February 22, 2026

The Business Operating System That Replaced EOS and OKRs at My Company

By Scot Chisholm

By Scot Chisholm

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key takeaways

  • Most CEOs hand off the selection and management of their business operating system to someone else. This is a big mistake. 

  • EOS and OKRs both break down at scale. I learned this the hard way building Classy to $100M+.

  • The Northstar OS fixes what both systems miss. Three focus areas: operating clarity, operating rhythm, and operating standards. When the CEO owns all three, the whole company runs better.

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Why I built the Northstar Operating System.

I spent over a decade building Classy, a fundraising platform for nonprofits, from a scrappy idea into a $100M+ company that processed billions in donations and was eventually acquired by GoFundMe in 2022. We were a high growth, venture backed technology company. The stakes were high to operate at an elite level. Yet, through all of it, I could never find a business operating system that held up past $5M or so in revenue. This was a big problem. 

As a tech company, we naturally gravitated towards OKRs (Objectives & Key Results). The Product team liked them. That made sense, OKRs originated at Intel and were popularized through the engineering culture at Google. But they were way too complex for the rest of the company. Too many objectives, too many key results, quarterly resets that felt like an administrative nightmare, and a grading system that confused everyone. The very system meant to create focus was creating a massive recurring distraction. 

EOS was the other system people recommended. It’s less popular with tech founders, but widely adopted in other industries and with small business owners. But I found EOS far too prescriptive. It has a very specific way it wants you to run your company, and if your business doesn’t fit that mold, you’re stuck forcing a square peg into a round hole. I also didn’t align with their “visionary/integrator” model. It teaches the founder to step back from operations and hand the reins to a professional operator. But my view is very different. The CEO needs to own the operating system, not outsource it. Eventually you earn the right to elevate. But only after you’ve proven to have command over the business first. 

And there was a deeper problem with both: neither system adequately captured the why behind the company. Classy was an impact company. We existed to help nonprofits raise money and change the world. Our mission wasn’t a slogan on a wall. It was the reason every person on the team showed up. We needed an operating system that was holistic, one that started with purpose and connected all the way down to daily execution. Not just “standard operating procedures” and a bunch of tactical documentation no one ever read. 

So I built one. And it helped us scale into the many hundreds of millions in enterprise value. 

It’s called the Northstar OS.

Northstar Operating System diagram showing three pillars: Clarity (how to create total alignment across your team), Rhythm (how to create high levels of accountability), and Standards (how to define what great looks like) — a business operating system from Highland by Scot Chisholm.

What is a Business Operating System?

A business operating system is a leadership and management framework that shapes your company’s way of working together. It’s used to create alignment, accountability and ultimately results across the team. But most companies have no operating system. They’re unstructured and chaotic. Most people within the organization have no idea why they’re there, where they’re going, or how they’re doing.

In these types of organizations the leader becomes the bottleneck. They put themselves in the center of everything, and fail to create the right conditions for their team to find success. Remember that phrase: conditions for success. That’s what an operating system should create across your company if it’s working properly. Not administrative work, real lift across the team.

It’s also the job of a CEO to create conditions for success as you scale. They stop doing every little thing themselves, and start architecting the company to do work at a level that’s much higher than they could have ever achieved personally. 

This is the shift from a builder mindset to a scaler mindset. Builder mindset dominates early startup days when you’re hunting for product-market fit. You’re hands-on, scrappy, doing whatever it takes. Scaler mindset kicks in after product-market fit. You have a product customers want. You’re ready to push growth. This happens around $1M revenue, though it varies. 

A well designed operating system should help the leader make this transition from builder to scaler. Not hold it back. This is why the CEO should always own the selection of the company’s operating system. It’s not something you hand off to another executive to figure out. The operating system is the delivery mechanism for where you want the company to go. If you don’t buy into the system that’s being used, you’ll always sense a frustrating disconnect between what you want to happen, and what is actually happening. 

Guardrails & Checkpoints

A well designed business operating system does two things really well: 

  1. Defines guardrails
  2. Lays checkpoints 

Guardrails are predefined frameworks that ensure alignment and consistency across the company. They keep your team “in the lane” (think bumpers in kids bowling). Your operating system is the ultimate guardrail. It gives each person a map to guide them. Within the operating system itself are things like vision, strategy, goals and standards. Once defined, they help the team stay on the right track, but provide enough flexibility for them to operate autonomously. This is critical as you go from 10 people, to 100 people, to 1,000+. 

Checkpoints are recurring moments to monitor progress and inspect quality. Think a meeting, an offsite, a business review or a simple dashboard update. Checkpoints ensure the team is progressing at the right pace within the guardrails. Checkpoints serve as an early warning system, surfacing issues and blockers early. Then creating the environment for the team to solve them quickly. Checkpoints are meant to accelerate progress, not slow it down. 

Guardrails ensure alignment. Checkpoints ensure accountability. The best business operating systems have both.

The Northstar Operating System: Three Pillars 

When I started building the Northstar OS, I asked myself a simple question:

What are the most important areas a CEO can focus on to set their team up for success? 

Andy Grove, in his classic book High Output Management, talks about the importance of focusing on high leverage activities. These are the things that create the biggest impact across the most people, yet can be completed in a reasonable amount of time. They tend to be upstream activities, like defining the company’s vision or creating performance standards. Things that make people’s jobs easier by creating context.

