Further Resources

The conversation you avoid, when a team member starts drifting, has already become urgent. Fix it early, not because HR told you to, but because teams are fragile and momentum is everything.

Team underperformance isn't a moral failing. It's a symptom. The last 15 years of working with executives in Sydney, Melbourne and Perth have taught me that leaders who treat underperformance as a problem to investigate, not a problem to punish, get better outcomes.

Yes, it's faster to retrain than to replace. But firing sick and hiring healthy is dangerous. It's pragmatic.  

Why underperformance matters: beyond the obvious

Underperformance drags more than output. It frays trust, slows decision making and injects doubt into otherwise capable teams. Gallup found that teams in the top quartile for employee engagement and performance deliver around 21% higher profitability compared with teams in the bottom quartile.

That's not fluff. It's dollars and strategy. If you let one person's slide endure, the hidden cost is greater than firing and rehiring combined, culture, lost time, rework and the toll on your best performers.  

Start with what you see, and then ask why

Most managers can spot the symptoms: missed deadlines, quieter participation in meetings, defensive emails, rising error rates. But symptom spotting is useless. Leaders need both quantitative evidence and human backsight KPIs, time sheets, peer feedback and crucially, a few candid conversations.

Skill v will: Know the difference

Too many corrective actions treat every problem as a skills gap. There are two separate beasts: skill and will.

Skill problems are fixable with coaching, shadowing, stretch assignments, structured learning or a different role that better suits their strengths. Consider <a href="https://paramounttraining.com.au/training/managing-poor-performance/">managing poor performance</a> training to develop these capabilities.

Will problems, low motivation, misalignment with the role, cynicism, need a different approach. Incentivisation, clearer purpose, or sometimes a frank talk about fit.  

Empathy and boundaries

Empathy isn't indulgence. It's practical.

Feedback that lands

Communicate the purpose of metrics clearly. When <a href="https://paramounttraining.com.au/training/conducting-performance-reviews-training/">conducting performance reviews</a>, focus on specific behaviours and outcomes. Keep some low performers if they're kind and highly adaptable.

Culture eats technique for breakfast

Don't forget prevention

Prevention is cheaper than the cure.