What to do when a team member isn’t performing

How to address employee performance issues
Dealing with an underperforming team member is a “rite of passage” for any manager. Our 4-step approach will guide you through this challenge.
 
Consider the 4 likely reasons for low performance: 
1) Expectations not understood or goals not clear 
2) Skill gaps 
3) Personal problems 
4) Talent not suited for the role 
 
1) When faced with an underperforming team member, we recommend first looking inward - did you do enough (a) to clarify the overall behavior expectations (taking initiative, following up, thinking creatively, etc.), and (b) to ensure the person's individual goals comply with all aspects of SMART (Specific, Measurable, Achievable yet Aggressive, Relevant, Time-bound & Tracked), and (c) to get buy-in from the team member? Rectify any gaps in expectations, goals, and buy-in before proceeding to the subsequent steps. 

2) If expectations and goals are clear, but results are still not forthcoming, examine the person's skillset and available tools. Do they have what they need to perform successfully? If supplemental or upgraded tools are needed, provide them. If there are specific skill gaps, explore training and mentoring options. Pairing a lower skilled person with an expert can be very effective (but only if the expert is guiding/developing, not doing the work for the unskilled person). 

3) If expectations & goals are clear and skills/tools are adequate, it's possible the person is distracted by a serious personal problem. Obviously, such issues should only be discussed privately. Be compassionate and be as flexible as you can. Perhaps some work could be shifted to another person temporarily, etc. It’s the right thing to do, plus, people who understand that you really care about them will be highly motivated to help you when things return to normal for them. 

4) If expectations and goals are clear, skills/tools are adequate, and there is no personal problem, it's possible the person is simply not a good fit for the role. This does not mean they are a bad person, or a bad professional, just that their style does not work well in your company's system. In this case, you may need to take action to address the performance gap. If the person's skills and attitude match another job better, maybe an internal move could make sense. If the person would not likely be successful in another role, then you may have to formally put them on a performance improvement plan. In the end, keeping a poor performer hurts the team and hurts the person. It's better for everyone if they find a role elsewhere in which they can thrive.  
 
Note: Addressing poor performance is a vital management activity. It's a skill that you should develop. Acting swiftly in these cases is recognized by senior leaders as a positive management trait. Mastering this skill is important to career development and being viewed as an effective leader.
Image of poor communication
February 17, 2026
If you want your message to land, it's essential to select the correct mode of communication. What's the correct mode? It depends.
Image of Juran book and impacts
February 16, 2026
Juran realized that all defects can be classified as "operator-controllable" or “management-controllable". Management (and engineering) plays an absolutely essential in quality outcomes.
People Dislike You Image
November 18, 2025
Networking and communication build and sustain the relationships that make business work. Avoid these bad habits immediately or people will dislike you immediately.
Masential Skills Image
November 17, 2025
Mastering these 5 missing skills quickly maximizes your productivity and influence, which in turn enhances both job security and advancement potential.
Image for developing engineers
November 16, 2025
I explained the goal in designing any component. Overly tight specifications would make it harder to find suppliers and would drive up costs. The engineer's entire approach changed.
Image of preparing for customer response
October 2, 2025
Preparing for a presentation is vital in enabling team members to convey critical points, and influence outcomes with customers. Here are the steps involved.
Image of 3Cs for customer management
October 1, 2025
When customer tensions rise, the right approach can turn friction into collaboration. At CAEDENCE, we call it the 3C’s: Calm, Clarify, Control. Here's more detail.
Image of AI not replacing customer communication
September 30, 2025
Will AI Replace Direct Customer Communication? Absolutely Not! In an age of chatbots and algorithms, the highest-impact discussions still happen person-to-person.
Managing tough customers image
September 29, 2025
B2B customer relationships are not a breeze. We’ve navigated hundreds of challenging accounts and distilled five secrets that consistently turn friction into forward progress.
Developing team without jumping to solutions
September 26, 2025
Ever notice how a quick fix from the top can feel like a shortcut, but it ends up stunting your team’s growth? When managers rush to answers, they inadvertently affect team development.
Show More