Then I flipped the question. What are the areas that, if not well defined or understood, could create massive confusion or complexity across the organization. The things that make people’s jobs harder to accomplish, let alone outperform. What I found was that the same areas kept reappearing on both lists. The things that created the most lift when done well were the same things that created the most damage when ignored. Three areas in particular stood out: 

  1. Operating Clarity — Does the team know why they’re here, where you’re going, and how you’re doing? If not, they’re flying blind.
  2. Operating Rhythm — Does the company have a reliable way to measure what you said you’d do against what you’re actually doing? If not, you’ll have low accountability.
  3. Operating Standards — Does everyone understand what “great” looks like at your company? If not, you’ll have inconsistent quality. 

Together, these three pillars create the conditions for your team to succeed. The goal is a company that performs at a high level without you in the middle of everything. They work together as an operational flywheel. Clarity creates the medium to long range guardrails. Rhythm creates checkpoints throughout the year. Standards set the bar.   

Ready to implement the Northstar OS? Highland Academy includes the full Northstar OS curriculum, every template, and 30+ masterclasses to help you build clarity, rhythm, and standards at your company. Start your free 7-day trial here. 

Pillar 1: Operating Clarity 

Northstar Operating System diagram with Pillar 1: Operating Clarity highlighted — showing three pillars: Clarity (how to create total alignment across your team), Rhythm (how to create high levels of accountability), and Standards (how to define what great looks like) — from Highland by Scot Chisholm.

The first pillar of the Northstar OS is about creating absolute clarity for your team across every dimension that matters. It’s built around a simple framework called the PDP, which stands for Purpose, Direction, and Progress. These represent three fundamental questions every team needs answered:

  • Purpose: Why are we here? 
  • Direction: Where are we going? 
  • Progress: How are we doing?

When these answers are fuzzy, teams drift and priorities conflict. When they’re crystal clear, people can operate autonomously within the guardrails and find

success without you hovering over them.

The Clarity Pillar of the Northstar OS helps the CEO answer these three fundamental PDP questions and make them absolutely clear to the team.

Mission & Values help answer your purpose
Vision & Strategy help answer your direction
Goals & Metrics help answer your progress

Northstar Operating System pyramid diagram showing the PDP framework: Purpose layer (Mission & Values) answers 'Why are we here?', Direction layer (Vision & Strategy) answers 'Where are we going?', and Progress layer (Annual Goals & Health Metrics) answers 'How are we doing?' — from Highland by Scot Chisholm

Your Company’s Northstar

The Northstar template is the Clarity tool that brings it all together. It captures everything your team needs to know on three or less slides (there’s a one slide simplified version, and a three slide expanded version).

  1. Mission
  2. Values
  3. Vision
  4. Strategy
  5. Goals
  6. Metrics

Here’s the simplified Northstar template we use at Highland. Grab a free copy here and make it your own (copy the google file for your company).

The Highland Northstar template by Scot Chisholm, mapping Purpose, Direction, and Progress to six elements: Mission, Values, Vision (with 3, 5, 10, and 20-year steps showing time allocation percentages), Why, Goals, and Outcomes

It’s refreshed each year and relaunched at your annual company kick off. It’s also used in:

  • Hiring
  • Branding
  • Fundraising
  • Performance Mgmt
  • Leadership Meetings
  • All-Hands Meetings
  • Board Meetings 
  • Investor Comms

And so much more. Now let’s go through each element of the Northstar Clarity framework.

Want the Northstar Clarity Template? You can make a copy for your company here. The template includes a simplified version and an expanded version.  

1a. Mission (NS: 100-year Mission)

Companies are chaos. Your job as CEO? Create order. You must build predictability in unpredictable Your mission helps answer the PDP question: Why are we here? 

This isn’t a tagline. It’s the deep-rooted reason your company was founded in the first place. In the Northstar OS, we define two types of mission. 

  1. 100-year Mission: Your highest level purpose that will remain relevant in 100+ years.
  2. Mission focus: What your company does today on its journey to fulfill the 100-year mission. 

Here is an example for Highland:

  1. 100-yr Mission: To power human leadership. 
  2. Mission Focus: Leadership program & community for founders becoming great CEOs

Your 100-year mission is your forever cause. Your mission focus is how you pursue it right now. As the company grows and evolves, the mission focus can change, but the 100-year mission does not.

Don't love your mission statement? Writing a great mission is harder than it looks. I wrote a full article on how to do it correctly here (it's free).  And if you want help implementing your mission and the Northstar OS, check out Highland Academy. 

1b. Values (NS: T-Shirt Values)

Your values complete the Purpose layer of the PDP alongside your mission. Mission defines the cause. Values define the beliefs.

Values are the lens through which your company sees the world. They guide decisions at every level, from how you hire to how you build product to how you treat customers. In the best companies, values aren’t corporate posters with words like “integrity” and “respect.” They’re specific, memorable beliefs that your team would proudly wear on a t-shirt. That’s actually the test we use: if it wouldn’t look right on a shirt, it’s too generic. “Integrity” fails. “Adapt and Overcome” passes. We call them T-Shirt Values for this reason.

But values alone aren’t enough. Each value needs a clear “In Action” definition that describes how the value shows up in daily behavior. The value is what you believe. The definition guides how you act. 

