Meritocracy is a system, organization, or society in which people are chosen and moved into positions of success, power, and influence on the basis of their demonstrated abilities, effort, achievement, contribution, and merit.

Advancement in such a system is based on performance, as measured through examination or demonstrated achievement.



Naryana Murthy advice

A great company continuously measures and improves the following attributes: meritocracy, fairness, justice, openness, speed, imagination and excellence in execution.

Naryana Murhty




Examples of Meritocracy





GE: Jack Welch established a meritocracy in GE. Under his leadership, GE switched to making hiring and promotion decisions based on ability and achievement. GE leaders involved everyone, set stretch targets, encouraged their people to take daring action, and rewarded extraordinary achievements. The GE Leadership Effectiveness Survey (LES) made meritocracy principles transparent and provided guidance for performance measurement.




Red Hat

"While a meritocracy can be a bit of a bumpy road (lots of voices = lots of opinions = lots of data to dissect), at my company I have found that it truly does help us stay on the cutting edge and bring to light the best ideas. It also helps us keep associates engaged and fosters genuine leadership. What more could you ask for?"

~ James Whitehurst, is President and CEO