Peter Principle
The Peter Principle is a theory originated by Dr. Laurence J. Peter which states that employees within a hierarchical organization advance to their highest level of competence, are then promoted to a level where they are incompetent, and then stay in that position.
This follows from the use of promotion as a reward for success, and from the presumption that higher-ranking positions are more difficult. As long as a person is competent in his current position, he will be promoted to the next higher (and harder) one. By iteration, the only way a person can stop being promoted is to reach a level where he is no longer able to do well, and thus does not appear eligible for promotion.
The theory was set out in a humorous style in the book The Peter Principle, first published in 1969. Peter describes the theme of his book as hierarchiology. The central principle is stated in the book as follows:
- In a Hierarchy Every Employee Tends to Rise to His Level of Incompetence.
One way that organizations attempt to avoid this effect is to refrain from promoting a person until that person already shows the skills or habits necessary to succeed at the next higher position. Thus, a person is not promoted to manage others who does not already show leadership, for instance.
The Peter Principle by Dr. Laurence J. Peter and Raymond Hull, Pan Books 1970 ISBN 0-330-02519-8See also
References
The Peter Principle: why things always go wrong by Dr. Laurence J. Peter and Raymond Hull. William Morrow & Company, Inc. New York 1969, 179 pages
