Category Archives: payment curve

The Mathematics of a Performance Based Contract (PBC) – Part 2

Posted on Sat 21 Sep 2019 by Andrew Jacopino

In the previous article (see The Mathematics of a Performance Based Contract (PBC) – Part 1) I described how a standard Australian Department of Defence Non-Linear PBC Payment Curve could be described by 2 equations for straights lines of the … Continue reading →

Posted in Basis of Payment, Consequence Analysis, Contract Management, payment curve, the How | Tagged Basis of Payment, Dr Andrew Jacopino, PBC, PBL, Performance Based Contracting, Performance Based Logistics | Leave a comment

The Mathematics of a Performance Based Contract (PBC) – Part 1

Posted on Sat 07 Sep 2019 by Andrew Jacopino

Over the 15 years of applying and teaching Performance Based Contracting (PBC) I have always had trouble trying to describe the mathematics of PBCs, especially to those who Reminded by my family’s current viewing of the US TV Series, Numbers, … Continue reading →

Posted in Consequence Analysis, payment curve, Performance Measure, the How | Tagged Basis of Payment, Consequence Analysis, Dr Andrew Jacopino, payment curve, PBC, PBL, Performance Based Contracting, Performance Based Logistics | 2 Comments

Stretch Goals

Posted on Sat 27 May 2017 by Andrew Jacopino

“The greater danger for most of us isn’t that our aim is too high and miss it, but that it is too low and we reach it.” Michelangelo In writing the articles on setting performance levels I came across a … Continue reading →

Posted in Behaviours, payment curve, Performance Measure, the How | Tagged incentive, PBC, PBL, Performance Based Contracting, Performance Based Logistics, performance level, stretch goal | 3 Comments

Setting the Performance Levels (Part 3)

Posted on Sat 13 May 2017 by Andrew Jacopino

In the previous two articles (see Setting a Performance Level (Part 1) and Setting a Performance Level (Part 2) we discussed the general requirements for setting performance levels in a Performance Based Contract (PBC). In this final part we are … Continue reading →

Posted in payment curve, the How | Tagged PBC, PBL, Performance Based Contracting, Performance Based Logistics, performance level | 4 Comments

Setting the Performance Levels (Part 2)

Posted on Sat 29 Apr 2017 by Andrew Jacopino

In the earlier article (see Setting the Performance Levels (Part 1)) we defined the four performance levels used in Performance Based Contracts (PBCs). They were the Required Performance Level, Minimum Performance Level, Inflection / Elbow Performance Level and the Incentive … Continue reading →

Posted in payment curve, Performance Measure, the How, Uncategorized | Tagged PBC, PBL, Performance Based Contracting, Performance Based Logistics, performance level | 4 Comments

Setting the Performance Level (Part 1)

Posted on Sat 21 Jan 2017 by Andrew Jacopino

“You get what you measure. Measure the wrong thing and you get the wrong behaviours.“ John H. Lingle In our experience one of the most challenging steps in establishing a Performance Based Contract (PBC) is setting the performance levels for … Continue reading →

Posted in payment curve, Performance Measure, the How | Tagged PBC, PBL, Performance Based Contracting, Performance Based Logistics, performance level, performance measures | 10 Comments

Payment Curve (Part 3) – Alternate Payment Curves

Posted on Sun 09 Oct 2016 by Andrew Jacopino

In a previous post we looked at the common types of Payment Curves used in a Performance Based Contract (PBC). These were the All or None Payment Curves, Linear Payment Curves and the Non-Linear Payment Curves. In this post we … Continue reading →

Posted in Basis of Payment, payment curve, the How | Tagged Basis of Payment, payment curve, PBC, PBL, Performance Based Contracting, Performance Based Logistics | 1 Comment

Payment Curves (Part 2) – Common Performance Curves

Posted on Mon 26 Sep 2016 by Andrew Jacopino

In an earlier post we described the role and common features of a Payment Curve used in a Performance Based Contract (PBC), including the difference between Achieved Performance and the Adjusted Performance Score. In the first of two posts we will … Continue reading →

Posted in Basis of Payment, payment curve, the How | Tagged Basis of Payment, payment curve, PBC, PBL, Performance Based Contracting, Performance Based Logistics | 2 Comments

Payment Curves (Part 1)

Posted on Mon 12 Sep 2016 by Andrew Jacopino

Changes to Contractor payments based on Contractor performance is one of the fundamental tenets of the Performance Based Contracting (PBC) approach. While changing payment uses a variety of methods, all typically use a Payment Curve to describe how to change the payments. But, before we look at … Continue reading →