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For the BBC sitcom, see The Peter Principle (TV series).
The principle holds that in a hierarchy, members are promoted so long as they work competently. Eventually they are promoted to a position at which they are no longer competent (their "level of incompetence"), and there they remain, being unable to earn further promotions. Peter's Corollary states that "[i]n time, every post tends to be occupied by an employee who is incompetent to carry out its duties"[2] and adds that "work is accomplished by those employees who have not yet reached their level of incompetence."
"Managing upward" is the concept of a subordinate finding ways to subtly manipulate his or her superiors in order to prevent them from interfering with the subordinate's productive activity or to generally limit the damage done by the superiors' incompetence.
This principle can be modeled and has theoretical validity for simulations.[3]