One of the hardest things for most managers is to give negative feedback to people performing at a C rather than an A or B level. Even harder is firing them. And yet, that's exactly what needs to be done if an organization is to grow and flourish.

Here's what happens when managers can't hold their people to high enough standards:

- The performance of the work unit suffers, resulting in loss of profits and/or effectiveness.

- A and B players become disillusioned, not only with their lower-performing colleagues, but also with the organization itself. In a study reported by the authors of The War for Talent in a January 2002 Harvard Business Review article, 80 percent of high performers said the presence of people who couldn't keep up made them want to leave the company.

- C performers hire other C performers, resulting in a gradual diminution of the organization's effectiveness.

- The C performers are miserable too, knowing they aren't keeping up in their current environment.

What does this mean for leaders? That the kindest and most effective thing you can do is to hold your people to high standards, give them the coaching and training they need, and then, if they still can't do A or B work, let them go and help them find a work environment where the culture and demands are more appropriate for them.

And what does it mean for C players? It means that different teams have different requirements, and you owe it to yourself to know whether you're really keeping pace in your current organization. If not, make a self-aware decision about whether to push yourself to grow and perform better in your current position or to find a setting that better fits your talents, values and temperament. The only thing not to do is stay and settle for a C rating. It's not good for you or your organization.

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