9-Box Grid Talent Review: Complete Guide for 2026

The 9-box grid remains one of the most widely used talent management tools in organizations worldwide. Originally developed by McKinsey in the 1970s for GE, the framework has evolved into a cornerstone of modern performance management and succession planning. This guide walks you through everything you need to know about using the 9-box grid effectively in 2026, from understanding the fundamentals to conducting calibration sessions and building actionable succession plans.

What Is the 9-Box Grid?

The 9-box grid (also called the performance-potential matrix) is a talent assessment tool that plots employees on two axes:

• X-axis: Performance — How well an employee delivers against their current role expectations and goals
• Y-axis: Potential — An employee's capacity for growth, including their ability to take on roles of increased scope and complexity

Each axis is divided into three levels (low, moderate, high), creating a 3x3 matrix with nine distinct boxes. Every employee is placed into one of these boxes based on a combined assessment of their current performance and future potential.

Why Organizations Use the 9-Box Grid

The 9-box grid endures because it provides several key advantages:

1. Visual simplicity — Complex talent data is distilled into an immediately understandable format
2. Consistent language — Creates a shared vocabulary for discussing talent across the organization
3. Strategic focus — Enables targeted investment in development, retention, and succession
4. Calibration support — Provides a structured framework for cross-team talent discussions
5. Data-driven decisions — Reduces bias by requiring evidence-based placement

According to a 2025 SHRM report, approximately 60% of Fortune 500 companies use some variation of the 9-box grid in their annual talent review process.

The 9 Boxes Explained

Understanding what each box represents is critical for accurate placement and meaningful action planning. Below is a breakdown of all nine categories, moving from the top-left corner to the bottom-right.

Top Row: High Potential

Middle Row: Moderate Potential

Bottom Row: Low Potential

How to Conduct a 9-Box Talent Review

Running an effective 9-box review requires preparation, structure, and follow-through. Here is a step-by-step process for getting it right.

Step 1: Define Your Criteria

Before placing anyone on the grid, establish clear definitions for both axes.

Performance criteria should include:

• Achievement of goals and KPIs
• Quality of work delivered
• Consistency over the review period (at least 12 months of data)
• Behavioral competencies aligned to company values

Potential criteria should include:

• Learning agility — how quickly someone acquires new skills
• Leadership capability — ability to influence, motivate, and develop others
• Strategic thinking — capacity to understand the bigger picture
• Aspiration — desire to take on increased responsibility
• Engagement — commitment to the organization's future

Step 2: Manager Pre-Assessment

Have each manager independently place their direct reports on the grid before the calibration session. Provide a standardized template and ask managers to prepare evidence for each placement, including:

• Specific accomplishments and metrics
• Behavioral examples
• Development activities completed
• Feedback from peers, clients, or cross-functional partners

Step 3: Run Calibration Sessions

Calibration is where the real value of the 9-box emerges. Bring managers together (typically at the department or business unit level) to review and discuss placements collectively.

Calibration session structure:

1. Set the ground rules (30 minutes) — Review definitions, discuss process, and emphasize objectivity
2. Present and discuss each employee (2-3 minutes per person) — Managers present their placements with supporting evidence
3. Challenge and adjust (ongoing) — Other managers ask questions, share additional perspectives, and propose adjustments
4. Finalize placements (30 minutes) — Reach consensus on the grid and document rationale

Recommended group size: 6-10 managers reviewing 40-80 employees per session.

Step 4: Develop Action Plans

Each box should have a corresponding talent strategy:

• Stars (Box 3): Accelerated development, executive mentoring, retention bonuses, succession pipeline
• High Potentials (Box 2): Stretch assignments, cross-functional projects, leadership development programs
• High Performers (Box 6): Recognition, specialized growth paths, retention focus, knowledge sharing roles
• Core Players (Box 5): Skill development, career pathing conversations, engagement initiatives
• Enigmas (Box 1): Role fit assessment, coaching, clear 90-day improvement plans, remove barriers
• Underperformers (Box 7): Performance improvement plans (PIPs), honest conversations, potential exit planning

Step 5: Monitor and Revisit

The 9-box grid is not a one-time exercise. Schedule quarterly check-ins to review movement across the grid and adjust action plans accordingly. Most organizations conduct a full talent review annually, with interim reviews at the 6-month mark.