Diagram showing the difference between Values and In Action definitions at Classy: Values define what we believe (shown with Classy's six T-Shirt Values including Stand for Something, Always Be Learning, Create Meaningful Value, Dream Big Execute Smart, Adapt and Overcome, and Lead by Example), while In Action definitions describe how we act (shown with the Adapt and Overcome value broken into three specific behaviors)

For example, at Classy one of our values was “Adapt and Overcome”. The definition spelled out what that actually looked like: 

  • We think like an underdog even when we’re not, 
  • We persevere in the face of adversity, and 
  • We operate with a steady hand through the inevitable ups and downs of building something that lasts. 

This specificity is what turns a value from a slogan into a standard. Your values and their definitions become the foundation for your company’s Operating Standards. You’ll see exactly how that works in Pillar 3.

Need help with values? You're not alone. Values can easily come off corporate and soulless. I wrote a free article on the concept of T-Shirt Values here.  And if you want help implementing values and the Northstar OS, check out Highland Academy.

1c. Vision (NS: Vision Ladder)

Your vision helps answer the PDP question: Where are we going?

The problem with traditional vision statements is that they’re a single vague sentence about the distant future. They’re so high-level they lose all effectiveness, and they’re easily confused with mission statements. They end up collecting dust on a shelf rather than guiding the company’s execution.

Northstar Operating System Direction template showing the Vision Ladder with four time-bound steps (3-year at 80%, 5-year at 10%, 10-year at 7%, 20-year at 3% time allocation) and the 3-year Strategic AIM framework broken into Approach (unique strategy and core bets), Impact (success criteria), and Market (primary, secondary, and tertiary customers) — from Highland by Scot Chisholm

Great visions are more like a playbook. They provide a sense of sequence and strategy. Instead of a one-liner, we use something called the Vision Ladder. It breaks your vision into four time-bound steps: 3-year, 5-year, 10-year, and 20-year. Each step is a milestone on the journey toward your 100-year mission. Your team can see not just where you’re headed, but what comes next, and how to spend their time right now.

The team should spend roughly 80% of their energy executing against the 3-year vision step, and about 20% preparing for the future. This keeps the company grounded in near-term execution while maintaining line of sight to the bigger picture. Your vision should also evolve annually. The CEO and the leadership team should revisit each year as part of your annual planning cycle. 

Go deeper on the Vision Ladder:  Here's a free article on the Vision Ladder, including a free template. If you want help implementing the Vision Ladder and the Northstar OS, check out Highland Academy.

1d. Strategy (NS: Strategic AIM)

Your strategy defines your unique approach to accomplishing your 3-year vision. It completes the Direction layer of the PDP alongside your vision.

Vision without strategy is just a floating point in the future. This is another reason traditional vision statements fail. They’re static and lack any sense of how you’ll actually get there.

In the Northstar OS, the Vision ladder itself gives your team a sense of sequence and strategy – like a playbook. Then your 3-year strategy takes this further. 

AIM stands for:

  1. Approach: How you’ll uniquely accomplish the stated vision. This includes your core bets, the major multi-year strategic initiatives that bring your approach to life.
  2. Impact: The measurable impact of achieving the vision. How will you know you’ve won? This typically maps to your three key stakeholder groups: customers, shareholders, and employees.
  3. Market: Who you’re targeting. We break this into primary, secondary, and tertiary markets to force prioritization.

If the vision is the mountain you’re all climbing together, the Strategic AIM is the route. 

Northstar OS template showing the Direction section, which includes a 1-4 Vision with 20, 10, 5, and 3-year vision statements (weighted 3%, 7%, 10%, and 80% respectively), and a 3-Year Strategy section covering Approach with core bets, Impact with success criteria, and Market with primary, secondary, and tertiary customer targets.

Your core bets then translate that approach into action, often becoming annual goals (we called them WhyGos), or a series of annual goals over a multi-year period. Your Impact defines what success looks like in measurable terms. And your Market forces you to be specific about who you’re building for. Together, mission, values, vision, and strategy give your team a complete picture of purpose and direction. The final piece of Operating Clarity is progress: how do you know if you’re on track? That’s where WhyGos and Health Metrics come in.

1e. Annual Goals (NS: WhyGos: Why, Goal, Outcomes)

WhyGos are your company’s top annual priorities and how you’ll measure success against them. They answer the PDP question: How are we doing?

WhyGo stands for:

  1. Why: Why this goal is a priority
  2. Goal: What we are trying to achieve
  3. Outcome: How we measure success

The system follows a strict 3×3 structure. The company can only have three (or fewer) WhyGos per year, and each WhyGo can only have three (or fewer) measurable outcomes. That’s it. This forces brutal prioritization, which is exactly what a good goal system should do. WhyGos are not meant to capture every little thing you work on during the year. That’s a task list, not prioritization.

Northstar OS template showing the Progress section, which includes Annual WhyGos with three goal columns (Goals, Why, and Outcomes rows) and a Health Metrics grid organized by Acquisition, Retention, Financial, and Team categories with metrics and targets.

WhyGos are set annually, then outcomes are broken into quarterly and monthly targets to keep pace. Unlike OKRs that restart from scratch every quarter (an administrative nightmare), WhyGos provide stable direction with tactical flexibility. Since WhyGos focus on what you’re trying to achieve (not jumping to solutions), teams have a lot of freedom to adjust their tactics throughout the year without blowing up their goals.

