Rethinking Leadership: Why Performance Should Matter More Than Potential
Creating a culture that respects hard work in the present while making space for growth that’s grounded in the real world.
Is “Potential” even real? Today, we’re encouraged to identify “high-potential” employees and invest in them as the future of our organizations. While I firmly believe in helping people grow, after 15 years in leadership, I’ve seen how a heavy focus on potential can distract from what counts: results.
As leaders, we need to take a closer look at how we weigh performance versus potential, especially when team success is on the line. Because, in reality, potential without performance often creates more roadblocks than real progress.
The Appeal of Potential — And the Risk It Brings
There’s a natural allure to potential. It’s exciting, it represents the future, and it often comes with a feeling of possibility that makes us feel like we’re building toward something big. But in day-to-day operations, potential alone doesn’t solve problems or move the needle on critical goals.
In my career from the military to the current startup I’m at (Gank), I’ve seen firsthand how too much emphasis on someone’s “promise” ended up creating friction, especially if it means we overlook those who are already delivering results. It’s like investing in a promising stock that never quite takes off. A healthy focus on potential is good, but we need to remember that it’s a gamble. And high-stakes gambles rarely deliver the kind of stability our teams need to keep moving forward.
The Value of Performance: Why Results Matter More Than Promise
Performance, on the other hand, is real. It’s measurable and concrete, and it’s what keeps organizations moving. When we’re focused on performance, we’re operating in the present, looking at how people contribute today rather than pinning hopes on what they might achieve someday. High performers are the ones consistently delivering, meeting goals, and creating results that add real value.
As leaders, the focus needs to be here: not on who could become great, but on who is contributing meaningfully now. It’s these people who set the standard for team performance and model what success looks like in tangible terms.
The Downside of Relying Too Much on Potential
I’m not saying we should ignore potential altogether, but overvaluing it can lead to a common pitfall I’ve seen repeatedly. When we focus heavily on high-potential employees, we sometimes overlook the reality that they’re not yet delivering in the way our top performers are.
This disconnect has real consequences for the team. High-potential, low-performing employees create a drag on projects, timelines, and even morale. And here’s the kicker: when leaders consistently emphasize the “up-and-comers” while high performers are delivering with little fanfare, it sends the wrong message. It tells those who are producing results that what they’re doing now isn’t as valuable as future possibilities.
The impact? Your true drivers of success — the high performers — might start to feel undervalued and disengaged. In the worst cases, they might even leave to find a workplace where their results are recognized and rewarded.
Rebalancing the Scales: Leading with a Performance-First Mindset
To be clear, it’s possible to respect both performance and potential. I’m not saying one has to cancel out the other. Instead, the idea is to strike a balance where both are valued appropriately and where the potential is cultivated alongside real, measurable contributions. Here’s how to start:
- Set Real Expectations: It’s easy to tell a high-potential employee they have a bright future. But for the potential to translate into results, clear, measurable goals are essential. Give them a roadmap where growth and results go hand in hand.
- Celebrate Impact, Not Just Effort: A culture of impact recognizes those who are delivering in the present. That way, high-potential employees can see that their future growth depends on their results and not just on their promises.
- Create an Environment for Real Learning: Development should be a part of the job, not separate from it. We should provide the tools and feedback to help high-potential employees grow while they contribute, setting them up to succeed in real-time rather than hypothetically.
- Be Clear About Accountability: Performance-focused cultures don’t sideline potential — they elevate it. By holding people accountable for both their growth and their contributions, leaders send a clear message: potential alone doesn’t guarantee a pass on delivering.
Building Teams That Excel Moving Forward
It’s a blend of consistency and aspiration that makes the strongest teams. A balanced approach, where high performers get the recognition they deserve and high-potential employees are given the tools to rise to that level, is what keeps teams strong.
I am personally guilty of looking at potential first over performance. Second chances and third chances for non-performance are easily given out because I want to believe they will realize their potential eventually. And trust me, it’s bad for culture and caused a lot of friction in my work relationships with the rest of my team, some of which was sadly irrecoverable.
So, next time you’re looking at your team, ask yourself: are you prioritizing the people delivering right now? Or are you holding out too much hope for future results? Re-evaluating our balance here as leaders isn’t just about changing a mindset. It’s about creating a culture that respects hard work in the present while making space for growth that’s grounded in the real world. That’s how we build teams that succeed today and are set up to thrive tomorrow.
