Understanding when to coach an underperforming employee versus when it’s time to let them go is one of the toughest — and most important — decisions a leader can make. In this conversation between Meridith Elliott Powell and Mark Hunter, we get actionable insight into how leaders should approach this challenge with clarity, empathy, and accountability.
Start with Clarity: Set Expectations Early
The first step in managing performance is to ask yourself: Have I been clear about expectations? A staggering 67% of disciplinary issues stem from employees not knowing what’s expected of them. If goals, behaviors, and standards aren’t defined from the beginning, you can’t fairly hold someone accountable.
Before judging performance, reflect on whether you’ve set that person up for success.
Skill vs. Discipline: Diagnose the Real Problem
Once expectations are clear, the next question is: Is this a skill issue or a discipline issue?
- A skill issue means the employee is trying, but lacks the ability.
- A discipline issue means they’re not putting in the effort or refusing to follow the process.
Understanding the difference is essential because the approach is different. Skills can be taught — attitude can’t.
Values Alignment: Culture Fit Matters
Both Meridith and Mark shared personal stories about jobs that didn’t work out due to a mismatch in values. Even with training, an employee whose values clash with the company’s mission won’t thrive. Sometimes, the kindest and most effective choice — for both the employee and the company — is to part ways.
Define the Formula for Success
Even experienced hires need direction. If you don’t define success in your environment, they’ll default to habits from their last job — which might not work for your team.
Make sure your salespeople know:
- Who the ideal customer is
- How many calls and follow-ups they need to make
- What qualifies as a high-potential prospect
- What activities lead to closed deals
Tracking these behaviors allows leaders to coach effectively and identify where things break down.
Coaching Requires Ongoing Engagement
Hiring isn’t a “set it and forget it” task. Leaders must stay actively involved. It’s not enough to give a playbook — you must coach to it. That means consistent feedback, role-playing, and ensuring new hires can repeat back the process with clarity.
Meridith emphasizes that leaders should track behaviors, not just results. If someone is doing the right things but not closing, that’s a coaching opportunity — not a firing offense.
Accountability: The Cornerstone of Team Success
Sales professionals — new and seasoned — should be tracking their own activity. Meridith shares how she personally tracks:
- Sales calls made
- Proposals written
- Proposals won and lost
Even seasoned salespeople need coaching and accountability. Lone wolves, once the standard, don’t thrive in today’s collaborative, metrics-driven sales environments.
Peer Mentorship: Leverage the Team
Pairing new hires with top performers creates a learning loop. The mentor sharpens their skills while the new hire learns faster. But managers can’t check out — they must stay involved, providing one-on-one coaching and tracking progress.
When It’s Time to Let Go
Sometimes, even with coaching, an employee just doesn’t fit. If you’ve defined expectations, provided coaching, and tracked behaviors, and they still can’t adapt, it might be time to let them go.
Don’t wait too long — poor performers drag down morale and performance. Top talent won’t stick around if they see mediocrity being tolerated.
Mark points out: If someone is shocked when they’re fired, that’s a failure of leadership.
Coaching with Compassion
Coaching should always be done in a private, safe space. You need trust to have open conversations. Asking questions like “What internal obstacles are you facing?” can uncover issues you can fix — but only if the environment invites honesty.
What If You’re Not the Owner?
If you’re not in charge, but leadership refuses to address underperformance, don’t let it hurt your own results. Approach leadership with empathy and solutions. Share a roadmap of what’s working for you and suggest ways the whole team can align around proven behaviors.
Start a dialogue. Offer ideas. Be the catalyst for change — even if you’re not in charge.
For New Sales Leaders: Start Small, Stay Present
If you’re stepping into a leadership role with no process in place, don’t overcomplicate things. Mark recommends starting with 3-4 core activities that drive results. Set achievable goals and track them in small blocks of time.
Meridith adds that involving the team in building the roadmap creates ownership. Let them help design the plan, then tweak it as needed.
Final Thoughts
Accountability, clarity, and consistent coaching are the foundations of effective sales leadership. Whether you’re coaching someone up or coaching them out, do it with empathy and structure.
When leaders commit to clear expectations, behavioral tracking, and proactive support, the decision of when to coach or cut becomes far easier — and far more effective.
Handling Underperforming Salespeople
Lightning Round: Top 10 Ways to Become More Disciplined
Question from a New Listener: “How do you grow a sales team when ownership struggles to let go of underperformers? These employees were never really trained, but sales is our only revenue stream, and the owners hesitate to make tough calls. They want change but aren’t ready to act—often making excuses in hopes things will improve.”
Book: Mentally Fit by Meridith Elliott Powell