Description

EOS Annual Planning Session

Overview:

This document summarizes the critical elements of an Entrepreneurial Operating System (EOS) Annual Planning Session, drawing from the provided excerpts. The Annual Session is a two-day process designed to increase team health, clarify company vision, set a clear plan to achieve that vision, and resolve key issues hindering progress. The implementer guides the leadership team through a structured process, including reviews, assessments, planning exercises, and issue-solving, with the ultimate goal of alignment, commitment, and actionable plans for the next year and quarter. The annual is markedly different from the quarterly sessions because the annual takes a 30,000 foot view whereas in the quarterlies, the team digs into the nitty-gritty.

Key Themes and Processes:

• Offsite Location and Immersion: The annual session should ideally be conducted offsite to facilitate full immersion and disconnection from daily distractions. A hotel or conference center within an hour of the implementer is recommended. "Ideally, in a place where your clients can sequester themselves for two full days, disconnect from their personal lives, disconnect from their business lives, and really bond as a leadership team." Staying overnight is also important for bonding. "If 1 or more team members goes home you’ll get ½ point less in your ratings".
• Pre-Session Preparation: The implementer has a crucial role in pre-session prep, including:
• Contacting the primary contact to confirm readiness and address any questions.
• Completing an annual debrief.
• Collecting and organizing all necessary materials (Implementer Guide, V/TOs, Leadership Team Manuals, etc.).
• Reviewing the client's V/TO and Rock Sheet beforehand to identify potential issues.
• "Email me the most recent version of your V/TO® and Rock Sheet 48 hours prior to our session."
• Day 1: Vision and Team Health
• Check-In: A two-part check-in to start the session: "greats and expectations." Team members share business and personal accomplishments, as well as their expectations for the two days. The implementer also shares expectations: Openness, honesty, meeting expectations, and staying at a 30,000-foot level.
• Part 1 - Greats: 3 business greats, 1 unexpected business great, 1 personal great.
• Part 2 - Expectations for the two days
• Review Prior Year/Quarter: Review past performance, including revenue, profit, and measurable goals, and completion of Rocks. "Review one number at a time (Read goal and ask for actual)." The year is then graded to assess overall performance.
• Team Health (Five Dysfunctions of a Team): Focuses on building trust and increasing team health. Includes:
• Team Health Pyramid Review: Rating the team's performance on trust, conflict, commitment, accountability, and results. Discussing ratings and identifying areas for improvement. Facilitate a discussion with the leadership team to clarify what a 10 looks like.
• Trust-Building Exercises: Personal Histories and One Thing exercises are used to build vulnerability-based trust and improve team dynamics. Personal histories ask 6 questions to get team members to share about their backgrounds. The One Thing exercise involves teammates sharing an admirable trait and something the person should start/stop doing. "Part 1 – Your most admirable trait...Part 2 – One thing to start or stop doing for the good of the team." At subsequent annuals, One Thing transitions from "most admirable trait" to "greatest contribution to the team and organization."
• One Thing Commitments: Each team member commits to one thing they will start or stop doing for the good of the team. "In 20XX, I commit to start or stop..."
• Review the "Trust Builders": Encourage the team to engage in at least one trust-building activity per quarter.
• Organizational Checkup: A comprehensive assessment of the company's performance across 20 key areas, rated on a scale of 1 to 5. The goal is to ensure everyone is on the same page and to extract issues. "For each statement below, rank your business on a scale of 1 to 5 where 1 is weak and 5 is strong." A score of 80% is the target.
• SWOT Analysis and Issues List: Identify strengths, weaknesses, opportunities, and threats. "Take a few quiet minutes to list all of your strengths." Extract relevant issues and build the Issues List. The SWOT is put up on the wall.
• V/TO Review: Ensure everyone is 100% aligned with the company's Vision/Traction Organizer (V/TO). The team challenges every section of the VTO. "Review one section at a time, working through entire Vision page."
• 3-Year Picture: Create or update the company's 3-Year Picture, including revenue, profit, measurables, and a description of what the company will look like in three years. The 3-year picture goes on the wall.
• Day 2: Planning and Execution
• Check-In: A brief check-in focusing on the previous day's highlights, current mindset, and expectations. Includes: Day 1 highlight, where's your head, and expectations.
• Review Issues List and 3-Year Picture: Reinforce these elements before creating the 1-Year Plan. Recap the issues list and 3-year picture to prepare for creating the 1-year plan.
• 1-Year Plan: Develop a detailed 1-Year Plan, including revenue, profit, measurable goals, and 3-7 specific goals. Facilitate discussion, debate and refine the plan. Should address whether the accountability chart is right to accomplish the 1-year plan and if the budget supports the plan. The 1-year plan goes on the wall.
• Rocks: Set 90-Day Rocks for the company and each member of the leadership team. Rocks are S.M.A.R.T. goals. "Looking at your 1-Year Plan, last quarter’s Rocks, and your Issues List, what are the three to seven most important things that MUST get done this quarter?" Individual rocks should be approved by the team. The rocks are put up on the wall.
• IDS (Issue Solving): Tackle key issues that could impede progress in the next 90 days, using the IDS process (Identify, Discuss, Solve).
• Next Steps: Review action items and next steps to be completed before the next session. Review "To-Dos".
• Conclude: Get feedback on the session, restate One Thing Commitments, and end on a positive note. Get a session rating from the team.

