📋 Introduction
This article and the accompanying questionnaire aims to measure two critical organizational phenomena that most growing companies inevitably encounter. As organizations scale, sustaining a culture that not only values excellence but also effectively identifies and rewards it becomes essential. However, as excellence becomes widespread, a paradox emerges; one that can either dilute its value or end up overburdening excellent performers.
Defining excellence before we move further. It is not limited by these traits but on a broad stroke anybody who executes and exhibits these below traits might be considered an excellent performer.
- Critical Thinking – Analyzes situations logically, identifies and resolves challenges.
- Decision-Making – Able to operate in a constrained environment, makes sound choices given uncertainty and context.
- Emotional Intelligence and empathy – Reads and responds to emotions effectively. Meters responses according to the situation.
- Accountability – Owns responsibilities and results.
- Resilience – Pushes through challenges without losing momentum.
- Bias for Action – Prioritizes execution over excessive analysis.
- Attention to Detail – Ensuring quality work.
- Resourcefulness – Finds solutions effectively with limited resources.
There are two key concepts that are defined as part of this article: Excellence Inflation and Inflation of Excellence. Before diving into how to measure them, let’s define what do they mean and to better understand these concepts, we can compare them to economic inflation.
Using an Analogy
Inflation of Currency vs Currency Inflation
| Concept | Definition | Cause & Effect |
|---|---|---|
| Inflation of Currency | Increase in money supply, reducing its value. | Cause of currency inflation. |
| Currency Inflation | Increase in prices due to devalued money. | Effect of increased money supply. |
Example: Imagine a small island where there are 10 apples for sale and there is only 10 Rs in total among people. Each apple costs 1 Re.
- If suddenly the government prints 100 Rs more, now there is 110 Rs total, but still only 10 apples.
- Since people have more money, sellers increase apple prices to 11 Rs each.
- The apple didn’t change, but its price went up because money lost value.
💡 Key Idea: Too much currency in circulation reduces its value, leading to inflation.
How does this relate to an Organization?
Just like Inflation of Currency leads to Currency Inflation, the Inflation of Excellence leads to Excellence Inflation.
| Economic Inflation | Workplace Inflation |
|---|---|
| Inflation of Currency → More money printed → Currency Inflation (prices rise, money loses its value). | Inflation of Excellence → Too many people labeled “excellent” → Excellence Inflation (true excellence loses its meaning). |
| Currency Inflation → A few people hold most of the wealth, but its value doesn’t increase (because the currency itself has lost its value). | Excellence Inflation → Excellence is in pockets demostrated by fewer folk, but their efforts aren’t valued appropriately or proportionally. |
Imagine an organization where:
- Inflation of Excellence: Everyone gets top performance ratings, making excellence meaningless.
- Excellence Inflation: A few employees do most of the work, but aren’t recognized or rewarded enough.
💡 Key Takeaway: Just like currency needs regulation, workplace excellence needs differentiation to maintain its value.
A workplace or an organization thus might face a single phenomenan or a combination of the following
✅ Excellence Inflation – High performers are overburdened and undervalued, leading to burnout and disengagement.
✅ Inflation of Excellence – Performance differentiation is weak, making recognition and growth ineffective.
✅ Both – High performers are overloaded, and performance differentiation is also weak, leading to organizational inefficiency.
✅ None – A healthy culture where performance is well-differentiated, work is balanced, and recognition is structured.
With that in mind, how do we diagnose if any of these phenomena are at work really?.
Determine Inflation of Excellence, Excellence Inflation, Both, or None
The easiest way to determine this is by enquiring with the people who will be most affected by it. So, below is a set of questions to be answered by the employee(s) as well as the Leadership respectively which hopefully will point us to the phenomena at play within the organization.
The result might be a combination of both but the goal is to try and understand if the workplace suffers with either or both of them in order to determine a course of action to remedy them.
Each question in the Employee Survey and Leadership Survey is designed to uncover patterns in performance differentiation, workload distribution, recognition, and leadership decision-making.
🔹 Employee Survey: Workplace Culture & Recognition
Instructions:
- Choose the response that best reflects your experience.
1. Recognition for Contributions
“How does recognition for individual contributions typically work within the team?”
