going forward, your role is to bring up the issues you see – and to help solve them.

The Process Component

The Process Component creates, at a high level, a consistent way of performing all of the company’s operations.
Following the same processes saves an incredible amount of time and eliminates a lot of frustration.
Processes help employees perform their job with fewer mistakes, delays, and expenses.
As part of implementing EOS, your company’s leadership team will document the company’s Core Processes.
These processes will create consistency and efficiency, helping your company grow in a manageable way.
Your company will systemize all of the predictable and redundant tasks so you can use your creativity to solve problems.
Your role is to learn how to follow your company’s Core Processes as well as to objectively ask:
- How are things done each day?
- What are you doing that is unnecessary?
- What is the best and most efficient way to do your job?

The Traction Component

Are people in the company Accountable? Do things get done on time? Does your company take on too much?
Picture in your mind, an organization where:
- Projects get completed on time.
- People who commit to a deadline hit it.
- Meetings begin and end on time.
- Unproductive people can’t hide.
- Everyone focuses on a few priorities.
- All priorities are clearly tied back to company goals.
Strengthening the Traction Component is about discipline, execution, and accountability.
The 2 EOS tools used to strengthen the Traction Component are Rocks and Weekly Level 10 Meetings:
- Rocks are 90-day priorities – the most important things you need to get done.
- The Weekly Level 10 Meeting lays down an agenda so you solve issues and stay connected as a team.
Your role is to:
- Set Rocks with your manager every quarter and complete them on time.
- Be fully engaged and actively participate in your Weekly Level 10 Meeting.

Short Recap

Most companies take a minimum of 24 months to strengthen each of the 6 Key Components

Component	What’s it all about	Tool(s)	Your Role
Vision	Getting everyone aligned and focused on the same vision	V/TO	Understand and buy into the answers to the 8 V/TO questions
People	Getting the Right People in the Right Seats	Accountability Chart, People Analyzer	Ask yourself if you are the Right Person in the Right Seat
Data	Measuring performance and having a pulse	Scorecard, Measurables	Establish and achieve your measurables
Issues	Identifying and solving issues	Issues List, Issues Solving Track	Bring up and help solve issues
Process	Documenting the way you do things and creating consistency	Documented Core Processes	Learn, follow, and help improve the Core Processes
Traction	Accountability, discipline, and execution	Meeting Pulse, Rocks	Complete your rocks and engage in meetings

Questions to Ask Your Manager

Predictive Index