When Hiring a Superstar Backfires: What the Research Tells Us
Hiring high-performing “stars” from competitors is often seen as a strategic shortcut to growth, prestige, and innovation. But new research published in Harvard Business Review suggests that this strategy can backfire – and quite dramatically so.
Researchers Daniel Muzio, Claudia Gabbioneta, and John Mawdsley studied 2,700 star lawyers across more than 100 UK-based corporate law firms over a 17-year period. On average, they found that practice areas which hired a star performer experienced a 10% drop in performance the following year compared to comparable teams that didn’t.
So why do superstar hires so often fall short?
Performance Is Often Not Portable
Stars typically succeed in familiar ecosystems – surrounded by supportive colleagues, embedded systems, trusted clients, and a culture they understand. When they move, they leave behind that scaffolding. Many struggle to adjust and expect their new employer to adapt to them instead.
They Can Disrupt the Team
Bringing in a star can unsettle existing team members, especially those with leadership aspirations. Resentment, competition, and a sense of displacement can lead to a drop in team morale and performance – particularly in already fragile teams.
Declining Teams Can’t Be ‘Saved’ by a Star
Placing a superstar into a struggling team can worsen the situation. Dysfunctional systems, stretched relationships, and unmotivated colleagues are unlikely to create the environment needed for success – no matter how talented the new hire.
When Hiring a Star Might Work
The research did uncover specific conditions where star hiring led to improved performance:
➤ Joining an already high-performing team – Stars integrate better when surrounded by other high-achievers. Rather than competing, they collaborate, resulting in a 162% swing from negative to positive performance outcomes.
➤ Making a strategic upward move – When a star moves to a better team than the one they’re leaving, they’re more likely to adapt, contribute positively, and thrive. In these cases, researchers observed up to a 270% swing in performance.
Takeaway for Employers
Hiring superstars is a high-risk strategy. It only tends to work when the hire joins a strong, well-supported team and sees the move as a genuine career step up. Without these conditions, the results are often disappointing.
Instead, many organisations may benefit more by developing internal talent, nurturing future leaders, and creating the conditions that help homegrown stars shine.
Read the full article on HBR:
Research: Hiring a Superstar Can Backfire