- Recognition is consistently provided based on established criteria
- Recognition is often based on team discussions
- Recognition is infrequent and varies widely
- Recognition processes exist but lack consistency across teams
2. Project Assignments & Complexity
“When projects are assigned, how is complexity considered in the decision-making process?”
- Complexity is a major factor in project assignments
- Complexity is considered but not the primary factor
- Complexity is rarely considered in assignments
- Complexity is not always considered systematically in assignments
3. Career Growth & Promotions
“How are career growth opportunities and promotions determined within the organization?”
- Promotions are based on clear performance metrics
- Promotions are influenced by manager recommendations
- Promotions are based on informal discussions
- The promotion process lacks clarity and transparency in some cases
4. Workload Distribution
“How are high-impact or complex tasks typically assigned within the team?”
- Tasks are assigned based on individual strengths and capacities
- Tasks are assigned based on team needs and availability
- Tasks are assigned with little regard for individual workload
- Task assignment is often ad hoc and lacks a structured approach
5. Performance Reviews & Feedback
“How would you describe the structure and clarity of performance evaluations within the organization?”
- Evaluations are structured and provide clear feedback
- Evaluations offer some structure but lack clarity
- Evaluations are informal and inconsistent
- Performance evaluations are informal and lack a structured framework
6. Project Lead & Manager Influence on Recognition
“How does leadership (project leads/managers) influence recognition and career progression?”
- Leadership plays a significant role in recognition and progression
- Leadership influences recognition but less so on progression
- Leadership has minimal impact on recognition and progression
- Leadership engagement in recognition and progression is minimal
7. Handling Underperformance
“What is the typical process for addressing consistent underperformance?”
- There is a formal process for addressing underperformance
- Underperformance is addressed on an informal basis
- There is little to no process for addressing underperformance
- Underperformance is addressed inconsistently, leading to mixed outcomes
8. Collaboration & Accountability Across Teams
“How is accountability managed when multiple teams collaborate on a project?”
- Accountability is clearly defined among teams
- Accountability is somewhat defined but can be vague
- Accountability is rarely discussed among teams
- Accountability structures exist but are not always well-defined
9. High Performer Workload Balance
“How is workload managed for employees who consistently deliver high-impact results?”
- Workload is actively monitored and adjusted for high performers
- Workload is sometimes adjusted based on performance
- Workload for high performers is rarely adjusted
- Workload management for high performers is inconsistent across teams
10. Employee Sentiment on Long-Term Growth
“How clearly is career progression communicated and supported within the organization?”
- Career progression is well communicated and actively supported
- Career progression is communicated but lacks support
- Career progression is rarely discussed
- Career progression communication is limited and could be improved
🔹 Leadership Survey: Performance, Recognition & Talent Strategy
Instructions:
- Read each question carefully and choose the response that best reflects your experience.
1. Performance Differentiation
“Think about the last round of performance evaluations. How were the top-rated employees distinguished from others?”
- A) A structured process was followed, with performance criteria consistently applied across teams.
- B) Performance differentiation varied— for some cases a structured criteria was used, while others were more informal.
- C) Performance was assessed, but there were inconsistencies in how differentiation was determined.
- D) The evaluation process was conducted, but most employees received similar ratings.
2. Promotions & Career Growth
“In the last promotion cycle, what was the most common reason employees were promoted?”
- A) Promotions were based on a combination of demonstrated skills, contributions to projects, and feedback from peers.
- B) Factors such as tenure, performance, and team dynamics influenced promotions, but not uniformly.
- C) Promotions were often influenced by personal relationships and informal discussions rather than clear criteria.
- D) The criteria for promotions were unclear, leading to perceptions of randomness.
3. Handling Project Complexity in Assignments
“A critical project requiring deep expertise and tight deadlines is assigned. How is the workload distributed among employees?”
- A) Work is allocated based on expertise, current workload, and team member availability.
- B) Tasks are generally assigned to those who have successfully handled similar projects in the past.
- C) A few employees consistently receive the most complex tasks, regardless of their overall workload.
- D) Assignments are primarily based on who is available at the moment, rather than on specific expertise.