WhyGos cascade through the organization. Company-level WhyGos are set first and anchor everything. Then teams and individuals create their own WhyGos that align upward. But here’s an important point: individuals and team leaders create their own WhyGos. They are not forced upon them from the top. Each person drafts their goals, then aligns with their manager on two things: alignment to the level above, and difficulty. Is it challenging enough without being delusional? We call this the “handshake.” Once goals are set through the handshake, they’re locked. They can’t change without manager approval. This creates stability and accountability throughout the year. Everyone is accountable to someone. No sandbagging.

1f. Annual Metrics (NS: Health Metrics)

Health metrics track the vital signs of your business, regardless of what your annual priorities happen to be. Together with WhyGos, they complete the Progress layer of the PDP.

Here’s the key difference between WhyGos and health metrics: WhyGos reset each year based on your top strategic priorities. Health metrics are always monitored and improved irrespective of what your annual goals happen to be. Think of it like a human body. Your health systems are the vital organs. Your health metrics are the vital signs.

Northstar OS template showing the Progress section, which includes Annual WhyGos with three goal columns tracking Goals, Why, and Outcomes, and a Health Metrics grid organized by Acquisition, Retention, Financial, and Team categories with up to four metrics and targets each.

Every company, in every industry, has four health systems:

  • Acquisition: The health of your customer acquisition. Are you attracting and converting new customers effectively?
  • Retention: The health of your customer base. Are customers staying, growing, and paying you more over time?
  • Financial: The health of your company’s finances. Are you generating revenue, managing costs, and maintaining cash?
  • Team: The health of your team. Are you attracting, retaining, and empowering great people?

The health systems are the same for any business. However, the specific health metrics you track within each one will vary depending on the type of company you’re running. A B2B software company will track different acquisition metrics than a B2C retailer. The key is narrowing the aperture to focus on your top ~20 most important metrics (approximately 3-5 per system). Most leaders go wrong by building massive dashboards with an endless sea of metrics that take more time to maintain than they’re worth.

Highland slide titled "3 Parts of Every Health Metric" showing three components: Starting Value (baseline at beginning of period), Target Value (desired value at end of period), and Actual Value (actual ending value at end of period), alongside a sample health metrics dashboard tracking 20 metrics with QTD target, QTD actual, delta percentage, prior year, and year-over-year columns.

Health metrics are set annually with clear targets, then broken into quarterly and monthly increments to track progress. At the close of each period, you compare targets to actuals and use this information to make improvements. They live on your company dashboard alongside your WhyGos and are reviewed regularly as part of your operating rhythm.

Sometimes a health metric needs extra attention. When that happens, the CEO can elevate it into a WhyGo. For example, if customer retention starts declining, the CEO might create a company-level WhyGo focused on getting retention back to world-class levels. The metric doesn’t stop being a health metric. It just gets put in the spotlight for that 12-month period.

Pillar 2: Operating Rhythm

Highland slide showing the three pillars of the Northstar OS: Clarity (how to create total alignment across your team), Rhythm (how to create high levels of accountability), and Standards (how to define what great looks like), with Rhythm circled as the focus.

The second pillar of the Northstar OS is about creating a consistent operating rhythm across your company that people can rely on. A way to synchronize the entire company. If Operating Clarity defines the guardrails, Operating Rhythm creates the checkpoints. It’s how you ensure progress while maintaining high quality across the team.

Without rhythm, even the best vision dies in execution. Goals get set at the beginning of the year and forgotten by March. Dashboards go stale. Issues fester because no one surfaces them early enough. The team slowly drifts out of alignment and the CEO has no idea until it’s too late.

2a. Three-Calendar Concept

The Northstar OS Operating Rhythm is built around three calendars that stack on top of each other, each with their own unique checkpoints:  

  1. Annual Calendar: The big-picture rhythm. This includes your annual planning process and one important leadership calibration mid way through. 
  2. Quarterly Calendar: The pacing rhythm. Quarterly closes, business reviews, all-hands meetings, and board meetings. These checkpoints ensure you’re on track and create the environment to surface and solve problems before they compound.
  3. Monthly Calendar: The day-to-day rhythm. Monthly closes, leadership team meetings, 1-on-1s and dashboard updates. This is where the real work of accountability happens, week in and week out.
Highland slide titled "Design Your Three Calendars" showing the Northstar OS operating rhythm broken into Annual Calendar (Annual Close, Kickoff, Leadership Off-sites, Annual Goal Creation, Financial Plan Creation), Quarterly Calendar (Quarterly Close, All-Hands Meeting, Business Reviews, Board Meetings, Investor Updates), and Monthly Calendar (Monthly Close, Dashboard Updates, Leadership Meeting, 1 on 1 Meetings, CEO Updates).

Clarity defines what matters. Rhythm holds the team accountable to it. Every checkpoint ensures you’re making progress against what you said you were going to do at the beginning of the year – especially your stated priorities (WhyGos) and system targets (Health Metrics). 

The operating rhythm also creates three types of accountability: top-down (manager to direct report), peer-to-peer (across the leadership team), and self-accountability (individuals owning their own progress). This is critical when you’re designing for higher levels of autonomy. The more freedom you give your team, the more important the checkpoints become.

The Operating Rhythm is the most implementation-heavy pillar of the Northstar OS, with dozens of elements across all three calendars. This article covers the key concepts. For full breakdowns of every element, including masterclasses, templates, and calendar frameworks by team size, check out Highland Academy.

