Is Sarah a Star?
Summary
- I've never had a star employee that I didn't know was a star within the first week.
- If you're unsure about someone two quarters later, they're not a star.
- We've repeatedly talked about Sarah's performance issues for the last two quarters.
- After hard talks, some employees might improve for a short period but revert to their old ways.
- Consistently underperforming employees are holding you back.
- Think about the high-performing teams of Jeff Bezos, Elon Musk, and Steve Jobs; they wouldn't tolerate persistent underperformance.
- You need to evaluate if you'd want such underperformers on your own team.
Video
How To Take Action
I would suggest implementing these strategies to boost your business or personal growth. These tips are low-cost and high-value, making them perfect for immediate action.
Identify Star Performers Quickly
- Action Item: Observe new employees closely for their first week. Look for standout performance. If someone doesn't impress you within that time, they likely won't become a top performer.
- Why: Strong performers reveal their potential early on. Don't wait two quarters to make a decision.
Consistent Review and Action
- Action Item: Set a strict evaluation period. Don't keep underperformers for more than two review cycles (e.g., two quarters).
- Why: It’s easy to fall into a cycle of hoping underperformers will improve. Consistently review their performance and make decisions quickly to avoid dragging the team down.
Direct and Honest Communication
- Action Item: Have candid conversations with underperforming employees. Be clear about expectations, but also be prepared to let them go if no improvement occurs.
- Why: Honest feedback can temporarily boost performance, but it's often short-lived. Long-term improvements are rare without intrinsic motivation.
Benchmark Against High Standards
- Action Item: Compare your team with those of top companies like Amazon or Tesla. Evaluate if you would want any underperformers on these high-performing teams.
- Why: This benchmarking helps maintain high standards and encourages a culture of excellence within your organization.
Remove Persistent Underperformers
- Action Item: If someone consistently fails to meet benchmarks, let them go and seek a replacement who can contribute positively.
- Why: Persistent underperformers are not only dragging you down; they also impact overall team morale and efficiency.
Following these steps helps build a stronger, more effective team, driving better results for your business or personal projects. Always aim to surround yourself with high performers to achieve your goals more efficiently.
Quotes by Alex Hormozi
"I've never had a star employee that I didn't know was a star within the first week"
– Alex Hormozi
"Sarah is keeping you poor"
– Alex Hormozi
"Think about the team that Jeff Bezos has around him"
– Alex Hormozi
"Think about the team that Elon Musk has around him"
– Alex Hormozi
"Think about the team that Steve Jobs had around him"
– Alex Hormozi
Full Transcript
I've never had a star employee that I didn't know was a star within the first week and so if you're not sure two quarters later they're not a star we've talked about numnuts every quarter for the last two quarters about whether we're going to let them go they're almost there I don't know like I think this might be the quarter they turn their quarter they do well for two weeks after I have a hard talk with them then they go back to the way they always were right we keep talking about Sarah really tired of Sarah and so Sarah is keeping you poor think about the team that Jeff basos has around him think about the team that Elon Musk has around him think about the team that Steve Jobs had around him do you think that they would tolerate Sarah right so why are we
