A PhD’s theory on why your boss is likely bad at their job

The Peter Principle has survived for more than half a century.

Mike Stevenson, MBA
5 min readJul 28, 2021
A statue in front of St. Peter’s Basilica in the Vatican
Photo by iam_os on Unsplash

What is the Peter principle?

The Peter principle was devised by its namesake, Dr. Lawrence J. Peter. It seeks to explain the mechanic by which organisations accummulate incompetence in seniority by converting previously competent individuals into incompetent individuals.

“In a hierarchy every employee tends to rise to his level of incompetence.”

The Peter principle proposes employees in a hierarchy will continue to be promoted until they reach a role for which they are not competent, where they will remain. Over time and at scale, this results in the retention of largely incompetent management and may suggest that longevity in a position is indicative of inability.

How does the Peter principle work?

The Peter principle is based primarily on the identification that the tasks related to more senior roles in a hierarchy are often different to the tasks of the more junior roles that report to them.

The insight of the Peter principle is that competence (or incompetence) is a function of fit. That is, a person is considered competent when their…

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