Skip to main content
← Back to Insights

Why "Just Hire a COO" Doesn't Solve It

The operating system has to exist before someone can run it.

3 min read

Most companies that hire a COO to fix operational problems lose the hire within 18 months. It happens often enough that it is worth asking why, and the answer is not about the person. It is structural.

A COO cannot run an operating system that was never built. They can only inherit whatever decision rights, workflows, and institutional judgment already exist, usually undocumented, scattered across a handful of people's heads. In the first few months, the new hire looks great. They are asking sharp questions, mapping the org, meeting every function lead. Then they hit the wall every operational hire eventually hits: the moment they need to make a real decision, and the actual criteria for that decision exists nowhere except in the memory of whoever made the last one.

So they guess, or they ask, and asking repeatedly starts to look like a lack of judgment rather than a lack of information. Eighteen months later, leadership concludes the hire was not strong enough, and starts the search again. The next hire inherits the same undocumented system and the cycle repeats.

The three things that have to exist first

The actual fix is not a better candidate. It is getting the operating system written down before the search even starts. That means three things, specifically:

Decision rights. Who can approve what, at what dollar threshold, without escalating. Most companies can answer this for finance and cannot answer it for anything else.

Workflows. Not org charts, the actual sequence of who does what, in what order, when something breaks. If the answer to "what happens when X goes wrong" is "someone figures it out," that is not a workflow.

Encoded judgment. The unwritten rules the most experienced person in the room applies without thinking about it. What counts as a real emergency versus a manageable delay. Which customers get flexibility and which do not. This is the hardest one to extract because the people who hold it usually do not realize it is a system, they just think of it as knowing the business.

None of this requires hiring anyone. It requires someone sitting with the people who currently hold the operating system in their heads and getting it out, structured, and written down. That is slower and less glamorous than a search process, and it is also the only version of this that actually works. Hire the COO after the system exists, and you are hiring someone to run it. Hire before, and you are hiring someone to rediscover it, on the clock, with the clock counting against them.

Key Takeaway

The instinct to hire your way out of operational strain is understandable, and eventually a senior operations leader is the right move. But the operating system has to exist before someone can run it. Decision rights, workflows, and institutional judgment written down are the foundation that makes an operational hire succeed rather than fail.

Build the system first. Then hire the person who will take it further than you ever could.