Why Cultural Fit and Productivity Both Matter in Your Team Evaluation

Your Team Is Either Fueling Growth or Dragging It Down

Industrial businesses thrive on a strong work ethic and a “get it done” culture. As a leader in manufacturing, construction, or logistics, you probably know the stars on your team who crush it every day. You also likely know the people who aren’t pulling their weight or who clash with your core values. It’s easy to let those issues slide when you’re busy, but research (and experience) shows that having the right people in both attitude and output is critical. Let’s break down why evaluating your team for cultural fit and productivity isn’t just HR fluff – it’s protecting your business.

The Multiplier Effect of A-Players vs. C-Players

In any team or company, the difference between an A-player and a C-player is like night and day. In Topgrading, Brad Smart defines an “A-Player” as a top performer – roughly the top 10% of talent – and a “C-Player” as a chronic low performer in the bottom tier (Protech).  They might be doing the same job on paper, but the results they deliver are worlds apart. How far apart? Studies and real-world data show astounding productivity gaps:

Manufacturing & Skilled Trades: An A-player on the line can produce up to 3 times more than a C-player in the same role (McKinsey). Think about your best machinist or technician – they likely output as much as two or three of your laggards combined.

Sales Roles: In sales, the spread is even larger. Top salespeople often outsell poor performers by multiple fold (5x, 7x or more) – hitting targets that the stragglers wouldn’t reach in their wildest dreams. As one McKinsey study noted, performance gaps tend to widen as job complexity increases (McKinsey), and sales usually isn’t simple work.

Leadership Positions: When it comes to managers and supervisors, a great leader’s impact can be massive. Data suggests an elite leader can be 10–12 times more productive than a weak one (McKinsey) . In other words, one superstar manager can drive results that a dozen poor managers couldn’t achieve.

Why do A-players multiply output like this? They bring not just skill, but hustle, problem-solving, and the ability to elevate those around them. And conversely, C-players drag their feet – and can drag others down with them. Tolerating C-players is costly. It doesn’t just hurt the one role; it demotivates your stars. High performers hate picking up the slack for underperformers. “When they see C-players getting away with poor performance, it creates a culture of complacency and unfairness,” as one leadership expert put it (Culture Partners). In short, nothing will cause your top talent to disengage faster than watching you accept dead weight on the team.

The “Bad Apple” Effect: How One Toxic Employee Spoils the Barrel

One underperformer is bad enough – but what about an employee who actively makes the workplace worse? Every industrial leader has either met or inherited a “bad apple.” This is the person with the toxic attitude: constantly negative, antagonistic, or lazy to the point of sabotage. You might hope the rest of your team can just work around them. Unfortunately, science says otherwise. A study from the University of Washington found that a single toxic team member can reduce overall team performance by 30–40% (Will Felps, Terrance Mitchell, & Eliza Byington). Let that sink in – one bad apple can nearly cut your team’s productivity in half.

Why such a dramatic impact? The researchers (Will Felps and colleagues) discovered that negativity spreads like a virus. In their experiment, they planted an “actor” to play one of three toxic roles – the Jerk (aggressive and demeaning), the Slacker (does as little as possible), or the Depressive Pessimist (always pessimistic) – in different teams . In team after team, the presence of the bad apple led the others to start mirroring that bad behavior, wasting time on infighting or simply losing motivation. Essentially, good people start to disengage when forced to work alongside toxic behavior.

The fallout goes beyond just feelings – it hits the bottom line. Toxic employees drive higher turnover (your good people leave), consume extra management time, tank morale, and even hurt customer satisfaction. One analysis estimates a single toxic worker can cost a company 3–5 times their salary in lost productivity and other ripple effects. And let’s face it, on a factory floor or job site, distraction can also become a safety risk.

So if you’ve got a person in mind right now – that chronic complainer, rule-breaker, or blame-caster – it’s not just an annoyance. It’s a 30-40% performance drag on the people who actually drive your business. The study noted that teams tried coping in various ways (arguing with the bad apple, avoiding them, etc.), but none of those responses improved performance. In many cases, the only solution is removing the toxic influence. It’s about protecting your team and your culture. Or as the saying goes, sometimes you have to remove a bad apple to save the barrel.

Bridging the Office–Floor Divide in Culture and Performance

By now, you might be thinking, “Alright, I see the problem. But it’s not so easy in my world.” And you’re right. In industrial settings, there’s often a real tension between the front office and the people on the floor (or out in the field). Cultural dynamics in these environments are unique:

Us vs. Them Mentality: Front-line workers can be suspicious of corporate or management initiatives, especially if they feel like suits in the office don’t understand the hard work in the field. If leadership labels someone a poor performer but the crew likes that person, there’s friction. The crew might say, “Sure, he’s a bit slow, but he’s been with us 20 years,” or “She might rub corporate the wrong way, but she’s one of us.” Loyalty runs deep, which is admirable – but it can sometimes cloud judgment about performance or toxic behavior.

