Should we promote people by merit, or randomly?

...simulations pitted the “Common Sense Hypothesis” where an employee is as good at their new job as at their old one against the “Peter Hypothesis” in which they have a random chance of succeeding in their new role. In each of these cases, the researchers tested three promotion strategies: promoting the most competent employees, the least competent employees and promoting randomly. Finally, with increased corporate efficiency as the measure of success, the researchers reached their counterintuitive conclusion. “Promoting at random or alternating the promotion of the best and the worst employees works much better according to our calculations,”...
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