Pay For Past Performance – Or for Performance Capability?

Either your Pay for Performance approach is about paying for what was done in the last quarter, year, etc., or it pays for your demonstrated capability to perform – whether that capability was called upon for use or not.

Or – you do both.

Either way your “tests” – the acid tests used to determine yes/no or maybe – should be authentic Performance Tests and not just Knowledge Tests – however authentic. Sometimes the Knowledge Tests are not deemed necessary.

From my prior firm’s 1988 Newsletter. Yes – 1988.

The approach is basically a CAD effort – with or without an analysis of the enabling K/S – that’s the Knowledge and Skills that enable Performance. IN PACT – that’s referred to as an IAD project, not a CAD effort or an MCD effort.

Prudhoe Bay – on the north slope of Alaska – in the Arctic Circle – was interesting – in the dead of winter. COLD. VERY.

Here is a video I took of the working and living facilities we shared with the management and technical populations – back in 1987.

Yes – 1987.


Ray Svenson – one of my two business partners at the time – and I wrote a book about Performance Tests and the Administrative Systems to build, validate, use, continuously improvement/update them – in collaboration with the experts in the Target Audiences. Which is the methodology we almost always use – collaborate with the Master Performers in a “Command & Control & Collaborate” approach that serves the needs of management and the stakeholders – including the Shareholders.

For more about this book – available as a paperback – please go here.

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