24. Supporting New Leaders To Achieve
24. Ensuring New Leaders Meet Expectations
Hiring an external leader is a significant investment, and without a structured performance monitoring and adjustment period, SMEs risk retaining leaders who may not be the right fit. Many business owners assume that a new leader will naturally adapt to their role over time, but without clear performance benchmarks, regular feedback, and structured evaluations, leadership transitions can become ineffective.
Owners often grapple with questions such as -
How do I measure a new leader’s success in the first few months?
What performance indicators should be tracked to ensure alignment with business goals?
How do I provide constructive feedback without discouraging a new leader?
What steps should be taken if a new hire is underperforming?
Failing to establish structured performance monitoring can lead to misalignment, leadership instability, and disruptions in team dynamics.
The Solution – Establishing a Performance Monitoring Framework
To ensure new leaders integrate effectively and contribute to business success, SME owners should implement a structured approach to performance evaluation. This process typically includes -
1. Defining Success Metrics and Performance Benchmarks
Establish clear Key Performance Indicators (KPIs) tailored to the leader’s role and business objectives.
Use both quantitative (financial performance, productivity metrics) and qualitative (team engagement, leadership effectiveness) measures.
Align expectations with strategic goals to ensure the leader’s impact is measurable.
2. Implementing a 30-60-90 Day Performance Review Process
First 30 Days - Focus on orientation, team integration, and understanding business processes.
First 60 Days - Assess leadership decision-making, stakeholder relationships, and early contributions.
First 90 Days - Evaluate goal achievement, strategic alignment, and impact on business performance.
Hold structured check-ins at each milestone to provide feedback and recalibrate expectations.
3. Encouraging Open Communication and Two-Way Feedback
Schedule regular one-on-one meetings between the leader and key stakeholders.
Provide constructive feedback on strengths and areas for improvement.
Allow the leader to share insights on company processes, challenges, and potential improvements.
Create a psychologically safe environment where leaders feel supported in their transition.
4. Addressing Performance Gaps Early
Identify early warning signs of misalignment, such as lack of team engagement, missed objectives, or cultural disconnect.
Offer additional training, mentorship, or executive coaching to support leadership development.
Set clear corrective action plans if performance issues persist.
If necessary, make difficult decisions on leadership fit before long-term damage occurs.
5. Reviewing Performance After the Adjustment Period
Conduct a final assessment after six months to determine long-term fit.
Compare initial expectations with actual performance outcomes.
If necessary, redefine role expectations or adjust leadership responsibilities for better alignment.
Ensure long-term performance tracking continues beyond the adjustment period.
The Impact on the Business and the Owner
For the business, structured performance monitoring ensures leadership effectiveness, minimises the risk of hiring misalignment, and supports long-term stability. Employees also gain confidence in leadership when they see accountability measures in place.
For the owner, structured reviews reduce uncertainty by providing a clear picture of whether the new leader is meeting expectations. This allows the owner to make informed decisions about leadership retention and business strategy.
Key Considerations for SME Owners
Defining Clear Leadership Expectations – What specific results should the leader achieve within the first six months?
Balancing Support with Accountability – How can owners provide guidance while ensuring the leader takes ownership of their role?
Addressing Performance Issues Proactively – What steps will be taken if the leader does not meet expectations?
Encouraging a Growth Mindset in Leadership – How can leaders continuously refine and develop their skills?
Ensuring Team Alignment and Engagement – How do employees perceive the new leader, and how does it impact overall team dynamics?
HR Best Practice
Successful organisations use structured leadership performance frameworks to track success and integration. Best practices include -
Using data-driven performance reviews to assess leadership effectiveness.
Establishing peer and team feedback mechanisms to ensure alignment with workplace culture.
Conducting leadership development assessments to identify ongoing training needs.
Implementing executive coaching programs to help leaders refine their strategic approach.
Psychological Perspective
Leaders perform best when they receive clear expectations, regular feedback, and opportunities for self-improvement. Research shows that structured onboarding and defined success metrics lead to higher leadership retention and performance levels.
For employees, seeing new leaders held to performance standards creates trust in leadership and organisational fairness. Leaders who actively seek feedback and adjust based on insights tend to develop stronger relationships with their teams and drive better outcomes.
Practical Tips
Set Performance Milestones Early – Define what success looks like at 30, 60, and 90 days.
Encourage Self-Assessment – Ask new leaders to evaluate their own performance and areas for growth.
Engage Employees in Leadership Evaluation – Use anonymous surveys to gauge team sentiment.
Provide Resources for Leadership Growth – Offer access to mentorship, training, and strategic coaching.
Review Hiring Decisions Objectively – If a leader is underperforming despite support, consider role restructuring or replacement.
The Long-Term Benefits of Leadership Performance Monitoring
By implementing a structured monitoring process, SME owners ensure that new leaders are aligned with business goals, adapting effectively, and making meaningful contributions. Long-term benefits include -
Stronger Leadership Effectiveness – Regular reviews and feedback drive continuous improvement.
Increased Employee Confidence – A structured approach reassures employees about leadership stability.
Better Business Performance – Leaders who align with company goals contribute to measurable success.
Reduced Risk of Hiring Mistakes – Early intervention prevents long-term leadership misalignment.
Greater Organisational Resilience – SMEs benefit from leadership that is well-integrated, accountable, and focused on long-term growth.
Golden Nugget - "The best leaders aren’t just hired—they are developed. Structured performance monitoring ensures alignment, accountability, and leadership success."