diff --git a/item_updater.cpp b/item_updater.cpp
index 9cac8dd..9e5b173 100644
--- a/item_updater.cpp
+++ b/item_updater.cpp
@@ -15,6 +15,7 @@
 #include <queue>
 #include <set>
 #include <string>
+#include <thread>
 #include <xyz/openbmc_project/Common/error.hpp>
 #include <xyz/openbmc_project/Software/Image/error.hpp>
 
@@ -453,8 +454,13 @@
 
 void ItemUpdater::reset()
 {
+    constexpr auto setFactoryResetWait = std::chrono::seconds(3);
     helper.factoryReset();
 
+    // Need to wait for env variables to complete, otherwise an immediate reboot
+    // will not factory reset.
+    std::this_thread::sleep_for(setFactoryResetWait);
+
     log<level::INFO>("BMC factory reset will take effect upon reboot.");
 }