Tag Archives: Performance Based Logistics

Availability in Performance Based Contracts – Part 2

Posted on Sun 19 Jun 2016 by Andrew Jacopino

In an earlier part (Availability Part 1) we described availability as one of the highest priorities of system or service performance in a Performance Based Contract (PBC). We defined is as: “Availability – providing users with material / services that are … Continue reading →

Posted in Performance Measure, the How | Tagged availability, PBC, PBL, Performance Based Contracting, Performance Based Logistics, performance indicators, performance measures, subjective performance measures | 1 Comment

Availability in Performance Based Contracts- Part 1

Posted on Sun 05 Jun 2016 by Andrew Jacopino

“Lost time is never found again.” Benjamin Franklin In Performance Based Contracting (PBC) considering availability of a system or service is one of the highest requirements and priorities for both buyer and seller. But what is availability and how do … Continue reading →

Posted in Performance Measure, the How | Tagged availability, PBC, PBL, Performance Based Contracting, Performance Based Logistics, performance indicators, Performance Measure | 2 Comments

The Role of a Performance Measure

Posted on Sat 02 Apr 2016 by Andrew Jacopino

“Measurement is the first step that leads to control and eventually to improvement. If you can’t measure something, you can’t understand it. If you can’t understand it, you can’t control it. If you can’t control it, you can’t improve it. … Continue reading →

Posted in Performance Measure, the How | Tagged KPI, PBC, PBL, Performance Based Contracting, Performance Based Logistics, Performance Management Framework, Performance Measure | 6 Comments

Consequence Analysis (Part 1)

Posted on Sat 06 Feb 2016 by Andrew Jacopino

In an earlier blog I had mentioned consequence analysis as a method for determining the commercial risk to buyer and seller to avoid the all too common feeling towards Performance Based Contracts (PBCs); that they are riskier than conventional contracts due … Continue reading →

Posted in Consequence Analysis, Risk Management, the How | Tagged Consequence Analysis, PBC, PBL, Performance Based Contracting, Performance Based Logistics, probabilistic risk assessment, Risk Management | Leave a comment

Carrot and Stick (Part 2)

Posted on Fri 01 Jan 2016 by Andrew Jacopino

In part 1 of this article we spoke about the 2 types of approaches to incentives; Approach 1 being negative incentives (stick) and Approach 2 being positive incentives (carrot). We also introduced a behaviour called loss aversion which describes how … Continue reading →

Posted in Basis of Payment, Definition, the Why | Tagged Basis of Payment, PBC, PBL, Performance Based Contracting, Performance Based Logistics | Leave a comment

Performance Based Contract vs. Outcomes Based Contract vs. Relational Contract

Posted on Sun 06 Dec 2015 by Andrew Jacopino

My colleagues and I, probably like a number of you, have been to a number of presentations recently that have spoken about future of contracting being ‘outcomes’ based contracting. There are also a number of people talking about relational contracting. … Continue reading →

Posted in Behaviours, Definition, Uncategorized | Tagged behaviours, PBC, PBL, Performance Based Contracting, Performance Based Logistics, performance indicators, Performance Measure, performance measures, subjective performance measures | 1 Comment

Understanding Behavioural Economics

Posted on Thu 08 Oct 2015 by Andrew Jacopino

In a previous post I had suggested those interested in Behavioural Economics should have a look at a free online course via http://www.edx.org titled Behavioural Economics in Action from the University of Toronto. While you can do this course at any … Continue reading →

Posted in Behavioural Economics, Behaviours, Nudging, the Why | Tagged Behavioural Economics, PBC, PBL, Performance Based Contracting, Performance Based Logistics | Leave a comment

PBC Penalty Shoot-Out!

Posted on Sat 25 Jul 2015 by Andrew Jacopino

In recent months I have been involved in a number of Performance Based Contracting (PBC) discussions between buyers and sellers. One consistent point of heated discussion is around the application of a reduction in seller payment as part of the … Continue reading →

Posted in Basis of Payment, Consequence Analysis, Definition, the How | Tagged Matt McDonald, negative incentive, PBC, PBL, penalty, Performance Based Contracting, Performance Based Logistics, Performance Management Framework | Leave a comment

Carrot and Stick (Part 1)

Posted on Fri 17 Jul 2015 by Andrew Jacopino

I am currently reading Richard Thaler’s new book, “Misbehaving – The making of Behavioural Economics” which has again brought up an interesting and long running debate on the application of positive incentives (gains or “carrots”) or negative incentives (losses or … Continue reading →

Posted in Behavioural Economics, Behaviours, the Why | Tagged Behavioural Economics, carrot, negative incentive, PBC, PBL, Performance Based Contracting, Performance Based Logistics, positive incentive, Richard Thaler, stick | 1 Comment

History of Behavioural Economics

Posted on Sun 26 Apr 2015 by Andrew Jacopino

For those you have read my thoughts on the use of Behavioural Economics as a method of optimising our approach to Performance Based Contracting (PBC) (see earlier posts on Is Your Contract Fun? and Designing Successful PBCs) I wanted to … Continue reading →

Posted in Behavioural Economics, Nudging | Tagged Behavioural Economics, Choice Architecture, Nudge, PBC, PBL, Performance Based Contracting, Performance Based Logistics, Performance Management Framework | Leave a comment