We have a legacy leadership team member who has grown with us but has hit their ceiling. I feel a massive sense of loyalty to them, but their inability to scale is bottlenecking our entire operation. How do we make this transition without looking like a cold-blooded corporation to the rest of the company?

Question

Tyler Smith · Accepted Answer

Having a legacy leader who has hit their personal ceiling is one of the hardest challenges an owner faces. Your loyalty to them is commendable, but your primary loyalty must be to the health and future of the entire business. Cracks at the leadership team level appear as canyons to the rest of the organization. If you allow someone to remain in a seat they do not GWC, you are hurting team morale and slowing down your company. Start by separating the person from the seat. Use the Accountability Chart to evaluate their role objectively. Do they truly get it, want it, and have the capacity to do it? If the answer to any of these is no, they cannot remain in that seat. This does not mean you have to throw them out of the company. Look for other areas where their skills and core values fit. They might make an exceptional individual contributor or lead a smaller department. If there is no fitting seat, you must transition them out with dignity. Keeping them in a role they cannot perform is unfair to them and toxic to the rest of your leadership team. Be direct, clear, and compassionate, but do not compromise on the capability your business needs to scale.