Small to medium-sized financial institutions are typically employee-centric and deeply committed to fostering a positive work culture that values collaboration, empathy, and kindness. Their core values align with the belief that a friendly and supportive environment enhances employee well-being and strengthens customer relationships. However, this can make addressing the delicate balance between niceness and performance challenging. In this article, we explore why an employee’s niceness, while highly appreciated, cannot fully compensate for underperformance and the strategies that ensure a harmonious and high-performing workforce.

 

Setting High Expectations

All successful businesses must establish and maintain high-performance standards for individual positions. While a pleasant demeanor is an asset, it cannot replace setting clear employee expectations. By establishing specific goals and objectives, teams are empowered to strive for excellence, ensuring that their performance aligns with the organization’s vision. It is crucial to communicate that meeting these expectations is a fundamental part of being a successful member of your organization. One issue may be that “nice” managers find it difficult to address underperformance. Equipping them with a performance review tool, like BalancedResults, where employees and supervisors document events, can aid them in seeing the big picture over a year. 

 

Balancing Interpersonal Skills and Job Deliverables

Fostering strong relationships and promoting a positive work environment is essential. However, effective management also emphasizes the significance of job deliverables and individual contributions. A performance review that defines those job deliverables is critical. While a super-friendly employee can enhance team dynamics, it is crucial to evaluate their performance objectively. The double-edged sword can be that employees viewed as extremely pleasant are allowed to believe their performance is viewed as satisfactory until it isn’t. High-performing employees can receive the message that perceived “delightful” underperformance is acceptable. This can create an environment where change agents are not welcomed, and no one wants to tell the boss that their ideas are not the best. Employees tasked with making for an underperforming colleague’s workload often grow weary and resentful. Striking the right balance between interpersonal skills and job deliverables ensures that a high-performing workforce is maintained while fostering a positive and collaborative culture.

 

Accountability and Growth Mindset

Accountability is an essential catalyst for growth. Addressing underperformance is crucial for maintaining a fair and equitable work environment. While nice employees may be well-liked by their colleagues and customers, providing further constructive feedback and supporting their professional development is paramount. By offering training opportunities, coaching, and mentorship, employees are encouraged to continuously improve, fostering a growth mindset that benefits both individuals and the organization. Performance reviews that allow the employee and their line manager to document results throughout the year are perfect for allowing both parties to examine what the employee needs to be more productive.

 

Alignment with Organizational Goals

The diverse talents and perspectives of employees can be cherished and affirmed. However, alignment with organizational goals is essential for driving success. While a friendly employee can contribute positively to the work environment, underperformance can hinder progress and impact the ability to achieve strategic objectives. When necessary, terminating a friendly-but-underperforming employee sends the right message to all employees on what your organization values. Too often, management looks back and realizes they have accepted and paid for underperformance for months (and sometimes years) too long, before realizing the person was not the right one for the position. This scenario is unfair to that polite, courteous person with consistent, marginal underperformance scores, along with their teammates. In most cases, the most optimal and effective solution is to release them to find a better fit for their skill set. 

 

Niceness is a cherished attribute that fuels collaboration, empathy, and overall job satisfaction. However, a balance must be struck between interpersonal skills and job performance. Defining accountabilities in the performance review process and documenting successes (and lack thereof) all year long allows a nurtured growth mindset and a structured environment where employees can excel personally and professionally. A harmonious and high-performing workforce that propels employees towards shared goals is often better cultivated by efficiently trimming away low performance—even if it comes from a nice person.

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