Peter principle

Peter principle,

Definition of Peter principle:

  1. The Peter Principle is an observation that the tendency in most organizational hierarchies, such as that of a corporation, is for every employee to rise in the hierarchy through promotion until they reach a level of respective incompetence. In other words, a front-office secretary who is quite good at her job may thus be promoted to executive assistant to the CEO for which she is not trained or prepared for—meaning that she would be more productive for the company (and likely herself) if she had not been promoted.

  2. The Peter Principle is thus based on the logical idea that competent employees will continue to be promoted, but at some point will be promoted into positions for which they are incompetent, and they will then remain in those positions because of the fact that they do not demonstrate any further competence that would get them recognized for additional promotion. According to the Peter Principle, every position in a given hierarchy will eventually be filled by employees who are incompetent to fulfill the job duties of their respective positions.

  3. Observation that in an hierarchy people tend to rise to their level of incompetence. Thus, as people are promoted, they become progressively less-effective because good performance in one job does not guarantee similar performance in another. Named after the Canadian researcher Dr. Laurence J. Peter (1910-90) who popularized this observation in his 1969 book The Peter Principle..

  4. The principle that members of a hierarchy are promoted until they reach the level at which they are no longer competent.

How to use Peter principle in a sentence?

  1. Knowing the Peter principle and preventing employee stagnation can help to increase profits for your business in the long term.
  2. A possible solution to the problem posed by the Peter Principle is for companies to provide adequate skill training for employees receiving a promotion, and to ensure the training is appropriate for the position to which they have been promoted.
  3. I really liked the Peter principle idea and incorporated performance improvement plans into my business to prevent people from becoming ineffective once they moved up.
  4. The Peter Principle is an observation that the tendency in most organizational hierarchies, such as that of a corporation, is for every employee to rise in the hierarchy through promotion until they reach a level of respective incompetence.
  5. The peter principle was displayed in the new organization that was developed with new leadership that did not perform well.
  6. According to the Peter Principle, every position in a given hierarchy will eventually be filled by employees who are incompetent to fulfill the job duties of their respective positions.
  7. The Peter Principle seeks to explain why so many organizations have so much incompetence, and it explains this by saying that people are promoted until they are in over their head.

Meaning of Peter principle & Peter principle Definition