The Five Causes of Underperformance

The Five Causes of Underperformance

I believe that many leaders struggle with accountability, mainly because we think that the problem with dealing with it revolves around the performance based conversation, which can feel intimidating or confronting. If you are challenged by the contribution of someone in your team, by the time you get to the point of wondering how to let someone go, you have left it far too long.

To my mind, there are Five Causes of Underperformance, as a leader, it is your responsibility to work out which one it is, and fix it. But instead of seeing the issue as a confrontation, you need to approach it from a collaborative, problem solving perspective.

1️⃣ Lack of Clarity: Far and away the number one cause of underperformance in our teams is that we haven’t set clear expectations around their responsibilities in the first place. A recent article in Forbes magazine (message me if you want the reference) states that 93% of businesses do not set clear expectations. This makes any performance conversation difficult if you haven’t agreed on what the targets should be in the first place.

2️⃣ Lack of Knowledge: This indicates that there is an essential piece of information, skill set or training that they are lacking that will help them close the performance gap. Help them to close this gap, reach their targets, and not only will their performance improve, but so too will their motivation and engagement.

3️⃣ Lack of Resources: Do they actually have the necessary budget, equipment, software, headcount or time to meet the required standards? Give them what they need and watch them succeed.

4️⃣ Lack of Motivation: Employee engagement is a shared responsibility. As leaders, we must provide a clear sense of Purpose through a well-defined Vision, Mission, and Business Plan. A major source of engagement and motivation is feedback. Feedback when they do well and meet or exceed targets, public recognition is a powerful motivator. Assistance and collaboration to identify the root cause of underperformance as we have discussed above. The vast majority of people want to feel successful in their role, help them achieve that, it is one of the greatest responsibilities of leadership.

5️⃣ Lack of Capability: Sometimes, despite our best efforts, we may hire individuals who aren't the right fit for a specific role. It may be necessary to make the tough decision of parting ways, both for the benefit of the business and the individual.

As leaders, it's our responsibility to identify the underlying cause of underperformance and swiftly address it. By understanding and tackling these factors, we can foster a culture of accountability, growth, and success within our organisations.

Let's strive for excellence and empower our teams to reach their full potential!


To partner with Pragmatico Pty Ltd to increase your effectiveness in both business and your personal life contact Mark at 0416 111 454 or via email at mark@pragmatico.com.au

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