The Most Expensive Person on Your Leadership Team Isn't the Worst Performer
- Bonny Morlak
- 1 day ago
- 2 min read
Every leadership team past a certain size has one.
The person who's been there from the beginning.
They're loyal, dependable, and everyone likes them.
Their performance isn't bad.
It just isn't great.
That's what makes the situation so difficult.
Bad hires eventually make the decision for you. They miss targets, create problems, and sooner or later it's obvious they don't belong in the role.
"Okay" leaders are different.
They deliver just enough that nothing forces the conversation. They stay for years, quietly limiting what your leadership team is capable of.
The Hidden Cost of "Okay"
In a startup, every leadership position matters.
If you have five people around the leadership table and one of them is consistently underperforming, you've effectively lost twenty percent of your leadership capacity.
The cost isn't just their salary.
It's slower decisions.
Less accountability.
A leadership team that slowly adjusts to carrying someone who isn't contributing at the level the company needs.
That's why "okay" can be far more expensive than obviously bad.
Why Founders Don't Act
Most of the time, it isn't about performance.
It's about history.
These are often the people who helped build the company. You've been through difficult moments together. Maybe you've even become close friends.
Making a change can feel like you're betraying everything you've built together.
But protecting the past shouldn't come at the expense of the future.
Sometimes the conversation you're avoiding is exactly the one your company needs.
Three Paths Forward
Not every situation ends the same way.
Sometimes the person is simply in the wrong role, and moving them into a position that better matches their strengths is the right answer.
Sometimes coaching uncovers a blocker that can be worked through.
And sometimes the best outcome for everyone is a respectful exit.
If that's the path, don't simply let them go.
Help them find a role where they can succeed. Introduce them to people in your network. Write them a recommendation.
After everything you've built together, they deserve that.
Final Thought
The hardest leadership decisions are rarely about the people who are clearly failing.
They're about the people who are almost succeeding.
Those conversations are uncomfortable because they're wrapped in loyalty and friendship.
But leadership isn't about avoiding difficult conversations.
It's about having them with clarity, respect, and the long-term health of both the company and the people inside it in mind.
What’s Next?
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