2min chapter

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Why Are There So Many Bad Bosses? (Ep. 495 Replay)

Freakonomics Radio

CHAPTER

The Peter Principle: A Theory of Success

There's no reason to believe that a great salesperson who knows how to negotiate deals will be a great manager. Great researchers often make for lousy department chairs, says Steve Tadellis of Berkeley. The Peter Principle had been around for half a century but no one had ever checked with real data from real companies whether Lawrence Peter was right. A few observations about car mechanic or an academic researcher turned department chair do not constitute empirical proof in the realm of management and all that airport bookstore pulp fiction.

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