The Erosion of Value in a “Nice” Culture
Over decades of consulting, experts have identified a disturbing trend: leaders are holding their organizations back by avoiding difficult conversations. When “niceness” is prioritized over performance, it creates a negative ripple effect. High performers feel demoralized when they carry the workload of underperformers who receive identical rewards. Consequently, resources are squandered on low-value projects, and innovation stagnates.
The Psychology Behind Overly Nice Leadership
The fear of hurting others is a natural human instinct. However, many leaders delude themselves into thinking that conflict avoidance is a form of compassion. In an era of remote work and AI disruption, leaders rightfully want to emphasize human connection. Yet, a clear distinction must be made:
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Kindness: Doing the hard work of giving candid feedback to foster long-term growth.
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Niceness: Merely a way to maintain an agreeable surface, sidestepping accountability and letting issues fester.
A 4-Step Strategy for Performance Optimization
To shift organizational culture, the authors propose four fundamental changes in management mindset:
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Establishing Rigorous Accountability: Companies like Costco prove that high wages must be coupled with high expectations. Leaders must engage in continuous performance management, embedding target metrics into the daily cultural fabric. If an employee fails to meet standards despite support, asking them to move on is necessary to protect the collective ecosystem.
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The Gift of Candid Feedback: A study of 18,000 employees by Leading Edge revealed that while 90% felt respected, only 72% found their manager’s feedback useful for growth. This suggests that managers are “sugarcoating” critiques to the point of losing their directional value. Effective feedback requires empathy, but it must be direct.
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Normalizing Talent Mobility: Instead of focusing on retention as an absolute goal, organizations should accept that not every person is a fit for every stage of growth. A prime example is a large pharmaceutical firm that required its entire R&D team to re-apply for roles during a restructuring. The result: while some left, those who remained were highly energized, accelerating clinical trials significantly beyond previous results.
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The Strategic Power of “No”: Strategy is about selection. Steve Jobs famously cut 7 out of 10 top priorities to focus on the 3 most important ones. In the non-profit sector, saying “No” to expansion projects pushed by influential donors in favor of deepening local impact is a difficult but essential move for long-term sustainability.
The Path Forward for Leaders
Cultural change does not happen overnight; it requires the courage to break current artificial comfort zones. Start small: pick one decision you have delayed simply because you feared bruised egos. Executing that decision with fairness and transparency will start a “cultural flywheel” where candor and excellence become the new standard.
Source: https://hbr.org/2026/01/sm-why-leaders-need-to-be-less-nice-and-more-good?ab=HP-topics-text-6