4. Recognizing Excellence Without Bias
“If two employees deliver the same quality of work, but one is in a more visible project, how does their recognition compare?”
- A) Recognition is primarily based on the measurable impact of their work, not the visibility of the project.
- B) While project visibility does play a role, there are established criteria that guide recognition.
- C) Employees with more visible roles tend to receive more recognition, regardless of actual contributions.
- D) Recognition often appears to be influenced by subjective perceptions rather than objective outcomes.
5. Retaining High Performers
“Think about the last time a high-performing employee considered leaving. What action, if any, was taken?”
- A) Leadership took proactive steps to understand concerns and offered opportunities for advancement.
- B) Concerns were acknowledged, but no significant changes were made in response.
- C) Leadership viewed the situation as typical turnover and did not engage further.
- D) There was no specific response from leadership regarding the employee’s potential departure.
6. Performance Reviews & Feedback
“In the last review cycle, how many employees received ratings in the top category?”
- A) A small number of employees were rated highly based on clear performance metrics.
- B) A moderate percentage received top ratings, reflecting a balance between high performance and fairness.
- C) A large proportion of employees received top ratings, indicating leniency in evaluations.
- D) Most employees received similar ratings, making it challenging to identify high performers.
7. Workload Distribution & Delegation
“When a last-minute urgent project arises, how does leadership decide who will handle it?”
- A) Assignments are made considering expertise, current workload, and potential for professional growth.
- B) Urgent tasks are typically assigned to employees known for their reliability and past performance.
- C) The same employees are often tasked with urgent projects, regardless of their existing commitments.
- D) Assignments are made informally, often based on immediate availability rather than suitability.
8. Accountability & Performance Standards
“If a project deadline is missed due to a team member’s oversight, what typically happens?”
- A) The oversight is addressed constructively, with a focus on solutions and learning.
- B) The situation is discussed, but responses to accountability can vary widely.
- C) The team compensates for the oversight, often without formal consequences for the individual.
- D) There is a general lack of accountability, and missed deadlines are frequently overlooked.
9. High Performer Utilization
“Over the last year, have high-performing employees been assigned significantly more responsibilities than others? If so, how was this managed?”
- A) High performers are given leadership opportunities while maintaining a balanced workload.
- B) They tend to receive more responsibilities, but this is accompanied by appropriate recognition or rewards.
- C) High performers are often assigned more tasks without additional support or resources.
- D) Work distribution appears uneven, leading to potential burnout among those high performers.
10. Long-Term Talent Strategy
“Over the past two years, how many employees have been actively prepared for leadership roles?”
- A) A clear and structured pipeline exists for leadership development, with defined programs in place.
- B) Some employees are identified for leadership roles, but the process lacks consistency and clarity.
- C) Leadership development occurs informally, without a structured approach or planning.
- D) There is minimal effort to prepare employees for future leadership positions.
Lets look at how these carefully crafted questions might help us with identifying the organizational state.
📌 Explaining the Employee Survey
| Survey Question | How It Indicates Excellence Inflation | How It Indicates Inflation of Excellence | How It Indicates Both | How It Indicates None |
|---|---|---|---|---|
| 1️⃣ Recognition for Contributions | High performers feel under-recognized despite greater impact. | Recognition is broad and generalized, with little differentiation. | Some employees feel invisible, while others get recognized without merit. | Recognition is impact-driven and structured. |
| 2️⃣ Project Assignments & Complexity | High performers consistently receive the hardest projects. | Work is assigned randomly, with little consideration for expertise. | Some are overloaded, while others get easy assignments. | Assignments are fairly distributed based on skill and experience. |
| 3️⃣ Career Growth & Promotions | High performers are not promoted, despite delivering results. | Promotions are widely distributed without meaningful differentiation. | Promotions lack structure, and high performers feel stagnated. | Career growth is merit-based and transparent. |
| 4️⃣ Workload Distribution | Work is heavily skewed toward top performers. | Workload is not assigned strategically, leading to inefficiencies. | Some employees are overworked, while others contribute less. | Workload is fairly distributed with accountability. |
