Session: Annual

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 V