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Applying Peter Principle in management

Opinion & Analysis
Coined by Canadian educator Laurence Peter, the theory posits: “In a hierarchy, every employee tends to rise to their level of incompetence.”

IN the field of organisational management, the Peter Principle remains one of the most compelling — if not uncomfortable —observations.

Coined by Canadian educator Laurence Peter, the theory posits: “In a hierarchy, every employee tends to rise to their level of incompetence.”

The principle suggests that people are promoted based on their success in previous roles until they eventually reach a position for which they are ill-suited. Once there, they plateau in a state of incompetence, often dragging institutional efficiency down with them.

One of the clearest illustrations of this theory in recent memory comes from the world of football.

Wayne Rooney, a Manchester United legend and England’s all-time leading scorer, transitioned from an illustrious playing career to coaching — a move met with great optimism.

However, his managerial stints at Derby County, DC United, Birmingham City and most recently, Plymouth Argyle, were largely underwhelming.

Despite his deep knowledge of football, Rooney’s struggles in managerial roles demonstrate that brilliance on the field does not automatically translate to success on the touchline.

This is the Peter Principle in action: Success in one role leads to promotion to another, regardless of preparedness for the new demands.

On the contrary, we have José Mourinho — regarded as “The Special One” — who achieved outstanding coaching success despite not having had a notable playing career. His success underscores that management requires a different, often unrelated, skillset.

This lesson has direct implications for corporate and public sector management.

In many organisations, individuals are promoted simply because they excel in their current roles — not necessarily because they are equipped for the next.

A brilliant engineer may become a technical manager; a top-performing salesperson might be promoted to marketing head or a skilled teacher may become a school head.

While such promotions are well-intentioned, they can be counterproductive if the individual lacks the strategic, managerial or leadership skills required at the new level.

In Zimbabwe and other developing countries, the Peter Principle is frequently visible across both public and private sectors.

Promotions are often based on loyalty, seniority or political alignment rather than competence or readiness.

Consider an organisation where a dedicated clerk may be promoted to director without the requisite strategic management skills. The consequences? Delayed decision-making, weak oversight and poor service delivery.

In many opposition-led local authorities, individuals are sometimes elevated based on political loyalty rather than qualifications or performance. This is evident in the declining service delivery in urban areas such as Harare, Bulawayo and other towns — where key leadership positions are held by individuals unprepared for the demands of effective governance.

So, what can be done?

First, organisations must assess not only an individual’s current performance but also their potential to succeed in more complex roles. This can be achieved through robust performance reviews, simulations, and leadership development programmes.

Second, there must be separate technical and managerial career tracks. Not everyone is cut out for management — and that is okay.

Institutions should provide alternative pathways that reward technical expertise without forcing high performers into ill-fitting leadership roles. For instance, a skilled teacher could be recognised and compensated as a mentor, without being required to become a school head.

Third, those being promoted should undergo formal leadership training. Just as professionals are trained for technical skills, future leaders should be groomed through structured programmes. Institutions such as Zimbabwe’s Public Service Academy and the Institute of Corporate Directors Zimbabwe offer vital platforms for building leadership capacity.

Lastly, we need a cultural shift. In many Western corporate environments, stepping down or making a lateral move is not viewed as failure. African institutions should normalise such flexibility — allowing people to return to roles that suit them better without shame or stigma.

The Peter Principle is not a personal indictment of those who fail after being promoted — it is a cautionary tale for organisations. When promotions are misaligned with an individual’s skills and readiness, institutions risk undermining both individual and organisational performance.

As evidenced in sports, politics and business, past success does not guarantee future effectiveness. Management demands a distinct skillset — one that must be cultivated, not assumed.

By recognising the Peter Principle and building systems that reward capacity over convenience, institutions in Zimbabwe and beyond can ensure that they not only promote people — but also progress.

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