Best Practices for 9-Box Talent Reviews

Successful implementation depends on avoiding common traps and following proven principles.

Use Multiple Data Points

Never rely solely on a single manager's opinion. Incorporate 360-degree feedback, objective performance data, assessment results, and peer input. The more data points you have, the more accurate the placement.

Separate Performance from Potential

This is the most common mistake organizations make. A high performer is not automatically a high-potential employee. Someone who excels in their current role may not have the desire or capacity to take on fundamentally different responsibilities. Treat performance and potential as truly independent dimensions.

Ensure Rating Distribution

Watch for rating inflation. If 80% of your employees are in Boxes 2, 3, or 6, your criteria are likely too lenient. While there is no universally correct distribution, most organizations aim for approximately:

• Top boxes (1-3): 15-25% of employees
• Middle boxes (4-6): 50-60% of employees
• Bottom boxes (7-9): 15-25% of employees

Train Your Managers

Invest in calibration training before the first session. Managers need to understand how to assess potential (not just performance), recognize their own biases, and present evidence-based assessments. Without training, the process devolves into opinion and politics.

Keep It Confidential

Employees should not know their exact box placement. Instead, share development-focused feedback and action plans. Labeling someone a "Box 7" can be demotivating and counterproductive. The grid is a management tool, not a communication tool.

Common Mistakes to Avoid

Even experienced organizations make errors with the 9-box grid. Watch for these pitfalls:

1. Recency bias — Placing employees based on the last 3 months rather than the full review period
2. Halo effect — Letting one outstanding trait overshadow weaknesses in other areas
3. Potential = promotability — Potential is broader than upward mobility; it includes lateral growth and deepening expertise
4. Ignoring context — An employee underperforming due to organizational barriers is different from one lacking capability
5. Set-and-forget — Placing someone on the grid and never revisiting their development plan
6. Lack of diversity lens — Research consistently shows that bias affects potential ratings more than performance ratings. Actively audit placements for demographic patterns

Using the 9-Box Grid for Succession Planning

The 9-box grid is most powerful when directly linked to succession planning. Here is how to connect the two.

Identify Critical Roles

Start by mapping the roles in your organization that would create the most disruption if vacated. These typically include:

• C-suite and senior leadership positions
• Roles with specialized technical or institutional knowledge
• Revenue-generating positions with long ramp-up times
• Roles in competitive talent markets where replacement is difficult

Map Successors from the Grid

For each critical role, identify 2-3 potential successors from your 9-box grid:

• Ready Now (0-12 months): Typically from Box 3 (Stars) and Box 6 (High Performers)
• Ready Soon (1-2 years): Typically from Box 2 (High Potentials) and Box 5 (Core Players with development)
• Ready Future (2-3+ years): Typically from Box 1 (Enigmas) and Box 2 (High Potentials)

Build Development Pipelines

Create individualized development plans for identified successors that include:

• Experience-based learning (70%) — Stretch assignments, cross-functional rotations, project leadership
• Relationship-based learning (20%) — Executive mentoring, peer coaching, board exposure
• Formal learning (10%) — Leadership programs, executive education, certifications

Track Pipeline Health

Monitor your succession pipeline as a strategic metric. Key indicators include:

• Coverage ratio: Percentage of critical roles with at least one identified successor
• Readiness ratio: Percentage of successors rated as "ready now"
• Diversity ratio: Demographic representation within your succession pipeline
• Retention rate: Percentage of identified successors who remain with the organization year over year

Conclusion and Next Steps

The 9-box grid is a powerful tool when implemented thoughtfully, but it is only as good as the data, training, and follow-through that support it. To get started or improve your existing process:

1. Audit your current approach — Are your performance and potential criteria clearly defined and evidence-based?
2. Invest in manager training — Equip your leaders to assess potential accurately and recognize bias
3. Link to action — Every placement on the grid should trigger a specific development, retention, or performance strategy
4. Review regularly — Treat the grid as a living document, not a once-a-year event
5. Integrate with technology — Modern performance management platforms can automate data collection, streamline calibration, and track movement over time

When done right, the 9-box grid transforms talent decisions from gut instinct into strategic, data-informed action that strengthens your organization's leadership pipeline and competitive advantage.