tyler-smith.com · Questions & Answers

One of our leadership team members crushes every measurable on their Scorecard and drives massive revenue, but routinely treats peers with contempt and violates our core values. How should we handle a toxic high performer at the executive level?

In EOS terminology, this is the classic Right Seat, Wrong Person dilemma. The individual has undisputed Capacity to execute the technical requirements of the seat, but their behavior actively undermines company culture and leadership cohesion. Tolerating a toxic high performer at the executive level is organizational suicide.

When an owner keeps a values-violating leader in place because of their commercial output, the entire company notices. Your core values cease to be operating standards and become cynical wall art. Frontline employees and peer executives conclude that revenue excuses bad behavior, which drives away your true cultural champions.

Address the problem using the People Analyzer tool. Meet with the executive privately. Lay out their scorecard achievements to show you recognize their results, but walk through concrete examples of their core values violations. Explain clearly that hitting measurable targets earns them the right to be evaluated on culture, not an exemption from it.

Give them thirty days to correct their conduct. Be extraordinarily specific about what unacceptable behavior looks like, including passive-aggressive comments, dismissive body language in meetings, or failure to support company decisions. If their behavior does not permanently change within that window, you must terminate them.

Owners often fear that firing a top commercial producer will crater the business. In practice, the opposite occurs. When you remove a toxic executive, the remaining team steps up with renewed energy, cross-functional collaboration skyrockets, and healthy talent replaces the lost production faster than you expect.

Category: Leadership Team

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