Moves without preparation are risky.
Corporate Executive Board research found nearly 40% of internal job moves made by people labeled “high potential” end in failure, as reported in Harvard Business Review (Martin & Schmidt, 2010).
BlackRidge Executive Insight 01 · 2026
High potential employees show who could grow. Readiness shows who is prepared for a specific job right now. This guide shows you how to spot the potential, name the role and build the readiness, so your rising stars step into roles they can win at.
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Potential is a promise. Readiness is preparation. Remember it this way: spot the potential, name the role, build the readiness.
Readiness always points to a specific job. Name the role before you call someone ready.
Stretch assignments, honest feedback and a mentor turn a rising star into a ready leader.
The record is complete and it is accurate. It describes work the candidate already understands, under conditions that are about to change.
BlackRidge designs leadership development around the transition a leader is making. When the role changes, what leadership requires changes too, so every new role deserves new development.
This report examines all four transitions and anchors on the first.
High potential employees are the people most likely to grow into bigger roles, which makes them some of the most rewarding people in your organization to invest in. But potential isn’t the same as being ready: readiness means someone is prepared for one specific job right now, and you can see the proof in their work. So develop high potential employees toward a named role, and look for real evidence of readiness before you promote them.
The best organizations treat potential as the starting line rather than the finish line, so they spot it early, name the role it could grow into and build the readiness on purpose. That’s how rising stars become leaders who thrive.
Remember it this waySpot the potential. Name the role. Build the readiness.
Three findings about high potential employees, and what each one means for you.
Corporate Executive Board research found nearly 40% of internal job moves made by people labeled “high potential” end in failure, as reported in Harvard Business Review (Martin & Schmidt, 2010).
In Gallup’s words, “about one in 10 people possess high talent to manage.” Spotting that talent early is a real advantage (Gallup, 2015).
A meta-analysis found learning agility, the ability to learn from new experiences and use those lessons, was strongly linked to leader performance (.74) and potential (.75) (De Meuse, 2019).
Step 1 · Spot the potential
A high potential employee is someone with the ability, drive and learning agility to grow into bigger roles over time. Here are the three signs to look for.

Give them something unfamiliar and watch how quickly they adjust, because learning agility is the strongest research-backed signal of leadership potential.
They ask for bigger challenges, welcome honest feedback and come back noticeably better the next time.
Teammates seek them out. In one study of 131 companies, salespeople who helped their teammates went on to become better managers (Benson, Li & Shue, 2019).
Step 2 · Name the role
Before you call someone ready, name the role, because being ready to lead a team is very different from being ready to lead other managers or a whole function.

Keep three organizational questions separate, and connect them through evidence.
Broad · future-oriented
Useful for investment
Targeted · time-stamped
Useful before transition
Observed · contextual
Useful after application
Potential describes possibility. Readiness describes preparation for one named role now.
Could this person grow into bigger roles over time?
Is this person prepared for this specific role, right now?
Step 3 · Build the readiness
Readiness grows through real work, honest feedback and steady support from people who want your rising star to succeed. Here’s how to turn that potential into a ready leader.

Let them lead a project or a team effort that looks like the next role.
Talk about what they actually did, what worked and what to try next time.
Someone who has made the same move can help them see the road ahead.
When they do the new work well, again and again, they’re ready, and that’s a moment worth celebrating.
04 · Common questions
Quick answers to what leaders ask most.
A high-potential employee is someone with the ability, drive and learning agility to grow into bigger roles. Potential points to the future. It doesn’t mean they’re ready for a specific role today.
Look for three signs: they learn fast from new experiences, they want to grow and they make the people around them better. Learning agility is the strongest research-backed signal (De Meuse, 2019).
A high performer delivers excellent results in their current role. A high potential employee shows the skills and learning agility to grow into future leadership roles. Many high performers are also high potentials, but not all, so identify both on purpose and connect them to your succession planning.
Not automatically. Potential means someone could grow into a role. Readiness means they’re prepared for a specific role now, with proof. Build the readiness first.
Name the role they’re growing toward, then give stretch assignments, honest feedback and a mentor. Look for real proof before the promotion.
05 · Research and sources
A practical guide built on research, meant to help you grow your future leaders with confidence.
A simple way to turn potential into readiness, drawing on BlackRidge’s working papers and the studies listed below.
A test, a guarantee of performance or an automated decision about who should be promoted.
Martin, J., & Schmidt, C. (2010). How to keep your top talent. Harvard Business Review, May 2010. Based on Corporate Executive Board research.
Gallup (2015). State of the American Manager (industry research).
De Meuse, K. P. (2019). A meta-analysis of the relationship between learning agility and leader success. Journal of Organizational Psychology, 19(1), 25–34.
Benson, A., Li, D., & Shue, K. (2019). Promotions and the Peter Principle. Quarterly Journal of Economics, 134(4), 2085–2134.
Blume, B. D., Ford, J. K., Baldwin, T. T., & Huang, J. L. (2010). Transfer of training: A meta-analytic review. Journal of Management, 36, 1065–1105.
Hughes, A. M., Zajac, S., Woods, A. L., & Salas, E. (2020). The role of work environment in training sustainment: A meta-analysis. Human Factors, 62, 166–183.
Stoutamire, D. (2026). Leadership Readiness as a Measurable Construct (SSRN 6903318). A BlackRidge working paper, not yet peer reviewed.
Next Build the readiness
A high potential label shows who might grow, not who is ready. Develop high potential employees toward a specific next role, give them real practice and look for the proof. They’ll step into roles they can win at.
We’ll help you think through the development it requires. A short reply from someone who read what you wrote, within two working days, whether you are a talent development lead, an HR business partner, or the sponsor of the move.