The Peter Principle is a concept in organizational theory, formulated by the Canadian psychologist Laurence J Peter. This concept asserts that, in a hierarchical structure, individuals tend to rise to “their level of incompetence”.
Typically, employees are promoted based on the performance in their current rules, until they reach a position where they are no longer competent. At that point, they are less likely to be promoted, remaining in a role where they are not effective.
The Peter Principle highlights the potential challenges of promoting people based solely on their past, rather than assessing their fit for the new role. The vast number of once great sports men and women who failed to become great coaches and managers are illustrative for this.
The Peter Principle asserts that individuals tend to rise to “their level of incompetence”
The Peter Principle underlines the need to take a pro-active approach on the following 3 domains:
- For yourself: Self-awareness and skill development; by encouraging yourself and your teams to go beyond your current proficiency and expand your capabilities as a whole.
- For your team: Effective communication; constructive input enables you to understand the blind spots and fosters a collaborative atmosphere for collective growth. The Johari Window could be a great tool to enhance communication, click here.
- For your organization: strategic succession planning; by having a pipeline of skilled and competent employees, you will reduce the risk of leadership gaps, improve employee engagement and enhance overall organizational performance. A crucial part in strategic succession planning is to support non-managerial progression. By providing different pathways, employees are not forced into a leadership role simply to progress, they are encouraged to think beyond the managerial pathway.
How did you end up in your current position, because of future fit or past performance?
The Peter Principle is a concept in organizational theory, formulated by the Canadian psychologist Laurence J Peter. This concept asserts that, in a hierarchical structure, individuals tend to rise to “their level of incompetence”.
Typically, employees are promoted based on the performance in their current rules, until they reach a position where they are no longer competent. At that point, they are less likely to be promoted, remaining in a role where they are not effective.
The Peter Principle highlights the potential challenges of promoting people based solely on their past, rather than assessing their fit for the new role. The vast number of once great sports men and women who failed to become great coaches and managers are illustrative for this.
The Peter Principle asserts that individuals tend to rise to “their level of incompetence”
The Peter Principle underlines the need to take a pro-active approach on the following 3 domains:
- For yourself: Self-awareness and skill development; by encouraging yourself and your teams to go beyond your current proficiency and expand your capabilities as a whole.
- For your team: Effective communication; constructive input enables you to understand the blind spots and fosters a collaborative atmosphere for collective growth. The Johari Window could be a great tool to enhance communication, click here.
- For your organization: strategic succession planning; by having a pipeline of skilled and competent employees, you will reduce the risk of leadership gaps, improve employee engagement and enhance overall organizational performance. A crucial part in strategic succession planning is to support non-managerial progression. By providing different pathways, employees are not forced into a leadership role simply to progress, they are encouraged to think beyond the managerial pathway.
How did you end up in your current position, because of future fit or past performance?