As a manager we have enough situations which we do not like. However our 'gut feeling', a book, lessons learned etc. tells us to be tolerant.
However I don't found a clear bullet list on which are the main signs/factors/limits that our tolerance should stop and we should act with an axe.
I don't search for a definitive answer on this matter; I know that it cannot be done. Also, I don't imply that I (the manager) is always right. Just to learn some hints till when I should be patient/tolerant.
EDIT: I'm speaking about the (mainly) European culture. Our company profile is high-quality/performance, fast paced, rapid development of new products and keeping ourselves in the top of a competitive, (inter)national-wide industry.
We see our company as a family but we don't want to have some side-effects which come from here.