Running a business is no easy task. For many leaders, staying aligned, focused, and accountable can be a major challenge. That’s where the Entrepreneurial Operating System (EOS) business model comes in. At NetGain Technologies, as EOS implementors we’ve seen firsthand how EOS helps businesses drive real results by providing structure and clarity.
To dive deeper into EOS and its impact, we gathered key insights from Barry Barrett, an EOS implementer and seasoned entrepreneur. Barry’s journey began in the Marine Corps, and after transitioning into business, he helped scale his family’s automotive repair shop to $1M in annual sales in just four years. He later built and led a successful sales training company, where he realized many businesses struggle not just with sales, but with overall operations.
This blog will discuss the What and Why of the eos management model, as well as some real world examples of EOS in practice, to help you better understand how EOS could be a fit for your business plan model.
What is an EOS Management Model and Why Does It Matter?
Barry explains the EOS entrepreneurial operating system as being designed to bring businesses together with three key elements: vision, traction, and health.
- Vision: Ensuring everyone on the leadership team is aligned on where the business is headed and how to get there.
- Traction: Implementing discipline, accountability, and execution strategies to turn vision into reality.
- Health: Fostering a cohesive leadership team that works well together.
Many businesses hit a growth ceiling due to lack of alignment. According to business research data, only 4% of businesses ever surpass $1 million in revenue. Without a clear plan and a structured approach, scaling a business becomes nearly impossible.
Defining Goals and Accountability in an EOS Business Model
One of the core principles of EOS business operating system is setting SMART goals—specific, measurable, attainable, relevant, and time-bound. Barry adds an extra layer, emphasizing self-referenced goals so businesses focus on their own success rather than comparing themselves to competitors.
EOS also introduces structured goal-setting frameworks such as:
- 10-year targets (long-term vision)
- 3-year pictures (a defined strategy)
- 1-year plans (short-term objectives)
- Quarterly rocks (specific, measurable goals to tackle every 90 days)
Right People, Right Seats
Hiring and retaining the right team is crucial. EOS defines “right people” as those who share a company’s core values and “right seats” as those who have the skills, desire, and capacity to perform their roles effectively. Barry highlights the People Analyzer tool, which helps businesses objectively assess employees and take action when someone isn’t the right fit.
Level 10 Meetings: Structured and Effective
A key EOS component is the Level 10 Meeting (aka L10 Meeting). This structured weekly meeting where teams check in on metrics, review goals, and solve issues using the IDS (Identify, Discuss, Solve) method. Barry warns that one of the biggest meeting mistakes is endlessly discussing symptoms of problems without solving the root issue.
Another common mistake? Making decisions based on feelings rather than facts. Data-driven decision-making is essential in EOS, as “facts don’t care about feelings,” Barry says.
Real-World EOS Success
Barry’s recent success story with EOS is with a company who struggled with communication at the leadership level. After implementing EOS, their visionary leader shared excitement with Barry that they had their first real, productive conversation with another leader. This was something that may seem small to most companies but was a massive step forward for this team making progress and growth.
NetGain practices EOS ourselves! Through training and coaching from EOS implementors, NetGain is finding greater efficiency and alignment across our teams in many ways. Our meeting cadences have shifted over time to now align with EOS practices. Our new meeting structure is helping teams to address and resolve more business challenges. The EOS business model has been a great fit for NetGain and we have more cohesion and unity amongst our teams than ever before.
Final Takeaway: Structure First, People Second
One of Barry’s top tips for business leaders is to structure first, focus on people second. He advises companies to build an accountability chart without thinking about existing employees, then fill positions with the right people. This approach ensures the best organizational structure, even if it means making tough personnel decisions.
If you’re a business leader looking to take your organization to the next level, it may be time to explore EOS. As Barry says, “Most businesses aren’t failing because they lack effort; they’re failing because they lack a clear system to succeed.”
Check out our podcast episode, Unlocking Business Success with EOS (Entrepreneurial Operating System), for more of Barry’s direct insights and opinions about EOS.
