Underperformance is one of the most uncomfortable realities of management. Most managers know when something is not right long before they act on it. The signs are there: missed deadlines, declining quality, disengagement in meetings, a shift in attitude or reliability. But knowing something is wrong and addressing it effectively are two very different things. Too often, managers wait until the situation has become untenable before they step in, by which point the conversation is harder, the relationship is strained, and the options are narrower.
Handling underperformance well is not about being tough. It is about being clear, fair, and structured. The goal is to help someone improve wherever possible, and to make honest decisions when improvement does not come. Both require courage, consistency, and a process you can stand behind.
Recognising underperformance early
The first challenge is noticing it. That sounds obvious, but underperformance rarely announces itself. It creeps in. A piece of work that is not quite at the standard you expected. A deadline that slips once, then again. A team member who used to contribute in meetings but now stays quiet. Taken individually, each of these could be a one-off. Taken together, they form a pattern, and patterns are what you need to watch for.
Many managers miss the early signs because they are busy, because they like the person, or because they assume the issue will resolve itself. It rarely does. The longer underperformance goes unaddressed, the more normalised it becomes, for the individual, for the team, and for you. Other team members notice. They see standards slipping without consequence, and it erodes trust in your leadership. Using Key Themes in Manager Toolkit can help you spot whether similar concerns are surfacing across multiple catchups or team members. If "missed deadlines" or "quality concerns" keep appearing, you have a signal worth acting on.
- Declining outputWork that used to be reliable starts arriving late, incomplete, or below the expected standard. One instance is not a pattern, but three or four in a short window is worth naming.
- DisengagementReduced participation in meetings, less initiative, withdrawal from collaborative work. These can signal that someone is struggling, overwhelmed, or checked out.
- Feedback resistanceWhen someone who previously accepted feedback well starts pushing back or becoming defensive, it can indicate a deeper issue with motivation or confidence.
- Impact on othersColleagues picking up slack, frustration surfacing in team retrospectives, or a general sense that one person is holding the team back. The team often sees it before the manager does.
- Attitude shiftA change in tone, reliability, or approach to work. This is subjective, so document specific observations rather than general impressions. Facts matter more than feelings when you need to have the conversation.
Having the conversation
This is where most managers stumble. The conversation itself feels high stakes, and it is tempting to soften the message so much that it loses its meaning. The person leaves the meeting thinking everything is broadly fine, while the manager thinks they have delivered a clear warning. This gap is dangerous. If someone does not understand that their performance is a concern, they cannot be expected to fix it.
Being direct does not mean being unkind. It means being specific about what you have observed, honest about the gap between where they are and where they need to be, and clear that you want to help them close it. Use your catchups in Manager Toolkit to prepare: review notes from recent 1-1s, identify concrete examples, and come into the conversation with facts rather than generalisations. A statement like "the last three deliverables have needed significant rework, and two of your recent deadlines slipped by more than a week" is far more useful than "your work has not been great lately".
- Be specificReference real examples with dates and context. Vague concerns are easy to dismiss. Specific observations are harder to argue with and easier to act on.
- Name the gapClearly articulate what the expected standard is and where the person is falling short. Do not assume they know. Often they do not, or they have a different understanding of what is expected.
- Listen genuinelyThere may be factors you are not aware of: personal circumstances, unclear expectations, lack of support, or a skills gap they have not felt safe to raise. The conversation should be two-way.
- Agree next stepsEnd the conversation with clear, documented commitments. What needs to change, by when, and what support will be provided. Create Actions from the conversation so nothing is left to memory.
Building a structured improvement plan
Once the conversation has happened, the real work begins. A verbal agreement to "do better" is not a plan. People need clarity: what specifically needs to improve, what the measurable standard looks like, what the timeline is, and what support is available. Without this structure, you are setting someone up to fail a second time, and giving yourself no objective basis for future decisions.
Manager Toolkit's Journeys feature is built for exactly this. The Performance Improvement Journey template gives you a structured framework with milestones and tasks: define the areas of concern, set measurable targets, schedule regular check-ins, and track progress against clear criteria. Each milestone represents a stage of the improvement process, from initial assessment through to sustained performance or a decision point. Pair it with Targets to set specific, measurable improvement goals that both you and the team member can track. This is not about bureaucracy. It is about fairness. A well-documented plan protects the individual by making expectations transparent, and it protects you by creating a clear record of the support that was offered.
