381. PIPs fail 70-90% of the time. Here’s why.
Key Takeaways
- Somewhere between 70 and 90 percent of people who are put on a Performance Improvement Plan (PIP) either resign or get fired.
- PIPs are only successful between a measly 10 and 30 percent of the time — but that's only if you measure "success" as actual performance improvement.
- The reason most PIPs fail is because performance improvement was not their true purpose — they were the necessary last step to "manage someone out" of the company.
- The PIP isn't broken; it's working exactly as designed — it's a formalized way to remove someone while checking legal boxes.
- You put someone on a PIP after years of not managing them effectively, then act surprised when they either leave or get fired.
Actionable Insights
- If you're considering a PIP, ask yourself first: Am I genuinely trying to help this person improve, or am I trying to document their exit?
- Real performance improvement happens through ongoing feedback, clear expectations, and consistent coaching — not a 30/60/90-day surprise plan.
- The employee goes back to the same manager, the same room, the same dynamic — if that dynamic wasn't working before the PIP, it won't work during it.
- A PIP should never be a surprise; if an employee is hearing about performance issues for the first time when you hand them a PIP, that's a leadership failure.
- If you want someone to actually improve, manage them today — not with a PIP tomorrow.
Leadership Challenge
- Be honest: If you're considering a PIP, what are you actually trying to accomplish?
- Have you been managing this person's performance consistently over the past 6-12 months, or is the PIP your first real conversation?