Understand the measure
Define the duties, outputs and behaviors that the model measures. Consider whether productivity, time or other indicators still provide a comparable basis for the proposed compensation.
Capability
Understand what a compensation measure rewards—and whether its economics remain supportable.
A formula can produce consistent payments without continuing to reflect the work being performed. Changes in technology, duties, services or financial expectations can weaken the assumptions behind an established model.
Cabra evaluates the financial design of compensation and incentive arrangements, connecting the measures used with the services and decision they are intended to support.
Define the duties, outputs and behaviors that the model measures. Consider whether productivity, time or other indicators still provide a comparable basis for the proposed compensation.
Financial modeling can compare payment structures, thresholds and sensitivities. Assess the interaction between total compensation, performance assumptions and the resources available to fund the arrangement.
An agreed scope may include model analysis and related FMV support. Financial findings can be coordinated with legal, quality, payroll, coding and human-resources specialists to inform the arrangement's design and review.
Start with the facts
Contact Cabra Consulting to discuss the arrangement, the question to be answered and the financial support that may be useful.