An incentive that is tied to specific performance requirements. The desired performance is typically stated in terms of a quantitative SLA. The incentive fee can be fixed or variable, but always corresponds to specific, agreed upon targets. Performance incentives can be an effective way to encourage performance provided that the incentive is worth more than the effort to achieve it.
An incentive that is tied to specific performance requirements. The desired performance is typically stated in terms of a quantitative SLA. The incentive fee can be fixed or variable, but always corresponds to specific, agreed upon targets. Performance incentives can be an effective way to encourage performance provided that the incentive is worth more than the effort to achieve it.