Formula v1
Shared risk, written as arithmetic.
We name the floor, the base, and the reward pool in the same sentence. Score 1.0 is the contracted result. We miss with you; we do not vanish the invoice.
The three numbers
Base fee is what you pay when the period scores 1.0 — every KPI on target, or a mix that nets 1.0.
Reward pool is the shared upside when the score is above 1.0. It is not a bonus we invent after the fact; it is contracted before the period opens.
Floor is the shared downside. When the score is under 1.0, the bill steps toward the floor. We miss with you; we do not vanish the invoice.
The score (v1)
- KPIs have weights that sum to 1.00.
- Each KPI contributes weight × clamp(actual / target, 0, 1.2).
- If a KPI is defined as lower-is-better, the ratio is clamp(target / actual, 0, 1.2). Actual 0 → ratio 0.
- Cap 1.2 per KPI so one outlier cannot dominate.
- Score 1.0 = every KPI on target (or a mix that nets 1.0).
The bill
billable = max(floor, base_fee + reward_pool × (score − 1))
- Score 1.0 → base only (assuming floor ≤ base).
- Score > 1.0 → base + reward.
- Score < 1.0 → shared downside until floor.
Score is rounded to 4 decimal places; billable to 2 decimal places, half away from zero. Currency is BDT.
Worked example
Base BDT 50,000.00, pool BDT 25,000.00, floor BDT 25,000.00. Two KPIs, weight 0.50 each, target 100.
A = 110, B = 90
A ratio 1.10 × 0.50 = 0.5500. B ratio 0.90 × 0.50 = 0.4500.
Score 1.0000 → billable 50000.00 (BDT 50,000.00)
A = 120, B = 90
A hits the 1.20 cap × 0.50 = 0.6000. B still 0.4500.
Score 1.0500 → billable 51250.00 (BDT 51,250.00)
A = 80, B = 80
Both ratios 0.80. Score 0.8000. Raw 50,000 + 25,000 × (−0.20) = 45,000.
Score 0.8000 → billable 45000.00 (BDT 45,000.00)
A = 0, B = 0
Score 0. Raw 50,000 − 25,000 = 25,000, which is the floor.
Score 0.0000 → billable 25000.00 (BDT 25,000.00)
These four numbers are the calculator default and the engine fixture. Price a period yourself.
The period
Default unit is a calendar month. Close is a staff action. Measurements are accepted before close. The invoice uses accepted actuals, not a draft estimate.
What happens after close
The same billable posts to the ERP invoice (PRPack company 0), the CRM invoice, and — when the contract says so — Academy enrolment. Downstream systems do not recompute the number.