I highly recommend this post to anyone in a leadership position. You must give feedback, so you might as well do it effectively.
I remember a leader of mine would tell me that if you have a problem employee and don’t handle the situation, your people know what is going on. They will either assume you are ignorant of the issue or unwilling to handle it. If you are ignorant, you won’t be able to learn anything from an ignorant person. If you are unwilling, you are weak and can’t do what it takes to be successful. Read the article to find out how to effectively give feedback, and remember, if you can’t change your people, change your people.