How Bonus Rules can help your company boost productivity
Mirro offers a flexible framework in which companies can design a bonus scheme based on OKRs.
Through a bonus rules form, managers can create a bonus scheme for each team member by selecting the Objectives or Key Results where they are either the Owner or Contributor (in the case of Objectives), or the Assignee (in the case of Key Results).The possibility of creating a bonus scheme applies both to the standard OKRs module and to the OKRs with targets module.
You can find all the details regarding OKRs with target right here.
This is an add-on feature of Mirro.
If you want to use it, make sure to contact us at support@mirro.io to find out more about how it can be activated in your account.
And now, let's get started! 🚀
Bonus Calculation Tab can be found under the "Objectives" section:
Once you click on Bonus Rules, a new page will be opened and you will be able to see the existing rules and also create a new rule, by clicking on the "+" button. Once you did that, a new form will be opened and you will need to fill in the details:
1. Create a Bonus Rule
- Bonus Rule Name - Short and concise name for the rule you are creating that will help yo identify and differentiate multiple bonuses rules.
For ex: “Bonus for Q1 2025 for John Doe". - Assign user - Select the colleague for which the rule will apply
- Period - the timeframe for which the bonus will be calculated for that user, based on the OKRs/KRs that overlap with the selected period and have been chosen.
- Short description - A briefly description of what this bonus rewards
- Add items - select the OKRs or KRs that are linked with the bonus rule.
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The "Add item" list selection is a multi-select list and will include:
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Objectives where the employee is Owner and that are in progress during the selected period
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Objectives where the employee is Contributor and that are in progress during the selected period
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Key Results where the employee is Assignee and that are in progress during the selected period
*** In progress means that the OKR/KR Start Date and End Date overlap with the selected period.
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After the Bonus rule is created you will be able to see it the Bonus List and also filter your selection and Export it, as well:
In order to make it easier , you can filter your results based on the below criteria:
- Users
- Performance Managers
- Bonus Rule Name
- Locations
- Job Roles
- Department
- Work type
In the same page, if you scroll down you will also have additional information and actions for the existing or newly created rules:
You can Approve or Deny a bonus rule after verifying if the details filled in are correctly.
In addition you will have an overview of the Completion to Date and Completion overall.
Completion to Date = SUM(weight × (Score / Overall Target to Date))
- More precisely, the weight of each item is multiplied by the ratio between its score and the overall target to date.
In other words, it shows a weighted sum of progress compared to the cumulative target.
Completion Overall = SUM(weight × score)
- More precisely, each score is multiplied by its weight, and then all the results are added together to show the total completion.
If you click on the Name of a Bonus Rule
you will be able to see all the details in regards to that rule and we will explain them below.
The first banner shows the Rule and the total completion rate, based on the OKRs and KRs assigned for the rule and also - the action buttons to Edit or Delete the Rule.
In the Second banner we can see the exact OKR and KRs for the rule and also the Bonus Weight.
In this case the OKR has 50% and the KR as well. This means that the completion of both are equally important in obtaining the bonus.
This is it! 🥳Now you know how to use Bonus Rules and you and your team can enjoy this feature. 🚀