Managing Poor Performance in Finance Teams:

The Power of Long-Term Relationships in Recruitment

One of our core values at Sharp Consultancy is Relationships, and recently I was reminded exactly why that matters. We recently won a competitive recruitment tender with a key client across the region. Whilst our experience and market knowledge played a huge part, I genuinely believe the deciding factor was something much harder to replicate – trust. I've known the senior finance leader for several years before there was ever a recruitment project to discuss. During that time, we've met regularly for coffee, shared market insights, talked about the finance landscape and discussed the challenges businesses were facing. Most of these conversations didn't lead to a recruitment assignment, and that was never the point. For me, relationship building isn't about waiting for someone to have a vacancy, it's about being present, staying relevant and adding value over time. Sometimes that's sharing insight into the market, offering a different perspective on a hiring challenge or simply taking the time to understand what's happening in someone's business. These conversations build credibility long before there's a commercial opportunity. So, when the recruitment opportunity came around, I wasn't introducing myself or trying to prove we understood the business in a single meeting. We've already built that understanding over years of honest conversations and consistent support. We knew what was important to them, the challenges they faced and how they wanted to approach recruitment. Winning the work was a fantastic result, but more importantly, it reinforced what I believe great recruitment is all about. The best recruitment partnerships aren't built when a role becomes live, they're built in the months and years beforehand. Trust develops through consistency, honesty and a genuine interest in helping people succeed, not through one conversation or one successful placement. That's why Relationship is one of our values at Sharp Consultancy. Because when trust comes first, opportunities tend to follow. The piece of recruitment may have been the outcome, but the relationship was the foundation that made it possible.

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Whether you’re stepping into your first line management role or leading an established finance team, addressing poor performance can be one of the most challenging parts of people management. In roles where accuracy, deadlines, and regulatory compliance are critical, even small performance issues can have a wider impact on reporting, controls, and business confidence.

Handled well, performance conversations can be constructive, fair, and lead to genuine improvement. Below are practical tips to help finance leaders manage underperformance clearly, professionally, and effectively.

Notebook with performance management concepts written in notes, illustrating strategies for effective team evaluation.

Act Early and Address Issues Quickly

As soon as you spot concerns — whether it’s missed deadlines, errors in reconciliations, inconsistent reporting, or poor communication with stakeholders — it’s important to respond promptly.

Early, informal conversations can often prevent issues escalating and give individuals the best opportunity to improve. Keep your tone supportive and solution-focused by:

Asking where they feel they need support
Offering coaching or additional training
Exploring practical ways to manage workload or priorities

Encourage Open and Honest Dialogue

Creating space for open discussion is essential, particularly in high-pressure finance environments such as month-end, year-end, audit cycles, or board reporting periods.

Give the individual time to share how they feel they are performing and any challenges they’re facing. If they have a previously strong track record, it’s worth exploring potential causes, for example:

Increased workload
System changes (ERP or reporting platforms)
Personal circumstances
Changes to role scope or team structure

Understanding the root cause allows you to address the problem more effectively.

A laptop is placed atop a chaotic pile of papers, indicating a productive but cluttered environment.

Prepare Thoroughly for the Conversation

Before any formal discussion, gather clear, factual examples of performance concerns. This might include:

Repeated errors in journals or reconciliations
Delays in management accounts
Missed deadlines during reporting cycles
Stakeholder feedback

Be clear that the goal of the conversation is to support improvement, not to move straight to formal disciplinary action. Give the employee the opportunity to respond openly and explain contributing factors.

Reassess Objectives and Workload

If performance is linked to previously agreed targets, consider whether circumstances have changed. In finance roles, this may include:

Business growth or restructuring
System implementations
Changes to compliance or regulatory frameworks
Team absences or vacancies increasing workload

Where necessary, agree realistic interim goals that maintain motivation while setting a clear path back to full performance.

Three business professionals engaged in discussion at a conference table, with documents and laptops in front of them.

Set Clear Timeframes and Review Points

Agree a structured improvement plan that includes:

Clear expectations
Measurable outcomes
Defined support (training, mentoring, revised workflows)
Regular review meetings

This ensures both manager and employee stay aligned and progress can be reviewed fairly and consistently.

Supporting Strong Finance Teams

Strong performance management is essential to building effective finance functions. When handled with clarity, empathy, and consistency, these conversations can strengthen engagement, protect standards, and improve overall team performance.

Sharp Consultancy specialises in the recruitment of temporary, interim, and permanent accountancy and finance professionals. With offices in Leeds and Sheffield, our experienced consultants work with businesses across Yorkshire and beyond to build high-performing finance teams.

Today to speak with a member of the team about hiring, team development, or your next career move.