Why 80% of Companies Fail to Implement a Business Operating System?

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September 15, 2025

by a professional from CETYS Universidad in Riverside, CA, USA

Why 80% of Companies Fail to Implement a Business Operating System I've learned a lot over the years about why so many businesses struggle to implement an operating system. The data is clear: around 80% of companies that try to roll out a system like EOS or Scaling Up on their own fail or see limited results. I've found that it's rarely about the system itself. Instead, it's about three key factors that are overlooked from the start. 1. Get the Right Mindset and Motivation Before you even think about which system to choose, you have to answer the real question: are you, the business owner, genuinely ready for change? I have seen this time and time again. The leader must be committed to the process.. the ultimate success depends on how committed you are to doing the hard work. You can't just talk the talk; you have to walk the walk. If you are not fully on board, your team will see through it, and the initiative will fail. 2. Match the System to the Company's Maturity Another critical mistake I see is a one-size-fits-all approach. You have to match the system to the company's size and stage of growth. * EOS (Entrepreneurial Operating System): This is great for companies generally under $20 million in revenue. It's focused on execution and creating discipline with straightforward tools like Rocks (quarterly priorities) and Level 10 meetings. * Scaling Up: This system is better for growth-stage and mid-market companies (typically $10M to $20M+). It's a more comprehensive, strategy-based system that helps you make four key decisions: People, Strategy, Execution, and Cash. It gives you a broader framework for sustainable growth beyond just execution. * OKRs (Objectives and Key Results) & 4DX (The 4 Disciplines of Execution): These are not full systems on their own. They are powerful execution tools that I have found work best when integrated with a broader system like Scaling Up. OKRs are great for linking ambitious goals with measurable results, while 4DX helps you focus on what's truly important. 3. Don't Go It Alone This is probably the most important factor. The data I've seen suggests that while 80% of companies fail on their own, roughly 80% of those that work with a skilled facilitator succeed. A great facilitator or coach doesn't just teach you the playbook; they challenge your team, hold you accountable, and help you adapt the system to your unique situation. A true coach brings real business acumen to the table, and that's something you can't get from a book or an online course. They provide the guidance and external perspective you need to avoid common pitfalls and stay on track. This is why I have dedicated over a decade to coaching the Scaling Up framework. It is a system that allows for this level of deep, strategic guidance, which is essential for success.
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