Save that Employee Rather than Fire

Abstract

Many managers say their most challenging task as supervisors is confronting performance problems. They typically must balance the needs of employees with the needs of the business. They fear that they will either cave in to the employee's demands at the expense of better business judgment or, at the other extreme, that they will act too mechanically in serving the business, creating a people problem that will consume time and energy. However, there is a process a supervisor can use to approach employee performance in an open, honest, participatory manner that builds trust and leads to a mutually beneficial outcome for employee and company. The author suggests a four‐step program. First, managers must realize that turnover is costly and they must also consider an employee's present and potential value to the company. Second, they must define the problem or “performance gap” in a measurable way, without describing performance in terms of character or personality traits. Third, managers must determine if the inferior performance is a “can't do” or “won't do” problem. Finally an action plan for improvement which involves both the supervisor and the employee must be implemented.