You’ve addressed it.
Clearly & repeatedly.

They’re not toxic. You actually like them.

But their performance is toxic to your business.

You’re out of carrots. So, what now?

Here’s the problem you don’t yet see:

There’s tension in their performance,
but you haven’t increased the tension on their performance.

I recently co-led an executive retreat with one of the most remarkable coaches I’ve ever met, Richard Medcalf. During our time together, he shared a simple leadership tool used with billion-dollar CEOs and it completely shifted how this group of high-level leaders approached underperformance.

THE PERFORMANCE TENSION LADDER

STEP 1: AGREEMENT: no tension

The strength of the agreement upfront is the foundation for accountability on the back end. A powerful agreement between two parties includes:

• Mutually agreed upon, clear expectations with deadlines and consequences if not met
• Understanding of why this outcome/standard is important
• Emotional buy-in on the agreement

STEP 2: CLARIFY: Low Tension (1^st Offense)  

In this stage, you’re going into this conversation more curious than upset.

• Review the agreement you have.
• “I thought we had an agreement, was that your understanding?”
• Confirm their commitment.
• “Do you have everything you need?”

Step 3: CHALLENGE: Medium Tension (2^nd Offense)

You should be doing 20-30% of the speaking, it’s not about telling them something, it’s about getting them to explain themselves. Allow for silence at times; it’s a powerful tool to allow them to feel the weight of the situation.

• Revisit their original commitment.
• “Do you still stand by your commitment?”
• “It’s going to be hard to have a business relationship with you if we can’t trust you to follow through… This needs to change.”

*CRITICAL NOTE*
Don’t try to solve the issue for them! This is on them not you.

You’re not a disappointed finger-wagging parental figure, you’re approaching this conversation as someone who deeply cares about them and expects their best.

You also care about how their behavior impacts the team and customers.

Hold them accountable to their word and to a relationship of trust between the two of you.

Step 4: CONCLUDE: High Tension (3^rd Offense)

• “This is the 3^rd time we’ve had this conversation and it will be the last time”
• “Here’s the standard; here’s why it’s important. If we need to have this convo again, we’re going to have to explore what that means for your future here.”
• If I can’t trust you to follow through, ultimately, I can’t work with you”
• Get their commitment.

Here’s the thing…most leaders will never take the situation to Step 4.

Because ultimately their standards are FAR lower than they’d like to think.

If you keep repeating the same conversations about underperformance,
that IS the standard you’ve set.

Before you ever consider following this Performance Tension Ladder, check yourself.

What TRULY is your standard?

Because you will never feel right about holding someone accountable to something that you think “ought” to be the standard, but deep down, isn’t.

Your leadership creates the culture, not your mission statement or your values on the wall.

No accountability framework will work if you’re not willing to hold the line. What TRULY is your standard?

This isn’t a people problem anymore. It’s a leadership decision you have yet to make.

Make it.

Set the standard.

Raise the tension.

And lead your team members (clearly, kindly, and firmly) toward what they’re truly capable of.