2b. Tracking Progress with Dashboards

Tracking progress against your WhyGos and health metrics weaves through almost every checkpoint. WhyGos and Health Metrics get reviewed in your leadership team meetings, discussed in your quarterly business reviews, presented at your all-hands, and reported to your board. WhyGos are especially important. These are your top three strategic priorities for the year and should be discussed constantly. If you go through a major checkpoint without talking about WhyGos, that’s a sign focus is off (or your priorities were wrong). 

The WhyGos and health metrics don’t just sit on the Northstar slide. They live in a series of dashboards that are tracked continuously and used to drive decisions at every level. 

Every WhyGo and health metric is tracked with a simple red, yellow, green status:

🟢 On pace to achieve 100% of goal
🟡 Slightly off-pace, within 20%
🔴 Off-pace, more than 20%

No complicated scoring systems. Just a clear, honest signal that everyone can read the same way. 

The Northstar OS uses a simple dashboard system that scales with your team size:

  1. Company Dashboard: Tracks company-level WhyGos and health metrics. Visible to the entire company. This is the scoreboard everyone can see.
  2. Team Dashboards: Each functional team (Product, Marketing, Sales, etc.) tracks their own WhyGos, health metrics, and the progress of each individual on the team. These roll up to the company dashboard.
  3. Individual Dashboards: Each person tracks their own WhyGos and key metrics. These align upward to the team and company dashboards. They usually live as tabs within the Team dashboard. 

Not every company needs all three on day one. Smaller teams can combine everything into a single dashboard. As you scale past 25-50 people, you’ll want to break them apart so each team has clear ownership of their numbers.

Dashboards should be updated weekly. At the close of each month and quarter, actuals are compared to targets across every WhyGo outcome and health metric. Each item gets a red, yellow, or green status. 

Dashboards are the fuel for every checkpoint in your operating rhythm. They’re what you review in your leadership team meetings, your quarterly business reviews, your board meetings, and your 1-on-1s. If the dashboards aren’t current, the checkpoints don’t work. Outdated dashboards are a massive operating disadvantage.

Remember that “simplicity scales”. Most leaders go wrong by building massive dashboards with dozens of tabs and hundreds of metrics. That takes more time to maintain than it’s worth. Keep it focused on your WhyGos and your top ~20 health metrics. I still use Google sheets because it’s the simplest to execute. But some companies in Highland use dashboard software, or business intelligence tools, or even AI agents to help track their progress. There is no wrong or right way to do it. You just need to ensure everyone on the team knows exactly how you’re doing at all times. 

For a deeper dive on health metrics, health systems, and how to build your company dashboards, check out the Dashboards & Metrics masterclass in Highland Academy

2c. ‘Get to Green’ Operating Mindset

The operating rhythm only works if people are honest about how things are going, and real-time problem solving becomes the dominant mindset of the team. Not blame. Not politics. Not skirting responsibility. This is where the Northstar “Get to Green” ethos comes in.

Things will go wrong throughout the course of the year. Your team will face issues, blockers, challenges that make WhyGos and health metrics get off track. You’ll be staring at a bunch of yellow and red items, thinking, what do I do now? Average teams start pointing fingers. But teams operating with the Northstar OS start thinking, how do we get back to green as fast as possible?

“Get to Green” means: if you see yellow or red, you don’t point fingers, you jump in to help. It’s proactive, not reactive. Collaborative, not blaming. Issues get pulled forward into checkpoints (especially the Leadership Team Meeting, see below) and solved together in real time. Yes, the person or team that owns that item is the most accountable. But if they fail, so does the company. That’s what “Get to Green” instills in your team. We solve problems together, and we solve them now.

Your operating rhythm creates recurring moments (your checkpoints) where the team comes together, looks at reality, and figures out what it takes to get back on track. The CEO sets the tone here. If your top priorities for the year are off-pace, what could be more important? 

2d. Leadership Team Meeting (staying “Tight at the Top”)

The leadership team meeting (LTM) is the most important recurring checkpoint in your operating rhythm. It’s where Get to Green comes to life. If you only get one meeting right as a CEO, make it this one.

The purpose is simple: 

  1. Ensure the leadership team remains aligned on the company’s priorities, 
  2. Ensure the company is on track against its WhyGos and health metrics, 
  3. Remove the blockers that stand in your way as a team. 

We run LTMs every other week for 100 minutes with 10 or fewer attendees (5-7 is the sweet spot). I favor a slightly less frequent, but longer meeting that goes deeper. This is a matter of personal preference though, not a prescription. Some CEOs prefer weekly leadership team meetings. That’s fine as long as you’re not pushing too many decisions to the “next meeting”. 

Going deep is the point. Your leadership team is the highest-paid group in the company. Their time in this meeting should be spent on the most important blockers to your WhyGos and health metric targets. Low-level issues, operational housekeeping, HR items, things that belong in email or Slack should never surface in this room. This is one of the biggest problems with EOS. Their “Issues List” becomes a never-ending grab bag of items that are low-level, low-priority, or not even tied to the company’s top strategic focus areas. That dilutes the meeting and wastes your most expensive hour of the week.