- Define the gapsBe precise about which areas need improvement. "Communication" is too broad. "Providing stakeholder updates by end of day Friday each week" is actionable and measurable.
- Set a timelineImprovement plans need a clear duration: typically 30, 60, or 90 days depending on the role and the severity of the concerns. Open-ended plans drift and lose urgency.
- Specify supportWhat will you provide to help them succeed? Additional coaching, pairing with a senior colleague, reduced workload to focus on core skills, training. The plan should not just list demands; it should list investments.
- Agree check-in cadenceWeekly or fortnightly catchups focused specifically on the improvement plan. These are not optional. Use Manager Toolkit catchups to structure them with consistent questions so progress is tracked over time.
- Document everythingEvery conversation, every milestone, every piece of feedback during the plan should be recorded. This is essential for fairness, for your own clarity, and for any future decisions that may need to be justified.
Tracking progress and following through
An improvement plan without follow-through is worse than no plan at all. It sends the message that underperformance is noted but not acted upon, and it wastes the emotional energy that went into the initial conversation. Once you have committed to a plan, you need to honour it: show up to the check-ins, review the targets, give honest feedback on progress, and document what you see.
This is where structure pays for itself. Regular catchups, ideally weekly during an active improvement plan, give you a rhythm for reviewing progress and providing real-time feedback. Use Actions in Manager Toolkit to track commitments from each check-in: what was agreed, what was delivered, what needs to carry forward. Targets let you measure improvement objectively rather than relying on gut feel. At each check-in, be honest. If progress is strong, say so clearly and specifically. If it is not, name the gap and discuss what needs to change. People deserve to know where they stand at every stage, not just at the end.
- Consistent rhythmHold check-ins at the same time each week. Cancelling or rescheduling repeatedly signals that the plan is not a priority, and undermines its credibility.
- Measure, do not guessRefer back to the specific targets and milestones set at the start. Has the quality of deliverables improved? Have deadlines been met? Are stakeholders reporting a difference? Data is fairer than impressions.
- Acknowledge progressIf someone is genuinely improving, recognise it. Improvement plans are stressful and isolating. Hearing that your effort is visible and valued makes a material difference to someone who is trying.
- Escalate early if neededIf you are three weeks into a plan and there has been no effort to change, do not wait until the end to raise it. Address the lack of progress directly and discuss whether the plan needs adjusting or whether a different conversation is needed.
When it does not work out
Not every improvement plan ends in improvement. That is a reality managers need to accept, not as a failure of management, but as an honest outcome. Some people are in the wrong role. Some are dealing with issues that a performance plan cannot address. Some simply choose not to change. Whatever the reason, there comes a point where the evidence is clear, the support has been provided, and a decision needs to be made.
If you have followed a structured process, documented the journey, set clear targets, held regular check-ins, and provided genuine support, you are in a strong position to make that decision with confidence and integrity. The documentation you have built through Manager Toolkit's Journeys, catchups, targets, and actions gives you a clear, factual record of what was expected, what was provided, and what happened. This matters for fairness to the individual, for confidence in your own judgement, and for any formal processes that may follow.
It is also worth reflecting on what the situation has taught you. Use Key Themes to consider whether this is an isolated case or part of a broader pattern. Are similar performance concerns appearing elsewhere in the team? Is the role itself poorly defined? Is there a skills gap in your hiring process? Underperformance is sometimes an individual issue, but it can also be a symptom of something systemic, and a good manager looks for both.
- Be honest with yourselfIf the improvement has not happened despite genuine support and clear expectations, delaying the decision helps no one. The individual deserves clarity, and the team deserves a manager who acts when action is needed.
- Involve HR earlyIf you anticipate that a plan may not succeed, loop in your HR partner before the end date. They can advise on process, ensure fairness, and help you navigate next steps with confidence.
- Treat people with dignityHowever the process ends, the person on the other side of it is a human being who has likely been under significant stress. Handle exits with care, discretion, and respect. How you manage difficult endings says as much about your leadership as how you manage success.
- Learn from the processEvery underperformance situation teaches you something: about your hiring, your onboarding, your expectations, your management. Take the time to reflect honestly on what you might do differently next time.
Support improvement with structure
Use the Performance Improvement Journey to guide difficult transitions with milestones, regular check-ins, and tracked goals.