Hey Reader,
The recent Korn Ferry article on the return of stack ranking, popularized by Jack Welch at GE in the 80s, made my ears perk up. While today’s Big Tech firms are attempting to modernize the approach with more data and better analytics, the foundational idea remains controversial: rank employees, reward the top, and fire the bottom.
The intention of creating a performance-based culture isn’t wrong. But there’s a more effective and sustainable way to achieve it.
Organizations don’t need to fall into the “Rank and Yank” trap. Instead, they can build performance systems that develop people, support managers, and lead to real, lasting growth. Here’s how:
1. Define performance with clarity. Many employees struggle not because they lack ability, but because expectations are unclear. Success needs to be defined consistently and transparently. Competency Models and clear Role Profiles help set that standard. These tools explain both what needs to be delivered and how to deliver it. This creates shared understanding, consistency across teams, and a fairer foundation for evaluating performance.
2. Support leaders in identifying and addressing performance gaps. Managers are the front line of performance. Equip them with tools like a Competency Model, Role Profiles, and Skills Matrix to identify and assess performance gaps. Develop training to spot issues early, offer feedback effectively, and coach employees toward success. The earlier performance struggles are addressed, the more likely they are to improve, with less stress and disruption for everyone.
3. Build in development before decisions. Rather than defaulting to separation, organizations can implement structured interventions: coaching conversations, targeted Individual Development Plans, and KPI-driven check-ins. When done well, this builds a culture of accountability and support. And when someone still isn’t a fit, the decision to part ways is clearer, fairer, and better for all involved.
4. Watch for bias, and create space for equity. One of the critiques of stack ranking is its potential for subjectivity. Bias, whether conscious or not, can distort evaluations, particularly when metrics are vague or leadership isn’t calibrated. A strong system includes regular calibration conversations, checks for bias, and transparent processes for evaluating performance.
5. Make growth the goal. Not every employee will be a star performer right away. But most want to succeed if they understand what’s expected and are given the chance to rise to it. That’s why the best organizations prioritize development and growth over punishment. They ask, “How can we help this person succeed?” before asking, “Should this person stay?”
Stack ranking may appeal to a desire for objectivity. But performance culture is built on shared understanding, clear expectations, and meaningful development. Let’s use the tools of modern HR, such as data, goal setting, and competency models, not to eliminate people, but to elevate them and enable growth.
Let’s build workplaces where performance is clear, accountability is shared, and growth is the norm, not the exception.
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A Little Bit About Regina
I'm Regina Taute (say Howdy Taute and you've pronounced it right) a seasoned talent leader with experience in leadership and organizational development. I started Collective Growth Coaching and Consulting to partner with organizations to develop wildly practical and effective talent strategies. As a credentialed coach and certified in MBTI and Hogan assessments, my passion lies in unlocking potential and driving sustainable growth by helping individuals and teams thrive in today’s evolving business world.
It would be my honor to join you for a complimentary 30-minute coaching session to help solve a current challenge with wildly practical solutions or to meet with you one-on-one to chat and get to know you.
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