| 5️⃣ Performance Reviews & Feedback | Only a few employees receive meaningful evaluations. | Most employees receive high ratings, regardless of contribution. | High performers feel ignored, while everyone else gets high ratings. | Performance feedback is structured and differentiates employees fairly. |
| 6️⃣ Project Lead & Manager Influence on Recognition | Recognition is gatekept by a few, limiting visibility. | Recognition is widely distributed, reducing impact. | Managers’ biases impact recognition, while differentiation is weak. | Recognition is multi-source and fair. |
| 7️⃣ Handling Underperformance | High performers must compensate for poor performers. | Underperformance is tolerated without consequences. | Some employees are burdened with fixing issues, while others face no consequences. | Underperformance is addressed systematically. |
| 8️⃣ Collaboration & Accountability Across Teams | High performers are forced to take responsibility for failures. | There is no clear accountability, leading to inefficiencies. | Some take on extra work, while others avoid responsibility. | Teams have clear accountability structures. |
| 9️⃣ High Performer Workload Balance | High performers are given excessive work without support. | Work is assigned evenly, without considering performance impact. | Top performers carry more work, while differentiation remains weak. | Workload is balanced based on ability and recognition. |
| 🔟 Employee Sentiment on Long-Term Growth | High performers see no career path despite their contributions. | Everyone has the same career trajectory, with no differentiation. | Growth opportunities lack structure, and recognition is unclear. | Career progression is well-defined and merit-based. |
📌 Explaining the Leadership Survey
| Survey Question | How It Indicates Excellence Inflation | How It Indicates Inflation of Excellence | How It Indicates Both | How It Indicates None |
|---|---|---|---|---|
| 1️⃣ Performance Differentiation | Only a few employees stand out, despite others working hard. | Most employees receive similar ratings. | High performers are overworked, while ratings are inflated. | Performance is clearly differentiated based on impact. |
| 2️⃣ Promotions & Career Growth | Only a select few are promoted, despite broader contributions. | Promotions are distributed evenly, reducing competitiveness. | High performers feel stuck, while promotions lack clear criteria. | Promotions are transparent and performance-driven. |
| 3️⃣ Handling Project Complexity in Assignments | The same employees handle all difficult work. | Work is assigned without skill consideration. | High performers take on the hardest work, while others receive easy assignments. | Assignments are skill-based and distributed fairly. |
| 4️⃣ Recognizing Excellence Without Bias | Recognition is concentrated in one group. | Recognition is too broad and lacks meaning. | Some employees receive all the credit, while others receive unearned praise. | Recognition is structured and impact-based. |
| 5️⃣ Retaining High Performers | High performers leave due to lack of differentiation or burnout. | Retention efforts are the same for all employees, reducing motivation. | Some employees feel overworked, while retention lacks differentiation. | Retention strategies are proactive and talent-driven. |
| 6️⃣ Performance Reviews & Feedback | Few employees receive valuable feedback. | Most employees receive the same feedback, regardless of contribution. | High performers feel ignored, while others receive inflated ratings. | Feedback is structured and distinguishes performance fairly. |
| 7️⃣ Workload Distribution & Delegation | High performers carry most urgent work. | Workload is not assigned based on capability. | Some employees are overloaded, while others contribute minimally. | Work is delegated strategically and fairly. |
| 8️⃣ Accountability & Performance Standards | High performers compensate for failures. | Underperformance is tolerated. | Some employees are overburdened, while others avoid responsibility. | Teams have clear accountability structures. |
| 9️⃣ High Performer Utilization | High performers are overloaded without additional support. | Work is evenly distributed, regardless of performance impact. | Top performers carry extra workload, while differentiation is weak. | Workload is balanced based on contribution and rewards. |
| 🔟 Long-Term Talent Strategy | Leadership growth is reserved for a few. | Growth opportunities are equal for everyone, without distinction. | Future leadership planning lacks structure, and differentiation is weak. | Leadership development is structured and performance-based. |
Survey Scoring
- Employee Survey – Focuses on workplace culture, recognition, and workload distribution.
- Leadership Survey – Focuses on performance evaluation, talent management, and leadership influence.
Each response option is mapped to one of the following:
- None – Indicates a balanced workplace with fair performance differentiation.
- Inflation of Excellence – Indicates weak differentiation of excellence.