The CEO must be ruthless about what gets discussed in the leadership team meeting. Before each meeting, off-pace items are added to a running “Get to Green” list. The CEO stack-ranks that list by urgency and selects the top 3 for discussion. This is the hardest part. There will always be more items than time. But you must choose wisely and go deep toward resolution and immediate action, rather than skimming the surface of a dozen things. The CEO makes the final call on what makes the cut.

Here’s the agenda structure. It never changes:

  1. Settle In (5 min): Set the tone. Share a win, give someone props, build trust before the harder stuff.
  2. Company Progress (10 min): CEO pulls up the company dashboard. What changed since last time? What went green? What went yellow? What went red? Why were specific items selected for Get to Green?
  3. Team Progress (20 min): Each functional leader gives a 2-3 minute update on their red and yellow items. Green items are skipped. Deeper discussion is reserved for Get to Green.
  4. Get to Green (60 min): The heart of the meeting. For each selected item, the functional leader identifies the blockers, and the team builds an action plan to get it back on track by the next meeting. This is the ultimate form of Get to Green in action.
  5. Actions (5 min): Review all action items, confirm ownership, and close.

One non-negotiable: every executive must walk into this meeting with their dashboard updated and a deep understanding of their off-pace items. They don’t need all the answers. But they need to understand the situation well enough that the rest of the group can step in to help. If their dashboard isn’t updated, they shouldn’t be in the room. I rarely pull moves like this, but I’ve asked people to leave the meeting for showing up unprepared. It’s that important. If you don’t know your numbers, you can’t lead the discussion. And if you can’t lead the discussion, you’re not a good representative for that function. 

The Leadership Team Meeting helps you stay “tight at the top.” Even a small crack in alignment at the leadership level creates large misalignments further down the org chart. The LTM makes sure those cracks get patched before they spread. 

I wrote a full guide on how to run the perfect leadership meeting here. For the Get to Green tracker template and the Leadership Team Meeting masterclass, check out Highland Academy.

Pillar 3: Operating Standards

Highland slide showing the three pillars of the Northstar OS: Clarity (how to create total alignment across your team), Rhythm (how to create high levels of accountability), and Standards (how to define what great looks like), with Standards circled as the focus.

The third pillar of the Northstar OS answers one of the most important questions a CEO can answer: What does “great” look like here?

Most companies never define this. They assume people know the bar. But they don’t. Without clear standards, quality becomes subjective. One team’s “good enough” is another team’s failure. People default to their own interpretation of excellence, and you end up with inconsistency everywhere.

I first felt this gap at Classy when a new team member asked me a simple question: “What does great look like here?” I stumbled through my answer. It wasn’t that we didn’t have a high bar on product or brand, or know what a great team member looked like. But I had never defined it in a detailed way. Sure, we had our mission, values, and vision. But this was different. We needed a way to share our perspective on what “great” meant to us across the dimensions that mattered most.

I found my answer in an unlikely place. Yvon Chouinard’s book, Let My People Go Surfing, is a masterclass in culture. Patagonia defines “philosophies” across every major dimension of their business: product design, production, distribution, brand, finance, HR, management, environment. Each one is explained in a simple 1-2 page format that reads like a manifesto. A handful of pages, massive leverage.

We did the same at Classy. But we boiled them down to four categories and called them operating standards. 

  1. Brand Standards: How we present ourselves to the world.
  2. Product Standards: How we build product and think about quality.
  3. Performance Standards: What excellent results and work looks like here.
  4. Leadership Standards: How we develop leaders and promote from within. 

These standards are non-negotiables that define your company’s DNA. They create differentiation at the decision level. Are we holding the line on what actually matters? Or will we succumb to the pressure and be like everyone else?

Mapping Values to Standards

Remember the actionable definitions from your T-Shirt Values? This is where they start doing real work.

Values tell your team what you believe and how you act across the company. They’re the foundation. But standards go one level deeper. They define what “great” actually looks like across specific dimensions of your business. Think of it this way: a value is a belief. A standard is a bar. You need both.

Highland slide showing how Classy derived its Product Standard from the company value "Create Meaningful Value," which included obsessing over customer value rather than competitors or vanity metrics, prioritizing long-term success over short-term gains, and creating value for all stakeholders. The resulting Product Standard stated that Gross Donation Volume (GDV) is the primary health metric, and any product direction, feature, or decision that goes against growing GDV should be highly scrutinized or killed outright.

At Classy, one of our values was “Create Meaningful Value.” The definition spelled out that we obsess over customer value, not competitors or vanity metrics. We prioritize long-term success over short-term gains. That belief lived in our product standard. When engineers made feature decisions, when product managers wrote specs, when designers debated tradeoffs, the standard gave them something concrete to hold onto. Not just “do the right thing” but here’s what the right thing looks like for us, specifically.

That’s the move. Your values inform your standards. Your standards make your values operational. No contradictions. No distance between what you say you believe and how the work actually gets done.

Every company will define its standards differently. They should. Your standards are an expression of your unique point of view. But in our experience building Classy and working with hundreds of CEOs through Highland, there are four dimensions that every company needs to define clearly.

3a. Brand Standards

Highland slide titled "4 Standards Every Company Should Define" showing a two-by-two grid: Brand (how we present ourselves to the world), Product (how we build product and think about quality), Performance (what excellent results and excellent work looks like here), and Leadership (how we develop leaders and promote within), with Brand circled as the focus.