Tools and Techniques:

• V/TO (Vision/Traction Organizer): A core document that outlines the company's vision, values, and strategic plans.
• Accountability Chart: An organizational chart clarifying roles and responsibilities.
• Rock Sheet: A tool for tracking 90-day priorities.
• Scorecard: Tracks weekly metrics to predict progress.
• IDS (Identify, Discuss, Solve): A structured problem-solving process.
• Organizational Checkup: Assesses the strength of the Six Key Components of the business.
• SWOT Analysis: Assesses the company's strengths, weaknesses, opportunities, and threats.
• One Thing Exercise: A trust-building exercise focused on feedback.
• Flip Charts: Used extensively for brainstorming, planning, and capturing key information.
• Markers: The implementer should bring their own markers in 4 or more primary colors.

Implementer Role:

• Facilitator: Guiding the team through the EOS process, ensuring engagement and progress.
• Teacher: Explaining the EOS concepts and tools.
• Mediator: Helping the team resolve conflicts and reach alignment.
• Documenter: Capturing key decisions and action items.
• Timekeeper: Managing the agenda and ensuring the session stays on track.
• Pour over and internalize the issues list before day 2. "Implementer must pour over and internalize the Issues list in the morning before Day 2 starts (always be there one hour early to set up)."

Key Outcomes:

• Increased team health and trust.
• Clear company vision and strategic plan.
• Aligned leadership team.
• Actionable 90-day Rocks.
• Resolved key issues.

Important Considerations:

• Time Management: The annual session is time-intensive, so the implementer must be skilled at managing the agenda and prioritizing activities.
• Flexibility: Be prepared to adjust the agenda based on the needs of the client.
• Documentation: Thorough documentation of decisions, action items, and plans is crucial for follow-through.
• The Wall: By the end of the annual planning sessions, there should be 8+ sheets taped to the wall after adding the SWOT, Issues List, 3-Year Picture, 1-Year Plan, and new Rocks.

This briefing document provides a comprehensive overview of the EOS Annual Planning Session, highlighting the key processes, tools, and roles involved. It serves as a valuable resource for implementers and leadership teams seeking to optimize their annual planning process and drive sustained success.

RYT Podcast is a passion product of Tyler Smith, an EOS Implementer (more at IssueSolving.com). All Podcasts are derivative works created by AI from publicly available sources. Copyright 2025 All Rights Reserved.