“A” players do 3 times the work of the average player, so you can get much more productivity out them. If you hire wrong and/or keep a poor performer you will likely not achieve your goals. If they are not already working at an “A” level, then you have to decide if they can become an “A.” If not, you need to upgrade immediately. If they can become an “A,” you need to take the appropriate steps to get them there. This is critical to achieving your goals. Using the example above, we needed 10 sales people to achieve the sales goal. Well that assumed all “A” players. Therefore if you do not have 10 “A” player salespeople at all times during the year you will not achieve your goal. The “B” and “C” players will produce less and vacancies will kill you. In a typical sales organization 80% of the sales come from 20% of the people. So by hiring incorrectly the cost to manage, train, excess salary and pay the other 80% relative to the level of sales they produce is unacceptable. While sales is an obvious example, productivity differences can happen in every position in your company. The more critical the position to the company the more damage it will do if you hire a “B” or “C” player.
This is an explanation from question #11 from my article “12 Questions You Need To Ask Constantly.”