The Peter Principle
Dr. Laurence Peter noted that in educational and other bureaucracies, its central theme with regard to employees
was that “in a hierarchy, every employee tends to rise to his level of incompetence.”
He co-authored a satirical commentary "The Peter Principle".
Members of the organization are promoted so long as they work competently. Sooner or later they are
promoted to a position at which they are no longer competent (their "level of incompetence"), and there
they remain, being unable to earn further promotions.
Peter's Corollary states that "in time, every post
tends to be occupied by an employee who is incompetent to carry out his duties" and adds that "work is
accomplished by those employees who have not yet reached their level of incompetence".
The "level of incompetence" in the Peter Principle is where the employee has no chance of further promotion, thus reaching his
or her career's ceiling in an organization.
The employee's incompetence is not necessarily because of promotions to higher position which could be
more difficult. It could be a job that is different from the job in which the employee previously
excelled, and thus requires different work skills, which the employee may not possess.
An example of this is a factory worker who is excellence in his job, becomes manager, at which point the skills
that earned him his promotion no longer apply to his new job.
One way that organizations attempt to avoid this effect is to refrain from promoting a worker until he
or she shows the skills and work habits needed to succeed at the next higher job. Thus, a worker is not
promoted to managing others if he or she does not already display management abilities.
Another way to avoid this problem is utilizing the manager selection process.
Another great article to look at is: Job Competence and mobility relation.
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For more clever thoughts and quotes from Dr. Laurence Peter, visit this page.
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