Low Performance Is a Leadership Problem, Not a People Problem


The Agile Compass

Matthias Orgler

Hello Reader,

do you know a low performer? I wanna challenge the notion of "low performer" as a label for a person. Because it's not only utterly false, but it also prevents us from solving the real performance problems.

If we want more articles about high performance, read these:


Thanks for supporting my work by being a paying subscriber of The Agile Compass! 🙏​

​

Low Performance Is a Leadership Problem, Not a People Problem

The term “low performer” is not just outdated — it’s destructive.

Labeling people this way reveals an antiquated view of human beings that not only demotivates employees but actively damages your bottom line.

The Problem with the “Low Performer” Label

Calling someone a “low performer” suggests that underperformance is an inherent personal flaw — rather than a symptom of environment, leadership, or system design. It’s the managerial equivalent of saying, “The fish can’t climb the tree — it must be lazy.”

Modern science tells a different story:
Psychologists Edward Deci and Richard Ryan’s Self-Determination Theory tells us that intrinsic motivation — fueled by autonomy, competence, and relatedness — drives performance. When these needs aren’t met, performance drops. Not because people are “bad,” but because the system is.

By labeling people instead of fixing systems, you rob yourself of real solutions.

The Legacy of Taylorism: Managing Humans Like Machines

The obsession with “low performers” traces back to Frederick Taylor’s scientific management, which treated workers like interchangeable machine parts.

Thinking and doing were separated: the manager plans, the worker executes. This significantly impacts our autonomy drive. And:

In knowledge work, doing is thinking. You can’t split the two without crushing innovation, creating inefficiencies, and causing problems.

Managers clinging to Taylorism (and the separation of thinking and doing) today suffocate autonomy, stifle creativity, and — ironically — create the very underperformance they fear.

Measuring the Wrong Things: The Danger of Proxy Metrics

An additional issue is the focus on vanity metrics. Instead of measuring real outcomes, many companies still track proxy metrics like hours worked or story points completed.

But knowledge work doesn’t follow a linear, mechanical process. Sometimes, an employee grinds for eight hours and delivers a mediocre result. Then, in a 30-minute burst of creative clarity the next day, they produce something game-changing.

Value creation is nonlinear. It comes in unpredictable surges, not in steady, controllable trickles.

Measuring hours encourages appearances over impact — and invites Goodhart’s Law: "When a measure becomes a target, it ceases to be a good measure."

Real Underperformance: A Matter of Context, Not Character

Of course, genuine skill mismatches or role misfits exist. Not every person is the right fit for every environment. But even then, the problem isn’t a flawed human — it’s a flawed fit.

A fish is not a bad fish because it can’t climb trees. It’s just in the wrong ecosystem.

The real leadership question is not, “Who should we fire?” but rather:

  • Can we upskill this person?
  • Can we find a better-fitting role?
  • Or — if neither is feasible — can we part ways respectfully and wisely for mutual benefit?

Lessons from the Military: Autonomy Saves Lives

Even the military — often cited as the epitome of command-and-control — has evolved. The concept of Mission Command entrusts frontline units with autonomy to adapt to dynamic situations. Generals set the mission, but soldiers make the decisions.

Because they know:

  • Top-down micromanagement is too slow.
  • Frontline autonomy saves lives.

If even the military learned that thinking and doing must stay together, why are so many corporate managers still stuck in 1911?

Slack Is Not Waste — It’s a Prerequisite for Excellence

Obsessed with squeezing out every ounce of efficiency, many managers see slack — idle time, unstructured creativity — as waste. But that’s like seeing open lanes on a highway as waste. A 100% utilized freeway is a traffic jam.

Slack isn’t laziness. It’s the breathing room for innovation, reflection, and true high performance.

Google famously encourages experimental projects — knowing most will fail. The few that succeed (like Gmail or Google Maps) more than justify the “waste.”

High-performing knowledge work needs slack and burstiness. They are features, not bugs.

Stop Labeling, Start Leading

If you want a truly high-performing organization, stop slapping cheap labels like “low performer” on complex human beings.

Instead:

  • Focus on real outcomes, not fake proxies.
  • Invest in development and fit, not blame.
  • Build environments that ignite intrinsic motivation, not fear.
  • Protect slack and autonomy, not just appearances of busyness.

You don’t fix a garden by yelling at the plants. You fix the soil.

It’s time to stop managing humans like machines. And start leading them like people.


A few sources:

Thank you for reading The Agile Compass. I'm Matthias, an agile pioneer and Silicon Valley veteran. Work with me at matthiasorgler.com​

​

Get more

€60.00 / year

Agile Games Collection

Agile and leadership games for coaches and trainers
Games work. Teams and participants learn concepts faster with games.... Read more

​

The Agile Compass is a newsletter for agile practitioners. You're receiving this email, because you subscribed on matthiasorgler.com. To unsubscribe or change your preferences, use the links below or just write me by replying to this email.

Kohlbrandstr. 20, Frankfurt, He 60385
​Unsubscribe · Preferences · Manage Subscriptions​

The Agile Compass

How to create high-performing teams, innovative products and lead thriving businesses? The Agile Compass shares hands-on knowledge from 20+ years of experience in industries worldwide. Matthias is a Silicon Valley veteran and has been awarded the Agile Thought Leader award in 2022. His unique approach focuses on the human side of creating thriving organizations.

Read more from The Agile Compass

The Agile Compass Matthias Orgler Hey Reader, why do companies want to be "agile"? Did you ever ask that question? What were the replies you got? And did you do the "5 whys" to dig deeper? I've seen so many who wanted to be agile for all the wrong reasons. I believe our job as coaches is to solve their REAL problems for them. Here's a little article about why companies want to be agile… Why Do Organizations Want to “Go Agile”? A Brutally Honest Look at Real and Misguided Motivations—for...

The Agile Compass Matthias Orgler Hello Reader, respect is not a fluffy add-on – respect is the infrastructure on which high performance runs. Let's look at the busiest train station in the world to learn for creating high performing organizations. Respect: The Missing Ingredient in Your Agile Transformation Why respect isn’t just a soft value — but your system’s only real chance at speed. Shinjuku Station is the busiest railway station in the word. 4 million people passing through it every...

The Agile Compass Matthias Orgler Hello Reader, today is about learned helplessness in teams. A concept crucial to understand and know how to remedy for agile coaches, scrum masters, and anyone pushing for change. Learned Helplessness: The Hidden Barrier to Agility Why your team isn’t stepping up—and what you can do about it. You’ve probably seen it. You’re working with a team that’s been told: “You are now self-managing!” Freedom! Autonomy! Accountability! And then… nothing. They wait to be...