Your brand standard defines how you present yourself to the world. Every touchpoint. Your website, your sales deck, your email signature, the way your team shows up on a customer call. All of it signals something. The question is whether you’ve decided what it signals, or whether you’re leaving that to chance.

Most companies leave it to chance. They have a logo and a color palette and call it brand. That’s not a standard. A brand standard captures your voice, your aesthetic, your personality, and your non-negotiables. It answers the question: what should our brand feel like, and what shouldn’t it?

Mailchimp is a great example. They brought a mascot into enterprise software when every B2B company was playing it safe with sterile corporate branding. That wasn’t an accident. It was a deliberate expression of their standard. Friendly. Human. A little playful. And they held the line on it at every touchpoint.

Sloppy brand signals a sloppy company. When a prospect sees a poorly designed email or a sales rep who clashes with what the brand promises, they make a subconscious judgment about your entire operation. Your brand standard should be specific enough that a new hire on day one could read it and immediately know what’s on-brand and what isn’t.

More on WhyGos: WhyGos patched the holes left by OKRs and helped us scale into the hundreds of millions. After we sold to GoFundMe, I started advising and teaching WhyGos to other startups. You can access my Masterclass on WHyGos through Highland Academy.

3b. Product Standards

Highland slide titled "4 Standards Every Company Should Define" showing a two-by-two grid: Brand (how we present ourselves to the world), Product (how we build product and think about quality), Performance (what excellent results and excellent work looks like here), and Leadership (how we develop leaders and promote within), with Product circled as the focus.

Your product standard defines how you build and how you think about quality. This is the one most founders feel intuitively but rarely write down. And that intuition doesn’t scale.

Early on, your taste becomes the standard. You can feel when something’s off. But as the team grows and you step back, your taste has to live somewhere beyond your head. That somewhere is your product standard.

The best companies have ferocious product standards. Steve Jobs returned defective products to engineers’ desks. Jeff Bezos left an empty chair in meetings to represent the customer. 37signals made core features better instead of adding new ones. Each of these was a clearly held belief about what great product looked like, enforced consistently at the decision level.

Your product standard should also directly inform your roadmap. Either through outcomes: defining the customer results your product must deliver and filtering every roadmap decision through them. Or through swimlanes: defining the core promises your product makes to users and ensuring each one is being fulfilled every planning cycle. Both approaches replace the endless feature request pile with a clear filter. 

Do this right and you product standard shapes your customer experience, and ultimately your company’s reputation. Never lose touch with product. 

Want an example? Here's a link to Highland's company standards template (free google doc you can copy). I provided an example from my former company Classy. 

3c. Performance Standards

Highland slide titled "4 Standards Every Company Should Define" showing a two-by-two grid: Brand (how we present ourselves to the world), Product (how we build product and think about quality), Performance (what excellent results and excellent work looks like here), and Leadership (how we develop leaders and promote within), with Performance circled as the focus.

Your performance standard defines what excellent results and excellent work look like at your company. Not average. Not acceptable. Excellent.

Most CEOs keep this in their heads and dole it out through painful conversations that could have been avoided if the standard had been stated clearly from the start. Be explicit about what’s acceptable, what’s exceptional, and what gets you fired. Everyone must clear the bar. Write it down. Communicate it constantly.

Netflix got this right. They killed annual reviews and replaced them with the keeper test: would I fight to keep this person if they told me they were leaving? If the answer was no, they helped them find something better. Brutal, maybe. But clear. Everyone inside Netflix knew the bar. 

This is also where your operating rhythm does critical work. Your 1-on-1s aren’t just check-ins. They help you assess individual performance against the standard. How is this person progressing against their WhyGos? Are they clearing the bar? Where do they need support? The rhythm creates the recurring moments to have these conversations before small issues become big ones.

3d. Leadership Standards

Highland slide titled "4 Standards Every Company Should Define" showing a two-by-two grid: Brand (how we present ourselves to the world), Product (how we build product and think about quality), Performance (what excellent results and excellent work looks like here), and Leadership (how we develop leaders and promote within), with Leadership circled as the focus.

Your leadership standard defines how leaders are expected to show up at every level of the company. How you give feedback. How you run a meeting. How you make decisions. How you develop the people below you. How you handle conflict. All of it needs to be spelled out.

Early on, culture spreads by watching you and the founding team. They see how you handle pressure, how you treat people when things are hard, how you behave when no one’s keeping score. You are the leadership standard, whether you’ve written it down or not. But that doesn’t scale. You can’t model your way through hundreds or thousands of people. At some point, leadership has to become a standard, not a single person.

At Classy, our leadership standard was rooted in our value of “Lead by Example.” That meant very specific things. Rolling up your sleeves when needed. Collaborating. Building up the people around you. We used it in performance conversations and in decisions about who to promote.

That last part matters more than most CEOs realize. Promoting the wrong people is one of the fastest ways to erode culture. When you promote someone who delivers results, but doesn’t uphold your leadership standards, you signal to the entire team that there’s really no bar at all. Write it down. Share it widely. Hold the line on it, especially when it’s uncomfortable.

Developing leaders at every level: Highland Academy teaches the same leadership frameworks I used to build Classy's leadership bench. 30+ masterclasses, proven systems, and tools your entire leadership team can implement. Check it out here. 

The Northstar OS and the CEO-7

The three pillars of the Northstar OS aren’t random. They map directly to the first three of what I call the CEO-7: the seven core responsibilities every great CEO must master.

