It’s one of the hardest decisions you’ll face as a CS leader.
And also one of the most expensive to avoid.
“They’re not great… but they’re not that bad.”
“Maybe they just need more coaching.”
“I’ll revisit after this quarter’s renewals.”
Sound familiar?
If you’ve ever delayed a tough people call, you’re not alone.
But here’s the truth most leaders don’t talk about enough:
Keeping the wrong CSMs too long doesn’t just stall team growth. It actively destroys value.
Let’s talk about how.
The Risks Aren’t Always Loud but They’re Always Expensive
When a CSM is underperforming—either in execution or mindset—it’s rarely just “their” problem. The effects ripple out.
Here’s what it often looks like behind the scenes:
1. Silent Churn
The account didn’t renew.
There was no big blowup.
But also no clear value story, no engagement, no proactive risk management.
A mediocre CSM doesn’t always cause churn but they also don’t prevent it.
2. Opportunity Loss
What could have been a $20K expansion stayed flat.
Why? Because no one mapped goals. No one multithreaded. No one pushed for a roadmap discussion.
Missed expansions are harder to measure than churn, but just as painful.
3. Reputation Damage
Execs stop taking your team seriously when they’re on the 3rd CSM in 18 months or when their current one doesn’t follow through.
And it’s hard to rebuild trust once it’s gone.
4. Morale Erosion
Top performers notice when standards slip.
They see who’s skating by. And over time, they either disengage or leave.
So Why Do Leaders Wait So Long?
Because it’s hard.
Because we want to believe people will rise.
Because letting go feels like giving up.
But here’s the mindset shift that helped me and now helps my coaching clients:
You’re not just managing a person. You’re protecting the performance and wellbeing of the entire team.
Spot the Signs Early
Not sure if it’s time to make a move? Start by looking for these signs:
- Repeated feedback isn’t resulting in behavior change
- CSM struggles to drive value conversations, not just activity
- Missed renewals or expansions due to lack of ownership or follow-through
- Customers are confused, disengaged, or escalating
- Internal stakeholders are starting to work around them
- Their performance is dragging down the team’s reputation or metrics
If you’re nodding along to more than one, it’s time to act.
What Taking Action Doesn’t Mean
Letting go isn’t the only answer.
Sometimes, the right move is a role shift, performance plan, or more direct enablement.
But inaction?
That’s a choice too. And one with real cost.
A Coaching Framework I Use with Clients
When leaders I work with are facing this, we walk through 3 questions together:
1. Would you rehire this person today, knowing what you know now?
If the answer is no, why are they still on the team?
2. Is the gap skill, will, or fit?
Skill gaps can be coached. Will and fit issues often can’t.
3. What message does keeping them send to your top performers?
Standards are shaped more by what you tolerate than what you say.
Coaching Prompt
If one of your CSMs left tomorrow, would you feel:
- Relieved?
- Panicked?
- Sad but aligned?
Your honest answer will tell you what to do next.
Want Help Navigating Tough People Decisions?
I coach CS leaders through performance conversations, role shifts, and when needed, graceful exits.
If you’re managing a complex team and want support setting clear standards, building a high-performance culture, and coaching your team toward results, I can help.
📅 Book a consultation call with me here. Let’s talk through what you’re navigating and explore whether coaching or consulting is the right next step to support your goals.