- Excellence Inflation – Indicates overburdening of high performers.
- Both – Indicates the presence of both issues.
🔹 Employee Survey Scoring
| Question No. | Question | Option A (None) | Option B (IoE) | Option C (Both) | Option D (EI) |
|---|---|---|---|---|---|
| 1 | How does recognition for individual contributions typically work within the team? | Recognition is consistently provided based on established criteria | Recognition is often based on team discussions | Recognition is infrequent and varies widely | Recognition processes are inconsistent |
| 2 | When projects are assigned, how is complexity considered in the decision-making process? | Complexity is a major factor in project assignments | Complexity is considered but not the primary factor | Complexity is rarely considered in assignments | There is no clear process for considering complexity |
| 3 | How are career growth opportunities and promotions determined within the organization? | Promotions are based on clear performance metrics | Promotions are influenced by manager recommendations | Promotions are based on informal discussions | There is no transparent process for promotions |
| 4 | How are high-impact or complex tasks typically assigned within the team? | Tasks are assigned based on individual strengths and capacities | Tasks are assigned based on team needs and availability | Tasks are assigned with little regard for individual workload | There is no systematic approach to task assignment |
| 5 | How would you describe the structure and clarity of performance evaluations within the organization? | Evaluations are structured and provide clear feedback | Evaluations offer some structure but lack clarity | Evaluations are informal and inconsistent | There is no formal evaluation process |
🔹 Leadership Survey Scoring
| Question No. | Question | Option A (None) | Option B (IoE) | Option C (Both) | Option D (EI) |
|---|---|---|---|---|---|
| 6 | Think about the last round of performance evaluations. How were the top-rated employees distinguished from others? | A structured process was followed, with performance criteria consistently applied across teams | Performance differentiation varied—some structured criteria, some informal | Performance was assessed, but there were inconsistencies in how differentiation was determined | The evaluation process was conducted, but most employees received similar ratings |
| 7 | In the last promotion cycle, what was the most common reason employees were promoted? | Promotions were based on a combination of demonstrated skills, contributions, and feedback | Factors such as tenure, performance, and team dynamics influenced promotions, but not uniformly | Promotions were often influenced by personal relationships and informal discussions | The criteria for promotions were unclear, leading to perceptions of randomness |
| 8 | A critical project requiring deep expertise and tight deadlines is assigned. How is the workload distributed among employees? | Work is allocated based on expertise, current workload, and availability | Tasks are generally assigned to those who have successfully handled similar projects in the past | A few employees consistently receive the most complex tasks, regardless of their overall workload | Assignments are primarily based on who is available at the moment, rather than on specific expertise |
| 9 | How does leadership (project leads/managers) influence recognition and career progression? | Leadership plays a significant role in recognition and progression | Leadership influences recognition but less so on progression | Leadership has minimal impact on recognition and progression | Leadership does not engage in recognition or progression processes |
| 10 | Over the last year, have high-performing employees been assigned significantly more responsibilities than others? If so, how was this managed? | High performers are given leadership opportunities while maintaining a balanced workload | They tend to receive more responsibilities, but this is accompanied by appropriate recognition or rewards | High performers are often assigned more tasks without additional support or resources | Work distribution appears uneven, leading to potential burnout among those high performers |
📌 How do you use this scoring?
Score Calculation: Assign points based on selected responses.
- None: 0 points
- Inflation of Excellence: 1 point
- Excellence Inflation: 1 point
- Both: 2 points
Determine Trends: If scores are high in Inflation of Excellence, performance differentiation is weak. If scores are high in Excellence Inflation, high performers are overburdened.
Take Action: Use insights to implement fair recognition, balanced workload distribution, and improve performance evaluations.
This scoring framework strives to help organizations differentiate excellence, ensuring top performers are valued appropriately while maintaining a high-performance culture. 🚀
🔹 Using the Results
For Leadership
- Understand where performance standards may be diluted
- Track organizational health metrics
For HR/People Operations
- Design targeted interventions
- Develop appropriate training programs
- Create balanced recognition systems
- Implement fair workload distribution practices
For Managers
- Better understanding of team dynamics
- Improvement of resource(s) allocation
- Enhance performance differentiation
- Support career development