Fire the Rebellious on Day One

“In no time, he had to face a riot within the company’s management, who threatened to quit if the status quo wasn’t reinstated. After a few hours of reflection (and maybe a couple of calls to his partners at Garantia), Beto fired the rebellious subordinates, arguing that acting quickly and decisively was paramount in (re)building the company’s culture. Under his rule, Americanas’s payroll went from more than 14,000 employees to around 8,000.”

“Especially during the transition toward an informal, candid meritocracy, those people Carlos Brito refers to as mediocre (a harsh but candid term) will be very displeased with the new way of doing things. Nice people who have worked for a company for a very long time will no longer feel safe and warm in their corners, and others won’t like the competitive environment, in which employees constantly challenge their peer’s views and assumptions. Again, it is always easier to kick the can down the road and maintain the status quo, but these changes are the foundation of a great company.”