  1. Create Operating Clarity → NS Pillar 1
  2. Build an Operating Rhythm → NS Pillar 2
  3. Set Operating Standards → NS Pillar 3
  4. Build an Elite Team
  5. Find and Optimize Cash
  6. Manage Key Stakeholders
  7. Manage Yourself as the Leader
Highland CEO-7 framework shown as a circular wheel with seven segments: 1. Clarity, 2. Rhythm, 3. Standards, 4. Team, 5. Cash, 6. Relationships, and 7. Self, surrounding the Highland logo at the center.

It’s not a coincidence that the first three responsibilities align perfectly with the Northstar OS. I built the system specifically to help CEOs master clarity, rhythm, and standards. When you lay down a company-wide operating system, you’re building the infrastructure that makes these three responsibilities systematic and repeatable.

When clarity, rhythm, and standards are running smoothly, the other four responsibilities become significantly easier to execute. Building a great team is easier when people know where they’re going. Managing cash is easier when priorities and resourcing are aligned. The whole company runs better when the operating foundation is solid.

I wrote a full article on all seven CEO responsibilities here: What a CEO Actually Does. You can also go deeper on the CEO-7 by checking out this Highland Masterclass.

How to get started with the Northstar OS

WIf you’re ready to implement the Northstar OS, here’s where to begin.

Step 1: Start with Clarity. Download the free Northstar template and fill it out for your company. Start with the higher level elements: mission, values, vision, strategy. Then define your annual WhyGos and health metrics. Don’t rush this. Get your leadership team’s input and buy-in. This document becomes your company’s most important artifact.

Get the free Northstar Template

Step 2: Build your Rhythm. Once you have clarity, fine tune your operating rhythm. Start with your monthly calendar: leadership meetings, 1-on-1s, dashboard updates. Then add your quarterly calendar: business reviews, all-hands. For each checkpoint, map out exactly what you’re trying to achieve. Less is more early on. 

Step 3: Define your Standards. Define, communicate and enforce what great looks like across Brand, Product, Performance, and Leadership. Share it with the team. Make it part of how you hire, evaluate, and promote. Revisit annually.

Don’t try to do all three at once. Start with clarity. It’s the foundation everything else is built on. Go from there.

Get help implementing the Northstar OS:

If you want to learn more, and get help implementing the Northstar OS, here are two ways to continue: 

  1. Highland Academy is our self-paced program for founders, CEOs, and senior operators. It includes 30+ masterclasses, the full Northstar OS curriculum, and every template and guide you’ll need. Start your free 7-day trial.
  2. Highland Society is our exclusive community of 150 or fewer CEOs, combined with live coaching, expert firesides, and annual Workshops in Montana. Built for scaling CEOs who want to go faster with a room full of peers who’ve been there. Apply here (takes 1 minute, no cost or commitment).

Frequently Asked Questions

What is a business operating system? A business operating system is the management framework your company uses to create alignment and accountability across the organization. Most companies don’t have one. They’re unstructured and chaotic, and most people within them have no idea why they’re there, where they’re going, or how they’re doing.

What is the Northstar Operating System? The Northstar OS is a business operating system built on three pillars: Operating Clarity, Operating Rhythm, and Operating Standards. I developed it while scaling Classy because existing systems like EOS and OKRs broke down as we grew. It’s now used by thousands of CEOs through Highland Academy and Highland Society.

How is the Northstar OS different from EOS? The Northstar OS is more adaptable to high growth companies trying to scale into the tens of millions and beyond. It’s built by someone who actually scaled a successful company, not by consultants. EOS relies on a visionary/integrator split that can undermine the CEO’s ownership of the system. It’s also more rigid, with a one-size-fits-all approach that doesn’t adapt well as you grow. The Northstar OS scales by team size and adapts to your company’s stage and culture.

Do I need to abandon OKRs to use the Northstar OS? OKRs are a goal setting framework, not a business operating system. The Northstar OS has its own goal setting framework embedded called WhyGos. That said, you can adopt the Northstar OS while keeping OKRs as your goal framework. But most teams that try WhyGos find them to be a significant upgrade and don’t go back. 

How long does it take to implement? You can build out the first draft of the Northstar clarity template in a day. What takes time is getting your team involved and creating buy-in (which is essential). The operating rhythm typically takes a quarter to fully establish. Standards take longer because they require the Clarity pillar to be established, but also real reflection, writing, and leadership involvement. Most companies have all three pillars running smoothly within 6-12 months. Start with clarity and build from there.

What size company is this designed for? The Northstar OS is designed to scale from single-digit millions to $100M+ in revenue. Smaller teams implement the basics. Larger teams layer on more structure. The key is adding the right amount of structure for your current stage without over-engineering it too early.

How does the Northstar OS connect to the CEO-7? The three pillars map directly to the first three of the seven core CEO responsibilities: Operating Clarity, Operating Rhythm, and Operating Standards. When these three are running well, the other four responsibilities, team, cash, stakeholders, and self-management, become significantly easier to execute.

Where can I learn more? Explore the full Northstar OS curriculum through Highland Academy, including masterclasses, templates, and implementation guides. Start your free 7-day trial. If you’re a scaling CEO looking for live coaching and a community of peers, apply to Highland Society here (takes 1 minute, no cost or commitment).