We’ve come up with a new image to explain the components of the FairSetup suite, how they relate to operations, and what benefits differentiate us from everyone else.
The FairSetup Suite has three modules which connect performance evaluations to impact to bonuses to company performance. The benefits include:
Performance Evaluations – rather than do 6-month or 12-month performance evaluations, FairImpact works off of frequent, light, collaborative, expectation-based performance management that focuses on very few meaningful questions rather than extensive questionnaires.
Impact calculation allows for vesting/divesting, which gives employees a sense of momentum (i.e. I do good work now, I will be rewarded for the value that my work has generated) and self-throttling, which gives employees a sense of control over their lives.
A common bonus pool in conjunction with impact-based payouts creates a co-dependency among employees thus improving team dynamics.
Using Company Performance as a driver to calculate the size of the bonus pool is profit participation, which makes employees feel intuitively like partners thus leading to a solution to the principal-agent problem.