Core Insights - The prevalent mindset in companies is to replace employees when issues arise, which is an expensive and shortsighted approach [2][12][25] Financial Costs - The direct financial costs of replacing an employee include not only salary but also recruitment fees, training costs, and severance pay, which can amount to 1.5-2 times the employee's annual salary [6][5][4] Team Morale - Frequent employee turnover negatively impacts team morale, leading to insecurity among remaining employees and a conservative work environment where innovation is stifled [7][8][9] Root Causes - Problems attributed to individual performance may actually stem from organizational issues such as poor job design, unclear processes, or misalignment of values, which need to be addressed before considering replacement [10][11][12] Management Practices - To avoid the trap of frequent replacements, companies should focus on selecting the right people, placing them in suitable roles, developing their skills, and regularly evaluating their performance [13][25] Selection Process - The selection process should emphasize alignment of candidates' values and skills with the company's needs, using behavioral interview techniques to assess past performance [14][15][16] Role Assignment - Properly assigning employees to roles that match their strengths is crucial for maximizing productivity and achieving results [16][17] Employee Development - Viewing employees as assets rather than costs encourages investment in their growth, which can enhance company value over time [18][19] Performance Evaluation - Regular assessment of employee performance is necessary to ensure alignment with company goals, and adjustments should be made if there is a mismatch [20][21] When to Replace - Replacement may be warranted in cases of severe value misalignment or consistent underperformance despite support and training [23][24]