Cultural Fit on the Floor: Cultural fit isn’t about everyone being the same. It’s about shared values like safety, quality, and teamwork. In a factory or construction site, a person who won’t follow safety protocols or refuses to cooperate with teammates is a bad cultural fit, no matter how skilled they are, or how high of a performer they are individually. Conversely, someone who jokes around and meshes well with the crew, but barely meets minimum output, is also a problem. In industrial teams, respect is earned by working hard and watching each other’s backs. A person missing either piece can cause resentment.

Communication Gaps: Office leadership might not be effectively communicating why changes are made or what the expectations are, which can cause decent workers to appear “misaligned.” And workers might not voice their frustrations upward effectively, which means small issues fester until they blow up. For example, a supervisor who’s great at hitting production targets but terrible at people skills could be poisoning the well without upper management realizing – until folks start quitting. This is where cultural fit (how you lead and treat people) intersects with performance.

Acknowledging these dynamics is important. It’s not about pointing fingers – it’s about getting everyone on the same page. As a leader, you have to be a bit of a translator between the boardroom and the breakroom. When evaluating your team, consider both perspectives: Who is genuinely respected and aligned with our values and who is delivering value? If someone is only one or the other, that’s a red flag. The goal is to have people who “get it” (culturally) and “get it done” (performance).

It can be tough to make changes; every person has a story, and in tight-knit crews, even C-players can feel like family. But remember, your A-players are watching. They want to see that you reward those who live the culture and contribute, and that you won’t let a slacker or toxic personality slide. The best industrial leaders find ways to coach and support people to improve – but when improvement doesn’t happen, they’re willing to take action for the sake of the larger team.

Unleashing Potential vs. Just Cutting Costs

Here’s the big takeaway: Evaluating the effectiveness of your payroll investment isn’t just about cutting costs – it’s about unleashing the full potential of your people. Too often, companies in the industrial sector may treat employees as a liability line (“Maintenance Costs”) rather than an asset to cultivate (“Employee Development Plan”). The reality is, people are your most powerful lever. Every dollar you spend on a salary should ideally generate several dollars in value. When you have the right team in place, this happens naturally: productivity grows, quality improves, customers are happier, and innovation sparks. When the wrong behaviors or poor performers are allowed to linger, that dollar is wasted or even turns into a net negative.

Think of it this way: You’re already paying for 100% of your employees’ time. Why not ensure you’re getting 100% (or more) of the possible output, creativity, and positive energy in return? An A-player running at full throttle can far exceed what you pay them – they create value, solve problems, win business, and elevate others. A misaligned or toxic employee, on the other hand, can eat up their paycheck and then some, by diminishing the output of those around them. It’s a double hit to your bottom line.

By rigorously evaluating both cultural fit and performance, you’re doing two things: protecting your bottom line (no more paying for dead weight or tolerating productivity killers) and empowering your top talent (surrounding them with other A-players and a supportive culture). It’s not about becoming some cold, heartless cost-cutter – it’s about fairness and high standards. Your best people want to work in an environment where everyone carries their load and lives the values. And your solid B-players (the backbone of any company) want a culture where they can grow into A’s, not slip into C habits.

At Only Co., we deeply understand this balance. We’ve walked manufacturing floors and out in the field; we know the pride and also the pain points that come with managing teams in industrial environments. Our goal is never to come off as “salesy” or out of touch. Instead, we’re here as a partner who’s seen what works: helping you identify who your true A-players are, coaching up or coaching out the C-players, and realigning your team so that both the metrics and the morale improve. The end result? A workforce that is fully engaged and effective – a crew that’s not just getting the job done, but constantly pushing to do it better, together.

Bottom Line: You can’t afford to ignore cultural misfits or low contributors. The cost of inaction is far greater than the temporary discomfort of making a change. When you invest in hiring right, coaching vigorously, and, yes, pruning when necessary, you’re investing in a better future for your business. It’s about turning your payroll into your number 1 way to invest – every role filled with the right person – and guarding against anything (or anyone) that would dilute that power. In the end, evaluating your team with clear eyes is an act of care: care for your employees who deserve great teammates and leaders, and care for the company you’ve worked so hard to build. After all, your people are either your greatest asset or your biggest liability – and you have the ability to choose which one it will be.

give me the gist

• Bradford D. Smart, Topgrading: How Leading Companies Win by Hiring, Coaching, and Keeping the Best People – Definitions of A, B, C players and the value of top talent .

• Will Felps, Terrence Mitchell, & Eliza Byington (2006), “How, When, and Why Bad Apples Spoil the Barrel: Negative Group Members and Dysfunctional Groups” – Study on the “bad apple” effect (toxic team members causing 30-40% performance drops) .

• McKinsey & Company – Research showing top performers’ productivity is multiples higher than others, especially in complex roles .

• Culture Partners – Insights on how tolerating low performers demotivates high performers.

Get in touch