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Then — and this is key — it requires managers to act on that distinction. Maybe I missed it, but your 'pro' article doesn't link to the study that is referenced. The middle 70 percent is all about training, positive feedback, weekly One on Ones and thoughtful goal setting. However, if you have a candid organization with clear performance expectations and a performance evaluation process software, then people at the bottom 10 percent generally know who they are. Individuals are not randomly placed in positions and expected to perform; they are carefully selected, trained and motivated to do their jobs.
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Even if better people are available, they may not be hired because most selection processes do not effectively identify the best candidates. Welch feels so strongly about this practice that he highlighted it in his letter to GE shareholders and advocated it again in his book? Critics believe the cream may rise, but it leaves too many otherwise good workers to sour. Assets that generate income today may not conform to the ongoing company business model. If you have one or more employees who are not pulling their weight--and odds are you do, something you have known for a while--you need to take action. For example, one company's annual leadership-development assessment of its top-level executives identifies "effectively dealing with problem performers" as a critical characteristic in determining who is given the highest performance rating.
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Microsoft, GE, and the futility of ranking employees | Fortune

The costs from turnover and service disruptions vary widely, depending on whether top producers or marginal reps are leaving. Otherwise, your comment may be deleted. They say to those individuals, "Well, I know you're not really a bad performer, but I have to identify somebody, and you are the unfortunate one. According to Jack Welch, differentiation is the following: Any feedback on the post? Have a passion for excellence…hate bureaucracy and all the nonsense that comes with it.
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The second is that firing employees for performance is a tough thing for a manager to do — tough because it has real human consequences, and tough because it is often an admission of management failure, particularly if the employee is someone the manager hired in the first place. The app can provide summaries on command, through typed notes, photographs of a notepad, or even voice recordings. Generally, your worst managers have the highest turnover. Welch manages to place the focus on GE success while still allowing individuals to pursue and improve their own talents that contribute to GE success. However, if you have a candid organization with clear performance expectations and a performance evaluation process software, then people at the bottom 10 percent generally know who they are.
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