The Peter Principle: Why Leadership Growth Must Be Intentional

If you’ve been in business for long, you’ve heard of The Peter Principle. This is the idea that people are promoted to their level of incompetence.

It’s usually said with a smirk.

  • “See? He wasn’t ready for that job.”

  • “She’s a great worker, but a terrible manager.”

But here’s the thing: the Peter Principle isn’t just about the individual. It’s just as damning of the system that promoted them.

The Real Problem Behind the Principle

Too often, organizations promote high performers and assume they’ll automatically succeed in leadership. But leadership requires a completely different skill set: communication, delegation, alignment, influence, empathy, and accountability.

When companies fail to support new leaders with clear expectations, coaching, and mentoring, they’re setting those leaders up to struggle.

And then they wonder why it keeps happening.

We are not static beings. We’re built for growth, for excellence, for becoming something more than we were yesterday. So if a company moves someone into leadership but doesn’t give them the tools, coaching, and time they need to learn, it’s not the leader who failed — it’s the system that left them to figure it out alone.

Where I’ve Seen It Work Well

In my faith community, leadership is a lay ministry, meaning any member can be asked to serve in a leadership role.

It’s common for someone to be asked to take on a position they know very little about. But instead of leaving them to flounder, they’re surrounded by mentorship, classes, and a community that wants them to succeed.

They learn quickly, they grow into their role, and they become confident and effective.

The principle is simple: when people are supported, they rise.

What Happens When They’re Not

I’ve seen the opposite countless times in corporate environments. A brilliant individual contributor gets promoted, and the same company that celebrated their success stops investing in their growth.

Without mentorship or structure:

  • The leader struggles and becomes disillusioned.

  • Their boss becomes frustrated and fires them.

  • The team loses trust, morale drops, and results slip.

  • Or, in the best cases, the leader fights through alone but it takes years to find their footing.

The company then repeats the cycle with the next “high performer.”

How to Break the Cycle

If you want to stop living out the Peter Principle, leadership development must be intentional.

Here are four ways to make that happen:

  1. Clearly Define Expectations
    Be explicit about what leadership success looks like. Don’t assume they’ll figure it out.

  2. Set Up Regular Checkpoints
    Schedule consistent one-on-ones to give feedback, provide clarity, and invite questions.

  3. Invest in Learning and Coaching
    Give leaders access to training, coaching, and development time. A few hours invested each week can pay back exponentially in performance and retention.

  4. Stay Connected to Their Team
    Keep a healthy pulse on how the new leader’s team is doing. Not to micromanage, but to mentor through early challenges and help them grow into their potential.

What I Want Leaders to Know

If you’ve stepped into a new role and you’re struggling, you’re not broken. It’s normal. Leadership growth takes time. If you stay curious, humble, and committed to learning, you’ll get there faster than you think. Don’t be afraid to ask your leaders for resources you need to succeed.

What I Want Executives to Remember

If your new leaders are struggling, look inward before you look outward.
Unspoken expectations, unclear priorities, or lack of support create far more “incompetence” than inexperience ever could.

The saying goes, “the beatings will continue until morale improves.” Sadly, that’s how some organizations treat not only their teams but also their leaders. But leadership isn’t about punishing failure. It’s about creating the conditions for growth.

A struggling leader isn’t a lost cause. It’s an opportunity for you to lead better.

“Before you are a leader, success is all about growing yourself. When you become a leader, success is all about growing others.”
— Jack Welch

Final Thought

The Peter Principle isn’t a prophecy, it’s a choice. When organizations and leaders commit to intentional growth, competence rises, trust deepens, and results accelerate.

Leadership isn’t about reaching a level of competence and staying there. It’s about continuing to grow — every day — for yourself, your people, and the organization you serve.

Want to explore how intentional growth could improve your leadership ROI?

Try the free Fail-Safe Leadership Assessment.

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