Why even top talent fails in senior roles?
Luca Murai explores why even high-performing executives can fail in new roles, highlighting the hidden costs of misalignment and the critical importance of assessing cultural, strategic, and team fit in senior hiring.
According to Harvard Business Review, nearly 50% of all executives hired into new roles fail within 18 months. In the world of executive hiring, we are often told that ‘great talent rises to the top’. But what happens if it does not? Why do high-performing leaders stumble when switching companies?
Among the many challenges executives face when stepping into new roles, misalignment between the leader and the organisation can quietly undermine success. Often, it is this mismatch that leads to difficulties, and when the fit isn’t right, the consequences can be costly for both parties.
Misalignment is not always easy to spot during hiring. It hides behind impressive CVs and polished interviews. But once a leader is in the role, mismatches quickly surface. Let’s take a look at the following three areas:
Culture encompasses the shared values, attitudes and practices that shape an organisation’s identity – dictating how it operates both internally and externally. A high- achieving executive from a fast paced, competitive environment may struggle in a more consensus-driven or cautious organisation. The result? Frustration, friction, and eventually, disengagement. Even subtle cultural disconnects can snowball into deep organisational resistance.
Strategy is the organisation’s chosen path for achieving its long-term goals, whether that is growth, stabilising operations, entering new markets, or cutting costs. Now imagine hiring a visionary change agent when what the board really wants is steady hands. Or bringing in a cost-cutter when the business actually needs bold expansion. Misaligned expectations around the strategic mandate can leave new hires paralysed, unsupported, or blamed for taking the “wrong” course.
Team dynamics refer to the relationships, communication patterns, and power structures between an executive and their key stakeholders: peers, boards, and direct reports. Executives rarely operate in isolation, and their success depends heavily on navigating and aligning with these dynamics. If key stakeholders were not aligned on the hire or were not involved in it at all, then trust is missing from day one. Politics emerge, decisions stall, and even the most capable leaders find themselves isolated or undercut.
When senior hires go wrong, the consequences reach far beyond the individual. According to estimates from Society for Human Resource Management (SHRM) and Harvard Business Review, the cost of replacing an executive can range from two to three times their annual salary once you factor in recruitment fees, lost productivity, onboarding time, and severance packages.
These are just the direct costs. The indirect consequences are often even more damaging and longer lasting: loss of team morale and trust; delays in key strategic initiatives; reputational damage (internally and externally); turnover among high-potential team members.
In private equity-backed firms or high-growth environments, a failed leadership hire can stall momentum entirely. In listed companies, it can rattle investor confidence. And in startups, it may be the difference between scaling or burning out.
The good news is that many of these failures are avoidable if organisations take alignment as seriously as credentials.
Firstly, align internally before going to the market. Too often, hiring briefs are drafted by HR or a search firm without genuine input from the stakeholders. Ensure that the board, CEO, and the senior team are aligned on what success looks like. Ask the right questions. What problem is this hire solving? What type of leader does the business actually need?
Second, assess for fit, not just skill. Use behavioural assessments, structured interviews, and scenario testing to evaluate leadership style, adaptability and values. Do not just look at results. Remember, cultural fit is all about alignment in way of thinking, working and leading.
It is also important to involve future peers and teams early. Getting buy-in from the people your new leader will work with is not just polite. It is strategic. It reduces political risk and increases the chance of early traction. Shadowing days or informal “chemistry” sessions can reveal much more than formal panels.
Finally, invest! Invest in onboarding as integration, not orientation. A welcome email and and IT setup are not enough. Support your new executive in building alliances, understanding context, and navigating unspoken power dynamics. Assign internal mentors or integration coaches. The first 90 days aren’t just a ramp-up. They are make or break.
Fit is often seen as a soft factor. But in senior hiring, it is anything but. Strategic alignment determined whether a leader thrives or falters. The best hire is not always the boldest or safest, but the one who fits your context. Without alignment, even top talent can become a costly misstep.
To prevent costly leadership missteps, organisations must stop viewing alignment as an afterthought and start considering it a strategic priority. At 6 Group, we assist boards, investors, and executive teams in getting this right from the beginning. From aligning early with your leadership team to guiding candidates through context-rich behavioural interviews, we help ensure your next hire not only impresses on paper but is set up to succeed within your culture, strategic direction, and team environment. If you’re planning a key hire, let’s discuss how we can help you recruit for true fit – and long-term success.
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